Posts Tagged ‘M&A’

Envivio shares double after a deal to be bought by Ericsson

September 10th, 2015 No comments


Shares of Envivio some-more than doubled Thursday after Ericsson concluded to buy the telecom program company for $125 million.

Envivio shareholders will embrace $4.10 a share in cash.

Shares were up 114%, or $2.16, to $4.06 in Thursday afternoon trading.

The understanding is approaching to tighten prior to the finish of the year.

Envivio, formed in San Francisco, develops video estimate and smoothness software. And its products will be rolled in to Ericsson’s TV and media business, a section which develops “cloud” record for TV-anywhere video providers.

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Synchronoss shares rise on acquisition speculation

June 3rd, 2015 No comments

Shares of Synchronoss Technologies (SNCR) rose roughly 17% Wednesday afternoon after The Wall Street Journal reported which the cloud-computing use provider could be an acquisition target.

Several in isolation investors are interested in shopping the New Jersey-based company, the WSJ reported Tuesday. The association is working with investment bank Qatalyst Partners, it said.

The batch was up $7.12 as of Wednesday afternoon to $49.37.

Synchronoss might be an merger target.

Synchronoss might be an merger target. (Photo: Synchronoss)

Synchronoss, which provides storage and interpretation send services to enterprise customers, reported which the initial quarter revenue grew 35% year-over-year to $133 million. Its customers embody telecom carriers, wire companies and device makers, including AT&T (T), Verizon (VZ), Apple (AAPL), Microsoft (MSFT), Time Warner Cable (TWC) and  Charter Communications (CHTR).

Synchronoss, whose market capitalization right away exceeds $2.1 billion as of Wednesday, could be the latest  in a array of recently-announced record mergers. Intel (INTC) concluded to acquire chip-maker Altera (ALTR) for $16.7 billion earlier this week. Last week, Avago (AVGO) voiced a understanding to buy rival Broadcomm (BRCM) for $37 billion.

Synchronoss could not rught away be reached for comment.

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Rosetta Stone shares jump on takeover talks

May 29th, 2015 No comments
Rosetta Stone has perceived an "expression of interest" to bought.   (PRNewsFoto/Rosetta Stone Inc.)

Rosetta Stone has perceived an “expression of interest” to be acquired. (PRNewsFoto/Rosetta Stone Inc.)

Rosetta Stone, the denunciation guidance program developer, pronounced Friday it has received “an countenance of interest” to be acquired by in isolation equity organisation RDG Capital Fund Management, a probable exit devise amid falling sales and rapidly becoming different preparation technology.

Shares of Rosetta rose 19% to finish Friday at $7.62.

“The house settled which it will delicately weigh the countenance of interest,” it said.

The Arlington, Va.-based association has had a difficult time reviving sales as consumers right away have a engorgement of alternative options in guidance languages beyond profitable for its yellow-boxed CDs. Earlier this year, Rosetta announced it’s seeking to exercise a turnaround plan in hopes of pushing the batch higher, focusing on higher-margin customers, such as schools and corporate customers, and simplifying the altogether business.

“I am not astounded which the (private equity) folks have been starting to show up right away which there is a devise being implemented to remove the association from the bequest consumer business,” said Matt Blazei, an researcher at Lake Street Capital Markets.

The company’s business-to-business products focused on the preparation and craving markets have been estimated “to strech at slightest $122 million in bookings” this year, Blazei said. “The reason for the ‘pivot’ in the commercial operation indication voiced in Mar was essentially to concentration the company’s resources on accelerating the expansion in this channel.”

In the initial quarter, Rosetta’s sales fell 4% to $58.4 million. It additionally posted a net detriment of $19.9 million, stemming from diseased sales and a restructuring assign associated to layoffs. The restructuring devise calls for a rebate of annualized costs by about $50 million.

In April, CEO Stephen Swad stepped down as sales one after another to decline. He was transposed by John Hass on an halt basis.

“The multiple of an wholly brand brand new commercial operation model, a shakeup of comparison management, a brand brand new consumer pricing devise and a poignant headcount rebate resulted in a severe quarter,” Blazei wrote after the initial entertain gain report.

