On Friday, flash media maker Lexar Media (LEXR) received a greater revised takeover bid from Micron Know-how (MU). The revised bid spots the 정보이용료 all-stock Trade give at all-around $ten a share, up marginally from the Preliminary bid.
But key shareholders like billionaire investor Carl Icahn along with hedge resources and portfolio managers have considered the initial bid https://www.washingtonpost.com/newssearch/?query=소액결제 to generally be inappropriate. Elliott Associates thinks the First bid “considerably undervalues Lexar,” and feels Lexar is value among $one.five billion and $two.four billion. The estimate is nicely previously mentioned the revised takeover bid of about $827 million.
I have to concur and say the revised takeover bid is way also minimal and has to be rejected by shareholders. Micron wants to pay around one.10x profits for Lexar whilst the marketplace leader SanDisk (SNDK) is buying and selling at four.35x gross sales. Lexar also incorporates a $400 million patent infringement lawsuit versus Toshiba that it had Formerly received but is now matter to an charm by Toshiba.
Think it over this way, a successful $400 million settlement in favor of Lexar would equate to about $4.83 for each share in more hard cash to add to the current $0.54 in free dollars after credit card debt that Lexar has. This means Micron would spend lower than $5 a share for Lexars assets, which happens to be very low.
You can find also speculation that SanDisk is very seriously thinking of having a run at attaining Lexar. This might sound right considering the fact that SanDisk would solidify its Management position.
Moreover, SanDisk has a detailed Performing romance with Toshiba, which could see SanDisk fall or reduce the settlement if it managed to acquire Lexar.
Keep tune. A Exclusive shareholder Assembly to critique the takeover bid is moved to June 16. In my view, the $10 bid undervalues Lexar. Dilemma is will a white knight area?