(IDT) - Get Report

plans to start a tender offer for the stock of



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that it doesn't already own at a price of $1.70 a share.

IDT owns almost 2.8 million Net2Phone common shares and 28.9 million Net2Phone class A common shares. Those holdings represent about 41% of Net2Phone's equity securities and around 57% of the total voting power.

The company expects to begin the offer after a special committee of the Net2Phone board and its advisers have had an opportunity to review the bid.

Shares of Net2Phone, a provider of Internet communications services, were jumping 36 cents, or 25.5%, to $1.77. The stock closed Tuesday at $1.41, and the 52-week range is $1.37 to $4.58.

IDT offers telecommunications services to retail and wholesale customers. IDT shares were down a penny to $12.99.

Both companies are based in Newark, N.J.