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Tribune Publishing buys U-T San Diego, nine weeklies for $85M

May 8th, 2015 No comments
Tribune Publishing is shopping U-T San Diego. (AP Photo/Gregory Bull, File) ORG XMIT: LA109

Tribune Publishing is shopping U-T San Diego. (AP Photo/Gregory Bull, File) ORG XMIT: LA109

Tribune Publishing (TPUB) is expanding in Southern California.

The media company, which owns The Los Angeles Times, pronounced Thursday it has concluded to pay $85 million to buy U-T San Diego and nine village weeklies in San Diego County.

Tribune, which was spun off final year by the former primogenitor as a association which focuses on publishing, will compensate the paper’s stream owner, San Diego-based businessman “Papa” Doug Manchester, $73 million in money and $12 million in its common stock, as good as assuming obligations of a pension plan. The deal, which doesn’t embody genuine estate, is coming to tighten in the second quarter.

For years, The Los Angeles Times has sought to enhance the participation in Southern California, together with San Diego, but has run in to confirmed internal competition. U-T San Diego would give Tribune the internal journal marketplace prevalence it has longed for for years without carrying to experiment with an costly regional edition. While hurdles from the imitation promotion decrease persist, Tribune is additionally betting on profit which might come from combining resources, controlling costs and broadening the interest to readers and business-people with locally focused stories and selling services.

Tribune pronounced the writings will remain separate operations. But a code shift still might be coming, as Tribune is deliberation reverting U-T San Diego to the strange name, The San Diego Union-Tribune, according to U-T San Diego. The name shift was done in 2012. But Tribune’s press recover Thursday referred to it by the old name which had been in life given 1992 when San Diego Union and San Diego Evening Tribune merged.

“This represents an additional step brazen in the plan to precedence the edition infrastructure, resources and government teams,” said Jack Griffin, CEO of Tribune Publishing.

Tribune pronounced it’s combining a subsidiary, the California News Group, to manage operations in Los Angeles and San Diego. The brand brand new section will be headed by Austin Beutner, who is now CEO of The Los Angeles Times. He additionally will pretence the pretension of publishing house of U-T San Diego.

San Diego Union-Tribune will keep paper independence, on condition which an accurate voice which reflects the farrago of the state,” Beutner said. “I additionally know the Los Angeles Times will good with a closer tie to the comparison kin down south.”

With a brand brand new owner, staff changes have been inevitable at U-T San Diego. The paper reported that Beutner wouldn’t order out layoffs and said “he didn’t wish to trick anybody in to presumption the series of employees would sojourn unchanged.”

On Wednesday, Tribune Publishing, which additionally owns Chicago Tribune, The Baltimore Sun and 8 alternative dailies, reported which the initial entertain gain fell 75% from a year ago to $2.5 million as interest losses and reorder costs rose and promotion sales one after another to drop. Advertising sales fell 5.7% to $219.8 million. But dissemination income rose 1.8% to $109.3 million on the strength of the digital operations.

“This big converging expected won’t be the final in the region,” wrote attention researcher Ken Doctor on his website, The Orange County Register “is itself expected to be put up for sale, along with the Riverside Press-Enterprise which it paid for usually eighteen months ago.”

“I’ve prolonged created about the karma of a Southern California rollup, as journal association woes lower and cost-cutting by converging becomes a key weapon,” Doctor said. “Though one can subject how most potency stays to be squeezed by tangible tenure consolidation…Make no inapplicable designation though: Southern California, with a race coming twenty million, is Tribune Publishing’s big play.”

Categories: Financial, General Tags: , , ,

Builders FirstSource up 65% on $1.63 billion deal

April 13th, 2015 No comments


Shares of Builders FirstSource surged 65% Monday after the Dallas-based manufacturer concluded to buy building materials retailer ProBuild Holdings for $1.63 billion in cash.

Builders FirstSource (BLDR) rose $4.50 Monday to $11.40. About thirteen million shares were traded as of early afternoon, creation it one of the many active stocks of the day and far surpassing the normal volume of 202,000. 

In the deal, expected to tighten in the second half of 2015, Builders FirstSource is looking to capitalize on the redundant liberation of the housing marketplace by expanding and diversifying the product lines in the rarely fragmented marketplace of office building materials.

