Daily Journal Acquires Revir Technologies in Surprise Deal
DJCO sits 83% above its 52-week low of $348.63.
Summary
Daily Journal announced it is acquiring Revir Technologies, a move that expands the company beyond its newspaper and Journal Technologies software operations. No purchase price, financing terms, or revenue contribution were disclosed in the headline, so the financial impact is unclear. The deal follows a September 11 shareholder vote that eliminated cumulative voting and added proxy access, signaling a board focused on governance changes. Daily Journal's last reported quarter showed 15.3% revenue growth to $27.0M but a $10.9M net loss from unrealized securities losses, so any cash outlay for this acquisition matters. Watch for an 8-K or press release with deal terms and how management plans to fund the purchase.
At the time of this announcement, DJCO was trading at $638.60 on NASDAQ in the Technology sector, with a market capitalization of approximately $880M. The 52-week trading range was $348.63 to $692.50. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.