Top Tech Stocks
Technology stocks were edging higher, with shares of technology companies in the S&P 500 gaining about 0.3%.
In company news, Furmanite Corp ( FRM ) rose Monday after the technology-services company received a non-binding buyout proposal from an unidentified strategic investor offering a cash price for FRM shares at a "substantial" premium to current market prices.
In a statement, the Furmanite board of directors said they believe the indication of interest could lead to a binding offer, adding the company will soon hire an investment banker to assist with evaluating any offer as well as determining other strategic options.
The possible buyout bid follows an investor group on Friday slamming Furmanite management for last week moving the company's scheduled annual shareholders meeting following the surprise April 24 resignation of Board Chairman Bill Ahm. "A complete change in board composition is long overdue, Mustang Capital Managing Partner John Linnartz wrote in an open letter to other shareholders detailing his bid to elect four new members to the Furmanite board over the company's slate.
The rescheduled shareholders' meeting currently is slated for Thursday, May 7, although the Furmanite board said it expects to again postpone that meeting until June 4 in order to begin discussions with the prospective buyer.
FRM shares were up more than 20% at $8.69 apiece, earlier advancing to a session high of $9.25 a share. The stock has traded within a 52-week range of $5.75 to $12.00 a share, dropping almost 31% over the past 12 months prior to Monday's rally.
In other sector news,
(+) CYNI, (+27.7%) Agrees to $400 mln buyout offer from Ciena ( CIEN ), which will pay $4.75 per share in cash and stock. Adjusted Q1 net loss of $0.14 per share beats by $0.01. Revenue rises 89.5% to $36 mln, beating estimates by $660,000.
(-) CEVA, (-11.2%) Adjusted Q1 EPS of $0.08 tops Capital IQ consenus by $0.01 per share. Revenue climbs 0.7% year over year to $13.8 mln, topping estimates by around $560,000.
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