On Friday, flash media maker Lexar Media (LEXR) obtained the next revised takeover bid from Micron Engineering (MU). The revised bid spots the all-stock exchange present at about $ten a share, up marginally within the First bid.
But major shareholders which include billionaire investor Carl Icahn coupled with hedge funds and portfolio managers have deemed the First bid to generally be inappropriate. Elliott Associates believes the initial bid “substantially undervalues Lexar,” and feels Lexar is worth in between $one.5 billion and $2.4 billion. The estimate is http://www.bbc.co.uk/search?q=소액결제 well earlier mentioned the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way also low and really should be turned down by shareholders. Micron really wants to fork out about one.10x income for Lexar although the marketplace leader SanDisk (SNDK) is investing at 4.35x product sales. Lexar also contains a $four hundred million patent infringement lawsuit in opposition to Toshiba that it experienced Beforehand gained but has become matter to an appeal by Toshiba.
Consider it by doing this, a successful $four hundred http://xn--7y2br0oc8jnkbb1f.kr/ million settlement in favor of Lexar would equate to around $four.83 for each share in additional dollars to include to The present $0.54 in no cost funds right after personal debt that Lexar has. This suggests Micron would spend a lot less than $five a share for Lexars assets, that is small.
There's also speculation that SanDisk is significantly considering having a run at buying Lexar. This could sound right considering that SanDisk would solidify its Management place.
Furthermore, SanDisk has an in depth Performing marriage with Toshiba, which could see SanDisk fall or decrease the settlement if it managed to obtain Lexar.
Stay tune. A special shareholder Assembly to critique the takeover bid has actually been moved to June sixteen. In my perspective, the $10 bid undervalues Lexar. Query is will a white knight floor?