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MRV is reabsorbing Luminent
Less than a year after spinning out its optical component subsidiary,networking systems designer MRV Communications Inc. has announced it will reabsorb the unit. The Chatsworth, Calif.-based company said last week it will merge Luminent Inc., its 92.3%-owned subsidiary, back into the parent due to weak demand in the telecommunications industry. MRV said the consideration, to be offered in exchange for the Luminent shares it does not own, will be determined later. The company also said it intends to seek outside professional advice and consider other strategic alternatives for the unit. Luminent, which makes active and passive optical components for the municipal and access markets, went public at a price of $12 in a Nov. 9 IPO led by Credit Suisse First Boston. Since then, its stock has slid to $1.35 in recent trading. - Olaf de Senerpont Domis (The Daily Deal)
Sopheon, Orbital Software talking
In a move that could create a pounds 22 million ($32.4 million) knowledge management software company, London-based Sopheon plc and crosstown rival Orbital Software Holdings plc said Friday they are conducting preliminary merger discussions. Any deal would involve an all-share offer by Sopheon for Orbital, which has a market capitalization of pounds 8 million. The companies said that a merger would provide each business with an enhanced customer and market reach, as well as stronger cash reserves. But they warned that it is still not certain that a transaction will be completed. Sopheon is being advised by John Mellett, a managing director at HSBC Investment Bank plc. Tom Anthofer, a managing director at Broadview International Ltd. in London, is acting as Orbitals financial adviser. - Joshua Jaffe (The Daily Deal)
Global Sports buying Ashford.com
Global Sports Inc., a King of Prussia, Pa., online seller of sports goods, said Friday it would acquire Ashford.com Inc., the Houston-based online retailer of luxury goods, for about $14.2 million. Ashford.com shareholders will receive 0.0076 of a share of Global Sports common stock and $0.125 cash for each share of Ashford.com common stock. Global Sports said its 2002 sales and earnings would be boosted from the positive impact from the acquisition. Net revenue is expected to exceed $200...