Thursday, May 2, 2013

Goldman Takes Ebix Private as Probes Said to Intensify




Goldman Sachs  made its $820 million offer to take Ebix Inc. private as U.S. regulators intensify their probes of the insurance software maker, people familiar with the matter told Bloomberg.

The all-cash deal amounts to about $20 a share, Atlanta- based Ebix said yesterday. Its shares jumped 11 percent on the news to $20.60 in Nasdaq trading, the biggest one-day gain since October 2011. The shares dropped 21 cents to $20.39 at 10:32 a.m. today in New York. A “go-shop” provision allows Ebix to solicit competing bids in the next 45 days.

Should no better offer emerge Goldman will become the owner of a company whose accounting practices were already under scrutiny by the U.S. Securities and Exchange Commission in November, according to four people with direct knowledge of the matter.

Ebix is also the subject of an Internal Revenue Service investigation, according to this person…

No comments:

Post a Comment