NEW YORK (TheStreet) -- Shares of Actuate Corp. (BIRT) are climbing higher by 87.14% to $6.55 on very heavy volume in mid-morning trading on Friday, after the company announced it's being acquired by OpenText Corp. (OTEX) for $6.60 per share, or approximately $330 million.
The transaction was unanimously approved by the board of directors of both companies, and the deal is expected to close in the first quarter of 2015.
Actuate is a provider of software and services to develop and deploy custom business intelligence and information applications. OpenText is a Canada-based company that provides software products and services to assist organizations in finding, utilizing, and sharing business information.
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"The addition of Actuate enables OpenText to enhance their products with embedded analytics as well as enter a growing market. Together Actuate and OpenText will seek to extend the benefits of embedded analytics to more geographies and industries," the companies said.
Shares of OpenText are higher by 1.69% to $59.26 this morning.
Separately, TheStreet Ratings team rates ACTUATE CORP as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate ACTUATE CORP (BIRT) a SELL. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity and generally disappointing historical performance in the stock itself."