More Broadcast Vendor M&A: Buyout Speculation Drives Kit Digital Higher

Posted by Joe Zaller
Mar 29 2012

The stock price of IPTV video delivery specialist KIT Digital continues to be a roller coaster.  Last week the  company’s stock dropped more than 22% in one day following the disclosure that four directors had resigned from the company’s board, and that Kaleil Isaza Tuzman will step down as CEO and become chairman on March 31st.

Today the company’s shares soared after Roth Capital said in a note to investors that KIT Digital is preparing to be sold, with the likely buyers being a private equity firm.

KIT Digital is no stranger to M&A, having bought and rolled up more than a dozen companies over the past few years.  KIT hinted that it might be acquired earlier this month when it announced that it had formed a strategic transaction committee to vet potential offers.

It will be interesting to watch this play out.

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Related Content:

Management and Board Shake Up at KIT Digital Sends Stock Down 22.3 Percent

Kit digital Says its Revenue Doubled in 2011, Forms Strategic Transaction Committee

KIT digital Revenues Jump 98% in Q1 2011, Says M&A Phase is Over and Company Will Now Focus on Organic Growth Strategy

More Broadcast Vendor M&A: Kit Digital Buys ioko for $79.4m, Completes Buying Spree

More Broadcast Vendor M&A: Kit Digital Buys Three Companies for $77m, Says Larger Acquisition is Coming

More Broadcast vendor M&A: Kit digital Acquires Polymedia for $34.4 Million

KIT digital Reports Q4 and Fiscal 2010 Results, Raises Guidance, Says Big M&A Deal Still on Track

Kit digital buys KickApps, Kewego, and Kyte

Kit digital sells $100m of stock, says proceeds will be used to fund broadcast industry M&A activities.

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