On Friday, flash media maker Lexar Media (LEXR) obtained a greater revised takeover bid from Micron Engineering (MU). The revised bid spots the all-inventory Trade present at all-around $ten a share, up marginally from your First bid.
But main shareholders which includes billionaire Trader Carl Icahn as well as hedge money and portfolio administrators have considered the initial bid to be inappropriate. Elliott Associates thinks the First bid “drastically undervalues Lexar,” and feels Lexar is worthy of in between $1.five billion and $two.four billion. The estimate is nicely above the revised takeover bid of about $827 million.
I need to concur and say the revised takeover bid is way too lower and has to be turned down by shareholders. Micron would like to pay out close to one.10x revenue for Lexar even though the marketplace leader SanDisk (SNDK) is investing at 4.35x gross sales. Lexar also incorporates a $400 million patent infringement lawsuit from Toshiba that it had Earlier gained but is now subject matter to an attractiveness by Toshiba.
Consider it in this manner, a successful $four hundred million settlement in favor of Lexar would equate to close to $four.83 for https://en.search.wordpress.com/?src=organic&q=소액결제 each share in extra dollars to incorporate to The existing $0.54 in no cost funds soon after credit card debt that Lexar has. This implies Micron would pay back lower than $5 a share for Lexars assets, and that is low.
There's also speculation that SanDisk is 신용카드현금화 very seriously pondering taking a operate at getting Lexar. This could seem sensible considering the fact that SanDisk would solidify its Management position.
What's more, SanDisk has a close Doing work partnership with Toshiba, which could see SanDisk drop or decrease the settlement if it managed to obtain Lexar.
Stay tune. A Unique shareholder Conference to review the takeover bid continues to be moved to June 16. In my view, the $ten bid undervalues Lexar. Question is will a white knight surface?