Shares of Jda Software Group Inc(NASDAQ:JDAS) rose by $6.61
or 17.33% to $44.76 in Thursday’s session with the news of acquisition by its
rival RedPrairie for about $1.9 billion in cash.
The $45 per-share offer
represents an 18 percent premium over JDA's Wednesday close.
The third quarter results for
JDA was lower than expected as software and subscription revenue slipped 18
percent on weak license sales in Europe and to manufacturers in North America.
The consulting services revenue
fell 4% to $64.3 million mainly due to reduced work from a customer in the
Asia-Pacific region.
The deal is expected to get over
by end of 2012 creating a company with revenue of over $1 billion which is to
be led by JDA's Brewer, the companies said.
Credit Suisse and New Mountain
Capital will fund the deal by giving loan to the company.
Shares of the company were up
12.505 in Wednesday’s session.
Stocks of Radian Group
Inc.(NYSE:RDN) rose $5.37, up 68 cents
or 14.50% in the previous trading session as the company posted its first quarterly
profit this year.
The company wrote $10.6 billion
of new mortgage insurance in the third quarter, a rise by 159% in comparison to
last year.
However the third quarter net
income fell by almost 92% to $14.3 million, or 11 cents per share in comparison
to last year.
The third quarter profit
included net gains on investment of $84.7 million, a rise by 4% in comparison
to last year.
Radian Guaranty's
risk-to-capital ratio improved to 20.1:1 as of the end of the September quarter
from 21:1 as of the end of June. Most U.S. states allow a maximum
risk-to-capital ratio of 25 to 1.
The bankruptcy of PMI Group Inc
and the forced stop writing of new insurance of Old Republic Inc led to the
gain in market share of Radian Inc.
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