Created in 2006, ProBuild generated about $4.5 billion in revenue last year by operating lumberyards, millwork shops, gypsum yards and sell stores for contractors and do-it-yourselfers across 40 states.

The dual companies generated about $6.1 billion in combined revenues final year. And the post-merger company’s main categories, together with lumber, windows, doors, millwork and roof trusses, will offer more product options, Builders FirstSource said.

The understanding will “create a some-more diversified association with extended scale and an softened geographic footprint,” Builders FirstSource’s CEO Floyd Sherman pronounced in a statement.

Sherman will be the total company’s CEO.

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Another marriage of cable operators

March 31st, 2015 No comments

downloadCable TV’s Charter Communications CHTR  surged $13.15 (7%) to $196.51 Tuesday after announcing the $10.4 billion partnership of wire user Bright House Networks.

Under conditions of the deal, Charter will own  73.7% of the company, whilst Bright House primogenitor Advance/Newhouse will own 26.3%.

Charter is the nation’s fourth-largest wire operator, with 6.2 million residential and blurb subscribers and 4.8 million Internet business via the U.S.

Privately hold Bright House, the sixth-largest, has 2.5 million subscribers in California, Florida, Alabama, Michigan and Indiana.

“Bright House Networks provides Charter with critical operating, monetary and taxation benefits, as good as vital flexibility,” Charter CEO Tom Rutledge pronounced in a statement. “Bright House has built superb wire systems in tasteful markets which have been possibly complete, or constant with the New Charter footprint. This partnership enhances the scale, and solidifies New Charter as the second largest wire user in the US. I demeanour brazen to operative with the Bright House team, whom we have well known for years, in delivering good products and services to grow the marketplace share.”

Charter formerly concluded to a array of sales, subscriber exchanges and spinoffs to enlarge the size.  That includes profitable some-more than $7 billion for 1.4 million Time Warner Cable TWC business and exchanging an additional 1.6 million subscribers with Comcast  CMCSA  in the arise of the Comcast-Time Warner merger.  The  $45 billion Comcast-Time Warner understanding is still underneath examination by the Federal Communications Commission and Justice Department.

Charter had progressing attempted to squeeze Time Warner Cable.


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RBC Bearings rolls on with aerospace acquisition

March 27th, 2015 No comments
RBC shares have been trade aloft after acquisition.

RBC shares have been trade aloft after acquisition.

Shares of RBC Bearings (ROLL) have been up 14% Friday after the industrial manufacturer pronounced it’s profitable $500 million to buy a section of Dover Corp., a move which diversifies the product lines and shores up the aerospace business.

Shares rose $8.78 to $71.16 in late-morning trade Friday.

After the deal, approaching to tighten after this year, RBC Bearings would own Sargent Aerospace & Defense, a section of Dover which creates tools and provides correct services for airframes, rotorcraft, submarines and land vehicles. It additionally creates hydraulic valves, featured item bearings, featured item fasteners, sign rings and fixing joints underneath multiform brands, together with Kahr, Airtomic and Sargent Controls.

Sargent, formed in Tucson, generates about $195 million in annual revenue. RBC estimates the understanding will supplement about twenty-five cents to 35 cents per widely separated share for the initial 12 months of operations as a total company, and beget assets of $7.5 million in the subsequent 5 years.

“Sargent reserve rarely engineered products to a patron bottom which we know good and offer daily. Their production processes and pattern imagination enter into really good with and element those of RBC Bearings,” pronounced RBC Bearings CEO Michael Hartnett.

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Simon bid for Macerich up to $95.50 a share

March 20th, 2015 No comments

Simon Property Group isn’t giving up on selling mall developer Macerich, raising the bid by $4.50 per share to $95.50 to enhance the portfolio of upscale selling centers in the U.S.

The cash-and-stock understanding would worth Santa Monica, Calif.-based Macerich, that has stakes in 51 malls, at about $16.8 billion. Simon additionally would pretence about $6.4 billion of Macerich’s debt.

“The Macerich house of directors will examination the revised suggest with the monetary and authorised advisors,” Macerich pronounced in a statement.

