AllThingsD » Extreme Networks

Extreme Networks Jumps on $100 Million Self-Tender

Eric Savitz — Mon, 11 Aug 2008 14:00:39 +0000

Extreme Networks (EXTR) shares are on the rise this morning after the company announced plans to buy back $100 million of its common stock at a price between $3.30 to $3.70 a share in a “modified Dutch auction” tender offer that will start today and expire Sept. 12. At the low end of the price range, the company would buy back 26 percent of its outstanding shares. The offer will be funded through cash on hand.

Chairman Gordon Stitt said in a statement that “the Board believes that this offer is an opportunity to increase the long-term value of our stock for our stockholders, while at the same time providing stockholders who wish to tender some or all of their shares a way to do so efficiently.”

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Update: Extreme In "Serious" Talks With Bidder, JMP Says

Eric Savitz — Fri, 16 May 2008 18:07:30 +0000

A quick update on my post yesterday regarding rumors that Extreme Networks (EXTR) might be acquired by privately held Enterasys.

In a research note yesterday, JMP Securities analyst Samuel Wilson wrote that “sources suggested to us that at least one interest party has stepped forward to begin serious discussions with the company.” (He did not name any specific buyer.) Wilson contends that in the right hands, the networking equipment maker’s installed base, customers channel and intellectual property “could be worth considerably more than their current enterprise value.”

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What's Up With Extreme Networks?

Eric Savitz — Thu, 15 May 2008 22:41:28 +0000

Is something going on with Extreme Networks (EXTR)?

The networking hardware company’s shares today have jumped 18 cents, or 5.9%, to $3.25; volume totals 2.56 million shares, about triple the daily average. According to one institutional investor in the shares, there are rumors that the company might be an acquisition target for privately held Enterasys, which has apparently acknowledged that it is actively hunting for acquisitions.

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