Street.Com – Carl Icahn apparently thinks Lexar Media (LEXR:Nasdaq – news – research – Cramer’s Take) can do better than Micron (MU:NYSE – news – research – Cramer’sTake).
According to a recent news report, the activist shareholder has begun a campaign to scuttle the $688 million acquisition announced last week, in the belief that other companies will be willing to pay more for Lexar.
A coalition of Icahn-controlled hedge funds, which reportedly own more than 50% of Lexar shares, are in talks with Lexar’s management about the deal and are considering launching a public battle to trigger a bidding war, according to a story in the New York Post.
The shareholders are contending that Lexar’s management didn’t fully consider competing offers with other companies, and hastily inked the deal with Micron according to sources involved in the breakup effort, the Post reported.
