On Friday, flash media maker Lexar Media (LEXR) acquired a greater revised takeover bid from Micron Technological innovation (MU). The revised bid spots the all-inventory exchange offer you at close to $10 a share, up marginally within the Original bid.
But major shareholders which includes billionaire Trader Carl Icahn as well as hedge resources and portfolio professionals have considered the initial bid to generally be inappropriate. Elliott Associates thinks the Preliminary bid “significantly undervalues Lexar,” and feels Lexar is really worth in between $1.5 billion and $two.four billion. The estimate is effectively over the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way much too low and needs to be turned down by shareholders. Micron really wants to pay out all-around one.10x product sales for Lexar even though the industry leader SanDisk (SNDK) is trading at 4.35x sales. Lexar 소액결제정책 also has a $four hundred million patent infringement lawsuit versus Toshiba that it experienced Beforehand received but is currently subject to an appeal by Toshiba.
Think about it in this way, a successful $four hundred million settlement in favor of Lexar would equate to around $4.83 for every share in further money to add to the current $0.fifty four in absolutely free cash after debt that Lexar has. This means Micron would pay out lower than $five a share for Lexars assets, that is reduced.
There's also speculation that SanDisk is very seriously thinking of taking a operate at getting Lexar. This is able to sound right since SanDisk would solidify its leadership placement.
Furthermore, SanDisk has a close Operating marriage with Toshiba, which https://www.washingtonpost.com/newssearch/?query=소액결제 could see SanDisk drop or reduce the settlement if it managed to acquire Lexar.
Keep tune. A Exclusive shareholder Conference to critique the takeover bid has become moved to June 16. In my watch, the $ten bid undervalues Lexar. Problem is will a white knight floor?