AOL Money & Finance

i2 posts

Feed

JDA bulks up with I2

Posted Nov 5th 2009 2:10PM by Tom Taulli (RSS feed)
Filed under: Deals, Oracle Corp (ORCL)

As companies try to find ways to cut costs, one popular approach is to leverage software. And an area that is getting lots of traction is supply chain management. Hey, it's worked for companies like Wal-Mart (NYSE: WMT), right?

A leader in the supply chain software space is JDA Software (NASDAQ: JDAS). Well, now the company is going to get bigger; that is, it will purchase i2 Technologies (NASDAQ: ITWO) for $396 million. In fact, the deal will make JDA the world's largest player in the supply chain space.

Continue reading JDA bulks up with I2

i2 is me-too about selling out

Posted Nov 2nd 2007 10:35AM by Tom Taulli (RSS feed)
Filed under: Private equity, JPMorgan Chase (JPM), Oracle Corp (ORCL)

Despite the plunge in the markets Thursday, the shares of i2 Technologies Inc. (NASDAQ: ITWO) were able to post a 6.6% increase to $18.08. The company, which develops supply chain software, announced its Q3 results. Actually, revenues fell $4.9 million to $66.4 million and net income was $4.5 million, or $0.17 per share.

But what got investors excited was i2's announcement that it is exploring strategic alternatives; that is, the company is thinking of selling out. JPMorgan Chase (NYSE: JPM) is the investment banker on the assignment.

In light of the recent spurt of tech M&A – such as Oracle Corp.'s (NASDAQ: ORCL) bid for BEA Systems (NASDAQ: BEAS) – it seems like a good move. Besides, i2's shareholders seem to be antsy. Keep in mind that hedge fund SAC is a major holder.

However, the major software vendors don't appear willing to pay premium prices. After all, the software seems to be maturing. Moreover, private equity firms have much less firepower (because of the credit crunch).

So, in the case of i2, don't expect a high-priced deal – if one even gets done.

Tom Taulli is the author of various books, including The Complete M&A Handbook and The Edgar Online Guide to Decoding Financial Statements. He also operates DealProfiles.com.

Symbol Lookup
IndexesChangePrice
DJIA+73.0010,270.47
NASDAQ+18.862,167.88
S&P 500+6.241,093.48

Last updated: November 14, 2009: 11:02 AM

BloggingStocks Exclusives

Hot Stocks

DailyFinance Headlines

Latest from BloggingBuyouts

WalletPop Headlines

AOL Business News

BioHealth Investor Headlines

Sponsored Links

Most Commented On (14 days)

My Portfolios

Track your stocks here!

Find out why more people track their portfolios on AOL Money & Finance then anywhere else.

  • My Portfolio
  • Create a New Portfolio

BloggingStocks Partners

More from AOL Money & Finance