In the coming months Western digital plans to acquire the company SanDisk, the deal is expected to close toward the end of the 3rd quarter of 2016. This means western digital will be able to offer a wider variety of products to consumers they have not yet been able to supply. It also allows western digital to innovate its product line by moving into the flash memory market that SanDisk has a strong presence in. Both companies have great research and development abilities as well as engineering which will bring better advancements in storage technologies to the consumer and data center storage market. SanDisk is valued at $19 billion and will be paid for in both cash at $85.10 per share and 0.0176 shares of western digital stock for every SanDisk stock. The main motive for western digital????????s purchase of SanDisk is for access to the flash memory market. Since SanDisk has 27 years of experience in the flash memory market Western digital will now have cheap access to that technology and be able to utilize SanDisk????????s expertise to bring better storage products to consumers.
August 9, 2016 in