On Friday, flash media maker Lexar Media (LEXR) received a higher revised takeover bid from Micron Know-how (MU). The revised bid destinations the all-stock exchange supply at about $10 a share, up marginally from your Preliminary bid.
But important shareholders together with billionaire investor Carl Icahn coupled with hedge money and portfolio administrators have considered the Preliminary bid to get inappropriate. Elliott Associates thinks the initial bid “drastically undervalues Lexar,” and feels Lexar is really worth among $one.5 billion and $2.4 billion. The estimate is well earlier mentioned the revised takeover bid of about $827 million.
I must concur and say the revised takeover bid is way also lower and should be rejected by shareholders. Micron really wants to pay http://query.nytimes.com/search/sitesearch/?action=click&contentCollection®ion=TopBar&WT.nav=searchWidget&module=SearchSubmit&pgtype=Homepage#/소액결제 back all over 1.10x revenue for Lexar though the marketplace chief SanDisk (SNDK) is buying and selling at four.35x profits. Lexar also provides a $four hundred million patent infringement lawsuit versus Toshiba that it had Beforehand won but has become subject matter to an appeal by Toshiba.
Give it some thought using this method, An effective $four hundred million settlement in favor of Lexar would equate to all-around $4.eighty three per share in added hard cash to include to the current $0.fifty four in cost-free dollars just after debt that Lexar has. This implies Micron would spend fewer than $five a share for Lexars belongings, and that is minimal.
There may be also speculation that SanDisk is significantly contemplating using a operate at attaining Lexar. This would seem sensible due to the fact SanDisk would solidify its Management position.
Moreover, SanDisk has an in depth Doing the job relationship with Toshiba, which could see SanDisk drop or reduce the settlement if it managed to acquire Lexar.
Remain 소액결제현금화 tune. A Particular shareholder meeting to overview the takeover bid has been moved to June 16. In my view, the $10 bid undervalues Lexar. Problem is will a white knight floor?