CA Technologies Up 6% After Hours

Shares of one of our newbies, CA Technologies ($CA), got a nice boost after the close when Taconic Capital said they took a 5% stake in the company.

According to a filing with the Securities and Exchange Commission, Taconic owns 5.14 percent, or about 25.4 million shares, of CA as of Jan 6, which it acquired for about $563.5 million.

Taconic said the company needed to increase margins in its enterprise business segment and implement a senior management compensation structure that is based mainly on total shareholder returns rather than on absolute growth metrics.

“The Reporting Persons recognize management’s recent efforts to begin addressing these issues, but they emphasize the importance of taking substantial and timely action in pursuit of these objectives,” Taconic said.

The stock was up about 6% after hours.

Oh….one more thing, Taconic is absolutely right.

Posted by on January 11th, 2012 at 11:38 pm


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