On Friday, flash media maker Lexar Media (LEXR) been given an increased revised takeover bid from Micron Know-how (MU). The revised bid locations the all-inventory Trade supply at all over $10 a share, up marginally with the First bid.
But big shareholders including billionaire investor Carl Icahn coupled with hedge money and portfolio professionals have deemed the initial bid to be inappropriate. Elliott Associates thinks the Original bid “appreciably undervalues Lexar,” and feels Lexar is really worth involving $one.5 billion and $2.four billion. The estimate is very well previously mentioned the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way as well small and needs to be turned down by shareholders. Micron wishes to pay all over one.10x revenue for Lexar although the industry leader SanDisk (SNDK) is investing at four.35x income. Lexar also includes a $400 million patent infringement lawsuit from Toshiba that it had previously gained but is now issue to an enchantment by Toshiba.
Think about it using this method, An effective $400 million settlement in favor of Lexar would equate to all around $4.eighty three for every share in extra dollars to include to the current $0.54 in totally free hard cash right after credit card debt that Lexar http://www.bbc.co.uk/search?q=소액결제 has. What this means is Micron would fork out lower than $5 a share for Lexars property, which can be low.
There is certainly also speculation that SanDisk is severely considering using a run at getting Lexar. This could make sense considering the fact that SanDisk would solidify its leadership situation.
Also, SanDisk has an in depth Performing marriage with Toshiba, which could see SanDisk fall or lessen the 정보이용료 settlement if it managed to acquire Lexar.
Stay tune. A special shareholder meeting to evaluation the takeover bid continues to be moved to June sixteen. In my watch, the $10 bid undervalues Lexar. Concern is will a white knight area?