RE: the authorization to increase the number of shares
There has been a lot of speculation over the past few months that Seagate--founded by Al Shugart, now a director of Sandisk--is a takeover target. Due to the discount of its stock price to its equity holdings, the disk drive business is free. It also has a good deal of cash, probably over $2 billion dollars with its recent stock sales. One rumor has it that Veritas, its largest holding by far, would buy the company, retire its own stock, sell the other stock, and spin off the disk drive company.
Well, why not start another rumor: Sandisk will buy Seagate, spin it off while giving control back to Shugart (who was abruptly "let go" a couple of years ago), sell the Veritas, ZOOX etc. stock, and retire its own stock.
I don't know if the math actually works, but it might if Sandisk's stock price gets high enough after their next great report.
<vbg>
s. |
