Alvarion Surges 86% as Report Sparks Takeover SpeculationJessica Summers
Alvarion Ltd., an Israeli maker of wireless communication equipment, surged 86 percent in New York after daily Globes said private-equity firm Sigma Wave Ltd. may acquire the company.
Shares of Tel Aviv-based Alvarion soared the most since March 2000 to 42 cents at 4 p.m. in New York, extending a four-day rally to 125 percent. Trading volume was more than six times the average of the past 90 days. The shares have plunged 89 percent in 2013. Alvarion climbed 78 percent today in Israel, capping the biggest advance since July 2001.
Sigma is interested in acquiring Alvarion, Globes reported yesterday, without saying where it obtained the information. Alon Fishman, an adviser at Sigma, said the private-equity firm is in negotiations to acquire the company.
“It’s not final yet, but we are surely interested,” he said in a telephone interview today. “We hope the process will end positively before the end of this month.”
Alvarion’s Vice President of Investor Relations Elana Holzman based in Tel Aviv, declined to comment.
“It’s just the report about a possible acquisition,” Daniel Rapoport, head of equity and derivatives at Bank Leumi Le-Israel Ltd. said from Tel Aviv by phone. “This is why people are buying.”