Somera Communications (SMRA), a seller of equipment to telecom companies, saw its shares more than double after the company agreed to be acquired by Telmar Network Technology. Stockholders of Somera will receive $4.60 a share in cash from Telmar. The shares closed Friday at $2.06 and were lately surging $2.24, or 109%, to $4.30.
During the last year, Somera has traded in a range of $1.90 to $16.50. Somera said the combined firm will concentrate on providing the telecom market with reliable, high-quality and cost-effective products for network maintenance, expansion and asset management.
Nearly half of ACS Motion Control's (ACSEF) market cap vanished on word the company has lost a big customer order. The maker of motion-control products was notified by one of its customers that, because of a redesign of its system, as of the fourth quarter it will no longer require the products that it had been purchasing.
The sales ACS will be losing accounted for 13% of its revenue last year and roughly 26% of the total in the first half of 2006. ACS said it plans to use "resources that will become available to increase its marketing efforts in an attempt to compensate for the loss of revenues." Shares of ACS sank $3.35, or almost 47%, to $3.84.Finisar (FNSR - Get Report) rose 4% after the network-equipment company won $78.9 million in damages from DirecTV (DTV) as part of a patent infringement lawsuit. A jury in federal district court found that DirecTV and its affiliates were "literally and willfully infringing upon Finisar's information transmission patent," Finisar said in a press release. Shares of Finisar were recently trading up 12 cents to $3.41. WPCS International (WPCS) rose 3% after the company, which provides wireless-engineering services, signed a letter of intent to acquire Southeastern Communication Service for $1.8 million in cash and $1.4 million in stock. Southeastern posted 2005 revenue of $6.4 million and adjusted earnings before interest and taxes of $730,000. The company is expected to post 2006 revenue of $7.5 million and earnings before interest and taxes of $850,000. "With the pending acquisition of SECS, we gain a company with a reputation for offering outstanding wireless engineering services to a highly visible customer base," WPCS said. Shares were trading up 23 cents to $7.64. Other technology movers included Sirius Satellite Radio (SIRI - Get Report), up 12 cents to $4.59; Microsoft (MSFT), up 29 cents to $22.79; Sun Microsystems (SUNW), down 10 cents to $4.08; Intel (INTC), up 23 cents to $18.23; Oracle (ORCL), down 32 cents to $14.58; Qualcomm (QCOM), up 57 cents to $40.07; Cisco Systems (CSCO), down 6 cents to $19.55; Apple Computer (AAPL), down 2 cents to $58.81; XM Satellite Radio (XMSR), up 23 cents to $3.69; JDSU (JDSU), down 2 cents to $2.59; and Lucent Technologies (LU), down 2 cents to $2.38.