Why Advent Software Shares Popped
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Advent Software have popped today by as much as 12% on reports that the company is exploring a possible sale.
So what:Reuters exclusively reported that Advent has tapped investment bank Qatalyst Partners to spearhead a possible sale of the company. The data software maker had a market value of $1.3 billion before the move, and there has reportedly been some interest from multiple private equity firms.
Now what: The company is at the second round of bidding, according to sources, but there is still a large gap between what the company is looking for and what prospective buyers are willing to pay. The auction may not lead to a deal due to this spread, and neither Advent nor Qatalyst responded to requests for comment. Shares have tapped fresh 52-week highs on the speculation.
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The article Why Advent Software Shares Popped originally appeared on Fool.com.Fool contributor Evan Niu, CFA, has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.