On Friday, flash media maker Lexar Media (LEXR) https://www.washingtonpost.com/newssearch/?query=소액결제 received a higher revised takeover bid from Micron Technologies (MU). The revised bid spots the all-inventory Trade offer at all-around $10 a share, up marginally through the First bid.
But big shareholders including billionaire Trader Carl Icahn in addition to hedge money and portfolio administrators have considered the initial bid for being inappropriate. Elliott Associates believes the initial bid “drastically undervalues Lexar,” and feels Lexar is value among $1.five billion and $2.4 billion. The estimate is perfectly over the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way way too minimal and has to be turned down by shareholders. Micron hopes to shell out all-around one.10x revenue for Lexar whilst the marketplace leader SanDisk (SNDK) is trading at 4.35x sales. Lexar also provides a $400 million patent infringement lawsuit from Toshiba that it experienced Earlier received but is currently matter to an appeal by Toshiba.
Give it some thought using this method, a successful $four hundred million settlement in favor of Lexar would equate to about $4.83 per share in extra hard cash to incorporate to The existing $0.54 in no cost income following personal debt that Lexar has. This implies Micron would pay less than $five a share for Lexars assets, which can be reduced.
You can find also speculation that SanDisk is severely here pondering getting a run at getting Lexar. This is able to seem sensible considering the fact that SanDisk would solidify its leadership position.
In addition, SanDisk has a close Operating connection with Toshiba, which could see SanDisk drop or lessen the settlement if it managed to accumulate Lexar.
Stay tune. A Particular shareholder Conference to evaluation the takeover bid is moved to June 16. In my check out, the $10 bid undervalues Lexar. Problem is will a white knight surface area?