E-Stamp Shares Rise on Reorganization Plans

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Shares of Internet postage group

E-Stamp

(estm)

skyrocketed Monday after it announced plans to phase out its Internet postage product line to focus on its Web-based shipping and logistics solutions.

The company also said it had struck a deal to direct its postage customers to French postal equipment maker

Neopost

, which operates an online service called

Simply Postage

.

Shares of E-Stamp surged 111%, or 31 cents, to 63 cents in

Nasdaq

trading Monday morning.

E-Stamp said it will reduce staff by about 30% as a part of the reorganization.