(aus Suntr.-Board)
Wer an KANA -925938- glaubt, kann die aus der Fusion mit BBSW entstehende
"neue KANA" heute immer noch über BBSW-Aktien -925701- mit
20 % Rabatt kaufen. Warum dies ?
BBSW-Aktionäre erhalten auf Grund des Mergers (s.unten)1,05 KANA-Aktien.
Gestriger Schlusskurs KANA 0,81 $ x 1,05 wären 0,85 $,
gestriger Kurs BBSW (nur) 0,70 $
Analysten werten die Fusion durchaus auch als positiv, vor allem für KANA
April 10, 2001
Kana to Acquire BroadBase
In $71.4 Million Stock Swap
A WSJ.com News Roundup
REDWOOD CITY, Calif. -- Kana Communications Inc. agreed to acquire Broadbase Software Inc. in a $71.4 million stock swap aimed at helping Kana improve its position in the market for online customer-relationship management software.
The announcement comes days after the two Internet software companies warned their quarterly losses will be greater than expected as sales fell short of estimates. Neither company has a permanent financial chief and both are restructuring.
Under the deal, Broadbase shareholders will receive 1.05 shares of Kana, which has 93.8 million shares outstanding, for each of their shares. Kana shares closed Friday at 88 cents on the Nasdaq Stock Market, while Broadbase, which has 4 million shares outstanding, saw its stock close at 78 cents on Nasdaq.
Besides helping Kana improve its product offering, the move also would help Kana refill its dwindling cash reserves. It had just $20 million in cash at the end of March, down from $77 million three months earlier. Meanwhile, Broadbase had $130 million at the end of March, but sported a market cap of about half its cash balance.
The combined company, to be called Kana Software, will have $100 million in cash and a market capitalization of $200 million. Six months ago, the two software companies combined were worth $3.6 billion.
Some Wall Street analysts were skeptical of the combination, given the two companies' current struggles and tough market conditions. "It's a merger of cash right now," said Bill Chappell, analyst at Robinson-Humphrey Co. "To combine the two gives them a cash basis to continue on for a few quarters."
Others viewed the merger in a more positive light, saying the new entity, to be called Kana Software, has a far better chance of surviving than the two pieces do on their own.
"Give both companies credit," said Ben Rose, analyst at Adams, Harkness & Hill Inc. "They are emerging from having buckets of cold water thrown on them, and [realize] the only way to deal with the situation is to get changed and get re-suited."
Chuck Bay, chief executive of Broadbase, will become president and CEO of Kana Software and Jay Wood, Kana's chairman and CEO, will serve as chairman of the combined company.
Mr. Bay said the new company will focus on trimming expenses, integrating products and reaching cash flow break-even, which he said should happen within a year.
Kana, which laid off 20% of its staff in March, expects additional work-force reductions at the companies as a result of the acquisition; it didn't provide details.
Wer an KANA -925938- glaubt, kann die aus der Fusion mit BBSW entstehende
"neue KANA" heute immer noch über BBSW-Aktien -925701- mit
20 % Rabatt kaufen. Warum dies ?
BBSW-Aktionäre erhalten auf Grund des Mergers (s.unten)1,05 KANA-Aktien.
Gestriger Schlusskurs KANA 0,81 $ x 1,05 wären 0,85 $,
gestriger Kurs BBSW (nur) 0,70 $
Analysten werten die Fusion durchaus auch als positiv, vor allem für KANA
April 10, 2001
Kana to Acquire BroadBase
In $71.4 Million Stock Swap
A WSJ.com News Roundup
REDWOOD CITY, Calif. -- Kana Communications Inc. agreed to acquire Broadbase Software Inc. in a $71.4 million stock swap aimed at helping Kana improve its position in the market for online customer-relationship management software.
The announcement comes days after the two Internet software companies warned their quarterly losses will be greater than expected as sales fell short of estimates. Neither company has a permanent financial chief and both are restructuring.
Under the deal, Broadbase shareholders will receive 1.05 shares of Kana, which has 93.8 million shares outstanding, for each of their shares. Kana shares closed Friday at 88 cents on the Nasdaq Stock Market, while Broadbase, which has 4 million shares outstanding, saw its stock close at 78 cents on Nasdaq.
Besides helping Kana improve its product offering, the move also would help Kana refill its dwindling cash reserves. It had just $20 million in cash at the end of March, down from $77 million three months earlier. Meanwhile, Broadbase had $130 million at the end of March, but sported a market cap of about half its cash balance.
The combined company, to be called Kana Software, will have $100 million in cash and a market capitalization of $200 million. Six months ago, the two software companies combined were worth $3.6 billion.
Some Wall Street analysts were skeptical of the combination, given the two companies' current struggles and tough market conditions. "It's a merger of cash right now," said Bill Chappell, analyst at Robinson-Humphrey Co. "To combine the two gives them a cash basis to continue on for a few quarters."
Others viewed the merger in a more positive light, saying the new entity, to be called Kana Software, has a far better chance of surviving than the two pieces do on their own.
"Give both companies credit," said Ben Rose, analyst at Adams, Harkness & Hill Inc. "They are emerging from having buckets of cold water thrown on them, and [realize] the only way to deal with the situation is to get changed and get re-suited."
Chuck Bay, chief executive of Broadbase, will become president and CEO of Kana Software and Jay Wood, Kana's chairman and CEO, will serve as chairman of the combined company.
Mr. Bay said the new company will focus on trimming expenses, integrating products and reaching cash flow break-even, which he said should happen within a year.
Kana, which laid off 20% of its staff in March, expects additional work-force reductions at the companies as a result of the acquisition; it didn't provide details.
