S&P: SanDisk developing watch

Standard & Poor's said it placed the B+ corporate credit and senior unsecured ratings on SanDisk Corp. on CreditWatch with developing implications following the announcement that Samsung Electronics Co. Ltd. (A/stable/A-1) has made an offer to acquire SanDisk for about $5.8 billion in cash.

SanDisk has rejected the offer, the agency noted, but the announcement has generated reports that Toshiba Corp. (BBB+/stable/A-2) may be interested in acquiring the company as well.

If SanDisk is acquired by either of these two companies, ratings on SanDisk's senior unsecured debt will likely be raised, although the extent of any upgrade would depend on strategic and structural considerations of the deal, the agency said.

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