On Friday, flash media maker Lexar Media (LEXR) been given a higher revised takeover bid from Micron Know-how (MU). The revised bid places the all-stock Trade present at about $ten a share, up marginally from your Preliminary bid.
But big shareholders which include billionaire Trader Carl Icahn as well as hedge cash and portfolio managers have considered the Original bid for being inappropriate. Elliott Associates thinks the Preliminary bid “significantly undervalues Lexar,” and feels Lexar is well worth between $1.five billion and $two.4 billion. The estimate is perfectly higher than the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way too low and should be turned down by shareholders. Micron really wants to shell out around 1.10x profits for Lexar while the industry leader SanDisk (SNDK) is 소액결제현금화 investing at 4.35x profits. Lexar also features a $four hundred million patent infringement lawsuit towards Toshiba that it had Beforehand won but has become topic to an charm by Toshiba.
Think about it in this way, a successful $400 million settlement http://www.bbc.co.uk/search?q=소액결제 in favor of Lexar would equate to around $four.83 for every share in added dollars so as to add to The existing $0.54 in cost-free hard cash right after credit card debt that Lexar has. This suggests Micron would fork out a lot less than $5 a share for Lexars belongings, that's small.
There's also speculation that SanDisk is significantly thinking about having a operate at acquiring Lexar. This may make sense due to the fact SanDisk would solidify its leadership posture.
Furthermore, SanDisk has an in depth Performing relationship with Toshiba, which could see SanDisk fall or lessen the settlement if it managed to acquire Lexar.
Keep tune. A special shareholder meeting to review the takeover bid has been moved to June 16. In my check out, the $ten bid undervalues Lexar. Question is will a white knight surface area?