Wednesday's Tech Winners & Losers

Shares of Redback Networks(RBAK Quote) were among technology's winners Wednesday, jumping 19% after the networking-equipment maker agreed to be acquired by Ericsson(ERIC Quote) for $2.1 billion, or $25 a share.

"The acquisition of Redback will play a key role in Ericsson's strategy to help telecommunications carriers lower costs and upgrade their networks for broadband, telephone, video and mobility services," Redback said in a press release. "Redback will retain its management team and operate as a wholly-owned subsidiary of Ericsson." The deal is expected to close in early 2007. Shares of Redback were trading up $3.92 to $24.95, while shares of Ericsson fell 3 cents to $40.59.

Systemax(SYX Quote) jumped 19% after the computer distributor posted big year-over-year gains in earnings and sales. For the third quarter, the company earned $12.5 million, or 33 cents a share, on revenue of $575 million. A year earlier, earnings were $3.9 million, or 11 cents a share, on revenue of $488.5 million.

"I am extremely pleased with our third quarter results, highlighted by our 18% sales increase," said CEO Richard Leeds. "Our internet sales continued their growth pattern accounting for 34% of total sales. Internet sales are the most efficient way to serve our customers and have contributed to our increased operating profit without significant additional costs." Shares were trading up $2.67 to $17.02.