Why Is Electronic Equipment Company Iteris Stock Jumping Premarket Friday?
Portfolio Pulse from Lekha Gupta
Iteris, Inc. (NASDAQ:ITI) stock surged premarket Friday after Almaviva S.p.A. agreed to acquire the company in a $335 million all-cash deal. Iteris shareholders will receive $7.20 per share, a 68% premium over the closing price on August 8, 2024. The transaction, expected to close in 2024, will result in Iteris becoming privately held and delisted from Nasdaq. Iteris also reported better-than-expected Q1 FY25 earnings and reiterated its revenue guidance for FY25.
August 09, 2024 | 10:40 am
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Iteris, Inc. (NASDAQ:ITI) stock surged premarket after Almaviva S.p.A. agreed to acquire the company in a $335 million all-cash deal. Shareholders will receive $7.20 per share, a 68% premium over the closing price on August 8, 2024. The transaction is expected to close in 2024, pending approvals, and will result in Iteris becoming privately held and delisted from Nasdaq.
The acquisition news provides a significant premium to the current share price, leading to a positive short-term impact on the stock price. The deal's approval and the company's strong earnings report further bolster investor confidence.
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