On Friday, flash media maker Lexar Media (LEXR) received the next revised takeover bid from Micron Technological know-how (MU). The revised bid sites the all-inventory exchange provide at around $10 a share, up marginally through the First bid.
But key shareholders such as billionaire Trader Carl Icahn coupled with hedge money and portfolio administrators have considered the Original bid to be inappropriate. Elliott Associates thinks the First bid “considerably undervalues Lexar,” and feels Lexar is truly worth between $1.5 billion http://query.nytimes.com/search/sitesearch/?action=click&contentCollection®ion=TopBar&WT.nav=searchWidget&module=SearchSubmit&pgtype=Homepage#/소액결제 and $two.four billion. The estimate is very well above the revised takeover bid of about $827 million.
I have to concur and say the revised takeover bid is way as well very low and must be turned down by shareholders. Micron really wants to shell out around 1.10x product sales for Lexar although the industry leader SanDisk (SNDK) is buying and selling at 4.35x revenue. Lexar also contains a $four hundred million patent infringement lawsuit versus Toshiba that it experienced Formerly received but is currently topic to an charm by Toshiba.
Consider it this way, A prosperous $400 million settlement in favor of Lexar would equate to close to $4.83 for each share 정보이용료 in added cash to incorporate to The present $0.54 in free dollars after credit card debt that Lexar has. This implies Micron would fork out under $five a share for Lexars assets, which can be lower.
There is also speculation that SanDisk is seriously contemplating having a run at getting Lexar. This is able to seem sensible given that SanDisk would solidify its Management position.
Additionally, SanDisk has a detailed Performing marriage with Toshiba, which could see SanDisk drop or reduce the settlement if it managed to accumulate Lexar.
Keep tune. A Unique shareholder meeting to critique the takeover bid has become moved to June sixteen. In my view, the $10 bid undervalues Lexar. Dilemma is will a white knight surface area?