On Mar 9, Simon suggested a antagonistic bid to buy Macerich for $91.00 a share in money and stock. Eight days later, Macerich’s house deserted the offer, observant it “substantially undervalued” the company’s value.

Simon, that is formed in Indianapolis, pronounced the ultimate cost is the “best and final” offer.

Shares of Macerich (MAC) fell 6.2% to $87.69 in Friday sunrise trading.

Shares of Simon (SPG) rose 1.6% to $195.20.

In a minute to Macerich CEO Art Coppola antiquated Friday, David Simon, CEO of Simon, pronounced he doesn’t instruct to lengthen his office and offering to give up from nominating directors for the Macerich board.

Simon will repel the suggest if there is no assembly to come to conditions terms and conditions by 5:00 p.m. on Apr 1, Simon wrote.

“Macerich’s preference to adopt impassioned defensive measures is disappointing,” Simon wrote. We “do not hold a protracted, multi-year substitute conflict is in the interests of the shareholders of possibly company.”

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Rite Aid up on takeover rumors

March 19th, 2015 No comments

Investors one after another to dip up Rite Aid shares Thursday, reacting to rumors that the drugstore sequence could be an merger target.

Shares of Rite Aid (RAD) rose 2.6% on complicated volume trade to finish Thursday at $8.23. On Wednesday, the batch rose 6.2%.

Walgreens Boots Alliance (WBA), that operates the Walgreens chain, is meddlesome in merger deals as some-more changes in the U.S. healthcare complement triggered by Obamacare emanate brand new opportunities for the company, WBA CEO Stefano Pessina pronounced recently.

“The subsequent big one will substantially be in the U.S. since it is such a big market. It is a erotically appealing market,” Pessina said at a new conference.

Rite Aid is posterior an merger understanding of the own, anticipating to seaside up the benefits government business. In February, Rite Aid agreed to compensate about $2 billion to buy curative benefits physical education instructor EnvisionRx in a money and batch deal.

On Thursday, Rite Aid pronounced it lifted $1.8 billion in notes, profitable 6.125%, to account the money apportionment of the deal.

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Macerich’s bid rejection drives investors to sell

March 18th, 2015 No comments

Investors one after another to unpack shares of Macerich Co. Wednesday after the mall developer deserted a antagonistic $16 billion bid from Simon Property Group.

“After clever consideration, the Macerich house of directors unanimously dynamic that Simon Property Group’s unsolicited suggest significantly undervalues Macerich and fails to simulate the full worth of the portfolio,” pronounced Macerich CEO Arthur Coppola, in a statement Tuesday.

Macerich (MAC) was trade down 0.32% on Wednesday to $91.31, after shedding about 4% on Tuesday after Copppola’s minute was issued.

Shares of Simon Property (SPG) rose $0.52% to $187.10.

On Mar 9, Indianapolis-based Simon Property suggested a bid to buy Macerich, claiming it had no preference but to have the vigilant open given the progressing try for an merger understanding went unanswered.

Simon sought to suggest $91 per share in money and Simon shares for all of Macerich, together with presumption Macerich’s $6.4 billion of superb debt. Macerich shareholders would embrace half of their care in money and Simon usual batch if the understanding is approved.

“It has right away been good over a week given we met to plead Simon’s seductiveness in appropriation Macerich, and I am unhappy you have not gotten behind to me as you pronounced you would,” Simon CEO David Simon wrote in a minute to Coppola.

Macerich, that owns stakes in 51 selling centers, would be an tasteful merger target, given it “represent(s) a clever vital and geographic fit for Simon,” Simon said. In November, Simon disclosed it paid for 3.6% of Macerich.

In explaining his warding off to rivet in a deal, Copppola pronounced Macerich has sole “lower quality” malls to account the growth tube has projects in some-more sought-after neighborhoods.

Macerich was improved off but Simon’s ultimate offer, Coppola said, given the sales per block feet continues climb and the skeleton to outlay $400 million to $500 million a year in the subsequent 5 years to set up some-more malls.

If the understanding is closed, Simon would have sole a little Macerich resources to General Growth Properties. But Coppola pronounced the devise was “stockholder-unfriendly and raises questions of legality.”

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