Update (4:49 p.m. EST): Updated with closing price, day high and low prices, price change and volume information.
NEW YORK (TheStreet) -- Autobytel Inc. (ABTL) rose 20.78% to $16.45, up $2.83 from its previous close of $13.62, at the close of the trading day on Tuesday after the company announced that it had acquired AutoUSA, an established leader in Web-based auto leads and service, from AutoNation, Inc. (AN)The stock had a volume of 676,021, well above its average of 228,968. It hit a high of $16.60 and a low of $14.32 for the day. The $16.60 figure also represents a one-year high.
According to the Autobytel's statement, it bought the Ft. Lauderdale, Fl.-based company for $10 million in cash, plus "a $1 million, 6% convertible note payable in one lump sum in five years and convertible to Autobytel common stock at a conversion price reflecting a 20% premium over the price of Autobytel's common stock on the date of closing, and warrants giving AutoNation the right to purchase approximately $1 million of Autobytel's common stock at an exercise price reflecting a 5% premium over the price of the stock on the date of closing."
Autobytel, an Irvine, Calif.-based automotive media and marketing services company that offers auto dealers and manufacturers brand and product marketing opportunities, expects the acquisition to increase its reach and influence by growing its new and used car dealer network to more than 5,200 from approximately 3,800.
TheStreet Ratings team rates AUTOBYTEL INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation: