On Friday, flash media maker Lexar Media (LEXR) gained a greater revised takeover bid from Micron Know-how (MU). The revised bid destinations the all-inventory Trade 소액결제정책 supply at close to $10 a share, up marginally within the Preliminary bid.
But important shareholders such as billionaire Trader Carl Icahn coupled with hedge money and portfolio professionals have deemed the First bid to be inappropriate. Elliott Associates thinks the initial bid “significantly undervalues Lexar,” and feels Lexar is worthy of amongst $1.5 billion and $2.4 billion. The estimate is properly higher than the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way as well small and ought to be turned down by shareholders. Micron would like to shell out all-around 1.10x profits for Lexar while the market leader SanDisk (SNDK) is trading at four.35x gross sales. Lexar also provides a $four hundred million patent infringement lawsuit towards Toshiba that it experienced previously won but has become matter to an charm by Toshiba.
Think about it this way, a successful $four hundred million settlement in favor of Lexar would equate to close to $four.83 for every share in additional https://www.washingtonpost.com/newssearch/?query=소액결제 funds to include to the current $0.fifty four in totally free funds just after financial debt that Lexar has. What this means is Micron would pay out below $5 a share for Lexars belongings, that's lower.
There is certainly also speculation that SanDisk is significantly thinking of getting a operate at attaining Lexar. This may sound right given that SanDisk would solidify its leadership placement.
Also, SanDisk has an in depth Operating romantic relationship with Toshiba, which could see SanDisk fall or lessen the settlement if it managed to accumulate Lexar.
Remain tune. A Specific shareholder meeting to overview the takeover bid has long been moved to June sixteen. In my watch, the $10 bid undervalues Lexar. Concern is will a white knight surface area?