Bank of America Provides Color on Western Digital, Buy

Bank of America provided color on Western Digital's WDC acquisition of Hitachi Global Storage Technologies from Hitachi HIT. In a research report published today, Bank of America states, "Western Digital announced that the European Commission (EC) was entering a Phase II review of previously announced acquisition of Hitachi Global Storage Technologies (HGST) from Hitachi. Western Digital originally estimated the acquisition to close in C3Q11 and now looks for it to close in C4Q11 (as expected by a number of investors). We don't believe the slight delay changes the long- term story, nor do we expect the deal, and Seagate's pending acquisition of Samsung's HDD assets to be derailed." At the moment, Bank of America has a Buy rating on Western Digital's stock. Western Digital is currently trading around $36.01, while Hitachi stands around $56.89.