Access Co. acquires PalmSource Inc.
Japan’s Access Co. has announced that they are acquiring the popular PDA software firm PalmSource Inc. Access is known for their NetFront Internet browser for mobile devices and the deal is worth around $324.3 million and it would be paid in cash. The news led to a surge in the share prices of the PalmSource Company as the share price touched an impressive $17.98, which is around 78% more than yesterday,â€™s price.
In fact, the reports say that the share traded a lot in the market after the news of the acquisition came and it was todayâ€™s biggest percentage gainer among tech issues at the NASDAQ. The deal means that Access would be paying $18.50 a share for PalmSource, which is based in California. The deal has been approved by the board of both the companies and the deal is expected to be formally complete by the end of the year.
PalmSource was once a part of the Palm Inc. group and separated around 2 years back. They develop the very popular Palm operating system software, which is being used on around 39 million handheld devices and smartphones worldwide. The company however is in a financial mess considering it reported a loss of around $700,000, or 4 cents a share sometime back.
The company also recently announced plans to cut 16% of its 292 workers in June.