Snyder Communications Hires Deutsche Bank to Explore Alternatives

The stock surged on the move, seen as a preliminary step to sell the marketing services company.
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Snyder Communications

(SNC)

, a marketing services company, said Thursday that it had hired

Deutsche Bank Alex. Brown

to evaluate "strategic alternatives to maximize shareholder value."

The announcement, interpreted as a preliminary move to sell the Boston-based company, sent the stock surging 3 5/8, or 23%, to 19 7/16, capping a recent run-up in the share price. (Snyder ended up 3 3/16, or 20%, to 19.)

Snyder did not elaborate on its terse statement.

Adweek

reported that Snyder decided to hire the investment bank after it received a takeover offer from an undisclosed agency group, valuing the company's shares in the mid $20s.

Snyder provides advertising, marketing and public relations services through its subsidiaries, which include

Arnold Worldwide

,

Circle.com

,

Brann Worldwide

and

Bounty SCA Worldwide

.