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SanDisk Drops 1.6 billion USD for M-Systems

  July 31st, 2006



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SanDisk Drops 1.6 billion USD for M-SystemsIt seems that the month of July has been a big month for corporate mergers. First we have AMD buying ATI, now we have a merger in the flash memory world. What will this mean for flash memory users in the future? Only time will tell, and hopefully it will be good.

PC World reports that SanDisk is purchasing M-Systems for a cool 1.6 billion US dollars. Reportedly that's a 26% premium over the average closing price of M-Systems shares last month. The buyout is still subject to approval by both US and Israeli officials and is not expected to close until the fourth quarter of the year. This buyout may come as no surprise to some, as M-Systems and SanDisk worked closely together to develop the U3 mobile app platform. This buyout will no doubt make SanDisk the 400 pound gorilla in the marketplace.

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