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SanDisk Completes Fusion-io Acquisition(dpa-AFX International Compact Via Acquire Media NewsEdge) MILPITAS (dpa-AFX) - SanDisk Corp. (SNDK) said Wednesday it has completed the acquisition of Fusion-io, a of flash-based PCIe hardware and software solutions that enhance application performance in enterprise and hyperscale datacenters. Under the terms of the agreement, SanDisk completed the acquisition for $11.25 per share for the outstanding shares of Fusion-io, and assumed unvested, in-the-money equity awards, for a total aggregate value of about $1.1 billion, net of cash assumed. SanDisk's third quarter financial results will include the results of Fusion-io from July 23, 2014 through September 28, 2014. SanDisk expects to exclusively use non-captive memory for the Fusion-io business for at least the next several quarters. SanDisk expects the acquisition to be dilutive to adjusted earnings in the near term mainly due to charges for deal, restructuring and integration costs, which are expected to be about $35 million in the third quarter of 2014 and about $15 million in the fourth quarter of 2014, as well as operating losses from Fusion-io partially offset by modest near-term synergies. The acquisition is expected to be accretive to adjusted earnings in the second half of 2015. As a result of the completion of the merger, Fusion-io's shares ceased trading on the NYSE at the close of market on July 22, and will no longer be listed. Copyright RTT News/dpa-AFX |