On Friday, flash media maker Lexar Media (LEXR) received a better revised takeover bid from Micron Engineering (MU). The revised bid sites the all-stock Trade provide at about $10 a share, up marginally through the First bid.
But main shareholders which include billionaire investor Carl Icahn as well as hedge money and portfolio administrators have considered the First bid being inappropriate. Elliott Associates thinks the initial bid “significantly undervalues Lexar,” and feels Lexar is worth among $one.5 billion and $two.4 billion. The estimate is effectively above the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way way too http://edition.cnn.com/search/?text=소액결제 small and really should be turned down by shareholders. Micron desires to pay out all-around 1.10x gross sales for Lexar while the market chief SanDisk (SNDK) is trading at four.35x income. Lexar also contains a $400 million patent infringement lawsuit versus Toshiba that it experienced Earlier gained but has become matter to an enchantment by Toshiba.
Consider it in this way, An effective $four hundred million settlement in favor of Lexar would equate to around $4.83 per share in further dollars so as to add to The existing $0.54 in absolutely free hard cash soon after credit card debt that Lexar has. This means Micron would pay back below $five a share for Lexars assets, which happens to be lower.
You can find also speculation that SanDisk is significantly pondering taking a operate at getting Lexar. This might seem sensible given that SanDisk would solidify its Management place.
What's more, SanDisk has a detailed Functioning connection with Toshiba, which could see SanDisk fall or lessen the settlement if it managed more info to acquire Lexar.
Keep tune. A Particular shareholder meeting to critique the takeover bid has become moved to June 16. In my perspective, the $10 bid undervalues Lexar. Question is will a white knight surface area?