On Friday, flash media maker Lexar Media (LEXR) gained an increased revised takeover bid from Micron Engineering (MU). The revised bid sites the all-inventory exchange give at close to $ten a share, up marginally in the Preliminary bid.
But major shareholders such as billionaire Trader Carl Icahn together with hedge funds https://en.search.wordpress.com/?src=organic&q=소액결제 and portfolio administrators have considered the Preliminary bid to be inappropriate. Elliott Associates thinks the Preliminary bid “drastically 정보이용료 undervalues Lexar,” and feels Lexar is well worth in between $1.five billion and $two.4 billion. The estimate is nicely over the revised takeover bid of about $827 million.
I must concur and say the revised takeover bid is way much too minimal and must be rejected by shareholders. Micron would like to pay about 1.10x profits for Lexar while the market chief SanDisk (SNDK) is trading at four.35x sales. Lexar also incorporates a $four hundred million patent infringement lawsuit against Toshiba that it experienced previously won but is currently subject matter to an attraction by Toshiba.
Think about it this fashion, A prosperous $four hundred million settlement in favor of Lexar would equate to all around $4.83 for each share in additional money to add to The existing $0.fifty four in free income immediately after debt that Lexar has. This implies Micron would spend a lot less than $5 a share for Lexars belongings, that is lower.
There's also speculation that SanDisk is critically serious about taking a operate at acquiring Lexar. This is able to sound right considering that SanDisk would solidify its leadership place.
Also, SanDisk has an in depth Performing connection with Toshiba, which could see SanDisk drop or reduce the settlement if it managed to amass Lexar.
Keep tune. A special shareholder Assembly to evaluation the takeover bid has long been moved to June sixteen. In my watch, the $ten bid undervalues Lexar. Dilemma is will a white knight area?