On Friday, flash media maker Lexar Media (LEXR) obtained a greater revised takeover bid from Micron Know-how (MU). The revised bid places the all-stock exchange supply at around $ten a share, up marginally from your Original bid.
But big shareholders which include billionaire investor Carl Icahn as well as hedge money and portfolio professionals have considered the Preliminary bid to get inappropriate. Elliott Associates believes the Preliminary bid “significantly undervalues Lexar,” and feels Lexar is really worth involving $one.five billion and $two.four billion. The estimate is well over the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way also reduced and should be turned down by shareholders. Micron wants to pay all around 1.10x gross sales for Lexar though the market leader SanDisk (SNDK) is investing at 4.35x revenue. Lexar also has a $400 million patent infringement lawsuit towards Toshiba that it experienced Formerly won but is now subject matter to an enchantment by Toshiba.
Think about it using this method, a successful $400 million settlement in favor of Lexar would equate to about $4.83 for each share https://en.search.wordpress.com/?src=organic&q=소액결제 in additional dollars to incorporate to The present $0.54 in no cost income following personal debt that Lexar has. This implies Micron would fork out below $5 a share for Lexars belongings, which can be minimal.
There is certainly also speculation that SanDisk is severely thinking 소액결제정책 of using a run at attaining Lexar. This may make sense considering that SanDisk would solidify its Management place.
In addition, SanDisk has a detailed working romance with Toshiba, which could see SanDisk drop or decrease the settlement if it managed to amass Lexar.
Remain tune. A Distinctive shareholder Conference to critique the takeover bid has become moved to June 16. In my perspective, the $ten bid undervalues Lexar. Issue is will a white knight area?