Good friends make memories together
By Sylvie Barak: Monday, 20 October 2008
IN A BID TO fend off its bitter rival, Samsung, Japanese memory maker Toshiba says it will buy $1 billion of equipment from joint venture partner, Sandisk, currently the unwilling object of the South Korean firm’s takeover desire. With prices of NAND flash dropping through the floor, Sandisk shares have also taken quite a tumble, dropping 50 per cent in the last year and leaving the firm vulnerable to unwanted advances. Sandisk has bravely fought off two previous offers by the world's biggest memory chip maker, with Samsung offering to pay $26 a share. Sandisk shares are currently valued at only $15.51 and the firm is also expected to announce a big dip in Q3 earnings today, something which may well drive its stock prices down further. Obviously in no mood to let Samsung get its paws on key patents, Toshiba is hoping that flashing its cash may be enough to stave off a Samsung takeover of Sandisk a while longer.
Read more here -->Link
No comments:
Post a Comment