American Software Raises Bid for Logility

Logility ( LGTY) shares are soaring on Monday on the heels of American Software's ( AMSWA) increase of its offer to purchase the company.

Shares skyrocketed 35% to $6.94 in afternoon trading, after American Software said it will offer $7.02 a share for all of the outstanding shares of Logility. This is a 40.4% premium over its closing price on March 18.

American Software previously offered $5.10 a share. Currently American Software owns 88% stake in Logility.

Logility's special committee reviewing the tender offer said in a statement that they will recommend that shareholders accept the proposal at the new offer price.

Shares of American Software grew 4% to $5.08 in afternoon trading.

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