PeopleSupport Gains After IPVG Raises Takeover Offer
PeopleSupport Inc., the Los Angeles- based customer-service and bill-collection manager, rose the most in more than a month in U.S. trading after IPVG Corp. and AO Capital Partners raised their purchase offer for the company.
The new bid is $17 a share, up from the $15 proposed Nov. 30, according to a letter to PeopleSupport that IPVG, a Philippines-based software and Internet-content producer, posted on its Web site today. The all-cash offer values PeopleSupport at about $385.7 million.
PeopleSupport confirmed that it received the bid, according to a statement today distributed by Business Wire. The board will meet in ``due course to review and consider'' the proposal and advise shareholders of its position, it said. Credit Suisse is advising PeopleSupport, it said. Peter Hargittay, a spokesman for PeopleSupport, declined to comment beyond the statement.
The company said Dec. 12 that it would reject the $15-a- share offer, saying it was ``inadequate'' and failed to take into account its successful growth strategy.
Before PeopleSupport's statement was released today, the shares rose $1.34, or 10 percent, to $14.76 at 4 p.m. New York time in Nasdaq Stock Market trading, the most since Nov. 30. The stock has declined 32 percent during the past year.
PeopleSupport provides transcription and captioning and additional services from its centers in the Philippines, Costa Rica and the U.S. Its largest customers are Expedia Inc. and Washington Mutual Inc. and its newer clients include JPMorgan Chase & Co.
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