Hit #168 (Acxiom)

Acxiom (ACXM), which has had buyout offers before, finally seems to have received a bid that is likely to go through. A $2.25 billion cash offer from ValueAct Capital and Silver Lake Partners is the latest one. Business Week has a story on how this is turning into a battle between hedge funds, with another large holder Millbrook Capital Management thinking, rightly in my opinion, that this offer grossly undervalues the future potential.

The current offer of $27.1/share makes for a gain of 14.98% over my average cost of $23.57, but the final price may be somewhere close to $35 before this battle is over.

I had mentioned Acxiom repeatedly in the past - in a note on defense/security targets and again in a post on Engineered Support Systems' takeover by Boeing.

A player in a related sector, Choicepoint (CPS), could also become a target down the road. The stock isn't cheap today, and a pullback is needed before I can consider opening a position.

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Previous hit - ecollege (#167)