Shares of SBS Technologies (SBSE) were among technology's winners Monday, soaring 50% after the computer-parts maker agreed to be acquired by a General Electric (GE - Get Report) venture for about $215 million, or $16.50 a share, in cash.
The buyout price represents a 55% premium to Friday's closing price of $10.64. "SBS Technologies is more than an acquisition for GE Fanuc Embedded Systems, it is a great strategic fit," said GE Fanuc, a venture between GE and Japan's Fanuc Ltd., in a statement. "The combination of the two companies will provide depth and breadth in crucial product areas primed for growth." The deal is expected to close during the third quarter. SBS shares were trading up $5.40 to $16.04.
VeriSign (VRSN - Get Report) rose modestly after the company agreed to acquire privately held m-Qube for $250 million. "VeriSign is combining its world-class expertise, applications and infrastructure to make content convergence over any network and any device a reality," VeriSign said. "m-Qube will increase our leadership and expand our services in this emerging category." The m-Qube acquisition marks the third such transaction during the past month for VeriSign. Last month, the company acquired 3united, a wireless-applications service provider; earlier this month it bought Kontiki, a provider of managed peer-delivery systems. The m-Qube acquisition, which is expected to be neutral to VeriSign's earnings for the rest of 2006, is expected to close during the second quarter. Shares of VeriSign were recently trading up 27 cents to $23.49.
Shares of Vyyo (VYYO) traded actively after the company posted fourth-quarter results and announced a new financing agreement. The company reported a fourth-quarter loss of $14.8 million, or 96 cents a share, on sales of $286,000. The results included a charge of $11.8 million and a one-time gain of $2.5 million. For the year-earlier period, the company recorded a loss of $8.5 million, or 57 cents a share, on sales of $570,000.