On Friday, flash media maker Lexar Media (LEXR) received the next revised takeover bid from Micron Know-how (MU). The revised bid sites the all-stock Trade offer you at all around $ten a share, up marginally with the Preliminary bid.
But main shareholders such as billionaire investor Carl Icahn in conjunction with hedge funds and portfolio professionals have considered the initial bid to generally be inappropriate. Elliott Associates thinks the First bid “appreciably undervalues Lexar,” and feels Lexar is worth amongst $one.5 billion and $two.four billion. The estimate is properly previously mentioned the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way much too low and should be rejected by shareholders. Micron hopes to spend all-around 1.10x income for Lexar although https://en.search.wordpress.com/?src=organic&q=소액결제 the industry leader SanDisk (SNDK) is trading at 4.35x sales. Lexar also contains a $400 million patent infringement lawsuit versus Toshiba that it had Formerly won but has become subject matter to an charm by Toshiba.
Give it some thought in this manner, a successful $400 million settlement in favor 신용카드현금화 of Lexar would equate to all around $four.eighty three per share in extra funds to incorporate to the current $0.fifty four in totally free cash just after personal debt that Lexar has. This suggests Micron would pay out less than $five a share for Lexars property, which happens to be minimal.
There may be also speculation that SanDisk is critically contemplating getting a operate at acquiring Lexar. This might seem sensible because SanDisk would solidify its leadership position.
Furthermore, SanDisk has a detailed Performing romance with Toshiba, which could see SanDisk fall or decrease the settlement if it managed to amass Lexar.
Continue to be tune. A Particular shareholder Conference to evaluate the takeover bid has been moved to June 16. In my perspective, the $10 bid undervalues Lexar. Problem is will a white knight floor?