Tags: BMC | Software | Shares | Buyout

BMC Software Shares Rise on Buyout Reports

Monday, 01 Oct 2012 04:11 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
BMC Software Inc is exploring a potential sale of the company and has retained Bank of America Merrill Lynch to assist with the strategic review, people familiar with the matter said on Monday.

Bankers for the business software maker have approached potential suitors including large technology companies and private equity firms to gauge their interest in buying all or part of the company, the people said.

BMC Software's shares rose 3.3 percent to $42.85 on Nasdaq Monday. The news of the potential sale was first reported by The Wall Street Journal. At that price, BMC has a market value of a roughly $6.9 billion.

BMC, which makes software for storage management, database performance and data recovery, was under pressure to sell itself earlier this year from Elliott Management, a $20 billion activist hedge fund run by Paul Singer.

BMC could not immediately be reached for comment, and Elliott declined to comment.

Elliott and its associates collectively owned 7.7 percent of BMC stock as of Aug 2.

The people asked not to be identified because the matter is not public.

In July, BMC said it had reached an agreement with Elliott and would expand the size of its board to 12 directors, adding two Elliott nominees.

During its proxy campaign, Elliott had presented a list of potential buyers for the company. The list included International Business Machines Corp, Oracle Corp and Dell Inc, and private equity firms KKR & Co LP, Blackstone Group LP and Bain Capital.

© 2014 Thomson/Reuters. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
You May Also Like
Around the Web
Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved