Riverbed Technology Inc said it would review strategic options and started a restructuring program to cut costs, three days after activist investor Elliott Management reaffirmed its offer to purchase the network equipment maker.The company's stock rose 4.5 percent to $18.90 on Thursday.The restructuring is aimed at reducing annual costs by $20-$25 million and improving operating margins by 1-2 percent, Riverbed said in a statement.Elliott, which has a 10.5 percent stake in the company, commended Riverbed's board for initiating the strategic review.
Riverbed Technology, Inc. (Riverbed) has developed solutions to the fundamental problems associated with information technology (IT) performance across wide area networks (WANs). Shares of RVBD traded higher by 3.93% or $0.71/share to $18.79. In the past year, the shares have traded as low as $13.77 and as high as $22.76. On average, 1313060 shares of RVBD exchange hands on a given day and today's volume is recorded at 2590244.
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