Milpitas-based SanDisk jumped 5 percent on Tuesday with word that the semiconductor company had entered into advanced negotiations on a deal to sell itself.
Western Digital is in advanced discussions to buy SanDisk, according to a report in Bloomberg News.
SanDisk is pondering a sale price of $80 to $90 a share, Bloomberg reported.
The deal could close this week. SanDisk is leaning towards an all-cash offer.
SanDisk is one of the leading manufacturers of flash memory devices, a type of chip that s used for data storage in mobile devices, as well as
The sources that disclosed the fresh round of negotiations to Bloomberg said the deal isn t complete and could still fall through.
SanDisk has held sales discussions with both Western Digital and Micro Technology. None of the companies involved in the discussions are commenting about the situation.
In September, Western Digital landed a $3.8 billion investment from China-based Tsinghua University to bankroll Western Digital s ability to make acquisition deals.
The $300 billion semiconductor industry, confronted by slumping sales for personal computers, is increasingly eyeing consolidation to cope with the shifting marketplace.
Sunnyvale-based PMC-Sierra is the purchase quarry in a bidding war between rival suitors Microsemi and Skyworks Solutions.
SanDisk headquarters in Milpitas. Photo credit: BANG staff
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