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Wednesday, July 2, 2014

Rackspace may take itself private - TechCrunch, (NYSE: RAX)

Cloud service provider Rackspace Hosting Inc is considering taking itself private and is in talks with a private equity firm to fund the deal, technology blog TechCrunch reported on Wednesday, citing a source.Rackspace, which put itself on the block earlier this year, may make an announcement by the end of this week, TechCrunch reported. ( company's shares jumped 9.5 percent to $36.95 in premarket trading on Wednesday. As of Tuesday's closing, the company was valued at about $4.8 billion.Rackspace has received at least three acquisition bids, including those from Hewlett-Packard Co and IBM, the tech blog reported, citing a source within the company.

Rackspace Hosting, Inc., is the open cloud company. Shares of RAX remained unchanged at $33.75. In the past year, the shares have traded as low as $26.18 and as high as $54.20. On average, 3685130 shares of RAX exchange hands on a given day and today's volume is recorded at 16600.