Gigaom’s Barb Darrow posts on the difficulties Rackspace is having and how Morgan Stanley has stepped in to help.
Ruh-roh. Rackspace brings Morgan Stanley aboard to evaluate its options
by
11 HOURS AGO7 Comments
SUMMARY:Faced with cut-throat pricing by cloud giants, you had to wonder how Rackspace, with its service-centric approach, could keep up.
And, Rackspace pops with news of who is looking to buy them.
Rackspace Pops On M&A Signal; AT&T, HP, Cisco Loom
Posted 08:25 AM ET
AT&T, Hewlett-Packard (HPQ), EMC (EMC), Cisco Systems and IBM loom as possible buyers of Rackspace Hosting (RAX), whose stock jumped late Thursday after the company said it had hired Morgan Stanley to explore strategic options, including a sale or partnership.
Rackspace's stock rose 14% before the market open in the stock market today. Shares in Rackspace popped 7% on Thursday — mostly on last-minute spike — after Bloomberg reported that Rackspace made a regulatory filing. Rackspace said in the filing that "multiple parties" had approached the company about a takeover or alliance.
Read More At Investor's Business Daily: http://news.investors.com/technology/051614-701130-rackspace-stock-pops-cloud-company-explores-sale-partnership.htm#ixzz31tpZVPg3
Follow us: @IBDinvestors on Twitter | InvestorsBusinessDaily on Facebook