ACI Worldwide ( NASDAQ: ACIW ) receiving takeover interest isn't a surprise after the company appointed an interim CEO in November, according to DA Davidson.
Bloomberg on Wednesday reported that the payments-software firm is said in takeover talks with private equity firms. The company is working with advisers as it evaluates takeover interest. The news sent ACIW shares soaring 13% on Wednesday and the stock rose an additional 3% on Thursday.
"... we don’t view the rumor as a real surprise," DA Davidson analyst Peter Heckmann wrote in a note on Wednesday. "ACI had been rumored to have been approached by potential buyers and to have considered a potential sale several times since 2019."
The report comes after speculation in early November that the digital payments company could see pressure for a sale with a lack of a permanent chief executive officer as the company named an interim CEO at the time.
At the time of CEO news, DA Davidson stated that it believed the board should reconsider looking at strategic alternatives concurrent with the CEO transition. The firm has a buy rating and $29 price target on ACI Worldwide ( ACIW ).
Also see last month from SA contributor Heinsite Capital's piece entitled "ACI Worldwide: Lots Of Near-Term Pressure On The Stock."
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ACI Worldwide potential takeover not a surprise, analyst says