Alvarion Gains Most on Record on Report of Sale: Tel Aviv Mover
Alvarion Ltd. (ALVR) advanced the most in more than 11 years on a newspaper report that the developer of wireless access solutions is in talks to be sold to a U.S. company.
The shares rallied 33 percent, the biggest jump since July 2001, to 2.09 shekels at the close in Tel Aviv in 24 times the three-month average daily volume. The TA-25 benchmark index dropped 0.8 percent.
Calcalist reported today that talks with the U.S. company are for a share swap that would value Alvarion at as much as $50 million. Alvarion’s market value rose to 118 million shekels today ($31.7 million). The company is in talks with potential investors interested in buying a stake, Chief Financial Officer Lior Shemesh said on Oct. 2.
Earlier this month Calcalist reported Alvarion is in talks to sell its WiMax unit to Fortissimo Capital, a Rosh Haayin, Israel-based private equity fund. The company announced the sale of a part of its patent portfolio in on Oct. 1 to Wi-LAN Inc. for $19 million.
The company’s Vice President of Investor Relations Elana Holzman declined to comment on the Calcalist report when contacted by Bloomberg today.
To contact the editor responsible for this story: Claudia Maedler at email@example.com