BOSTON ( TheStreet) -- Cypress Bioscience ( CYPB) was one of several stocks poised to move on above-average volume Monday after an investment manager offered to acquire the company at a 60% premium.
Cypress Bioscience shares rose after Ramius Value and Opportunity Advisors, a subsidiary of Ramius, sent a letter to the board of Cypress offering to acquire all of the outstanding shares of the company that it does not already own for $4 per share in cash. Ramius currently owns 9.9% of the outstanding common stock of Cypress, making it one of the company's largest shareholders. "The Cypress board needs to realize that a management team that continues to destroy shareholder value by making increasingly risky investments with shareholder money is not a management team to follow blindly," Ramius Partner managing director Jeffrey Smith said in a statement. "The correct conclusion at this juncture is to stop, hire a reputable banker, and maximize value for all shareholders." Ramius said that in addition to the all-cash offer, it would be willing to consider an acquisition structure that would allow management to continue the development of the recently acquired BL-1020 anti-psychotic drug if they are able to fund the required financing for the Phase IIb trial themselves or from a third party financing source. Shares of Cypress Bioscience jumped by $1.03, or 41.2%, to $3.53 in the premarket session. The average daily share volume for is 1.8 million. Elsewhere, Zagg ( ZAGG) shares jumped by 26 cents, or 10%, to $2.87 in the premarket session after the company said its tests show that its invisibleSHIELD help prevent loss of signal strength due to Apple'siPhone 4 antenna. The average daily share volume for Zagg is 218,000. Tomkins PLC ( TKS) shares trading in New York surged by $4.67 cents, or 33.7%, to $18.54 in the premarket session after the U.K. manufacturing company said it has received a cash bid from Canadian private-equity firm Onex Corp. that values the company at €2.86 billion ($4.38 billion). The average daily share volume for Tomkins is 115,000. -- Written by Robert Holmes in Boston. Check out all of Monday's high-volume, under-$5 stocks at the Dollar Store. View the Dollar Store portfolio on StockPickr. Follow Robert Holmes on Twitter and become a fan of TheStreet.com on Facebook.