SanDisk rejects $5.9b Samsung offer

US flash memory maker SanDisk Corp rejected a $5.9 billion bid by top memory chip-maker, Samsung Electronics Co, but would not rule out a deal at a better price.

Buying SanDisk would help Samsung cut the $350 million it pays each year to use SanDisk's patented flash technology, and widen the South Korean firm's lead in the flash memory market as the industry battles steep memory chip price falls due to a supply glut.

Offer undervalued