Benefitfocus (NASDAQ:BNFT) stock is rocketing higher on Wednesday as investors react to a $570 million acquisition deal with Voya Financial (NYSE:VOYA).
That deal will see Voya Financial acquire shares of BNFT stock to the tune of $10.50 per share. That will be paid in cash and represents a roughly 50% premium to the stock’s closing price on Tuesday.
Voya Financial notes that it expects significant strategic benefits from acquiring the benefits administration technology company. It also expects the deal to be immediately accretive to its adjusted operating earnings per share.
Rob Grubka, CEO of Health Solutions at Voya Financial, had the following to say about the deal:
“The capabilities and expertise that we gain with Benefitfocus as part of the Voya family will allow us to better serve other benefits administration providers; help brokers with their value proposition to employers; and create powerful, connected experiences with customers and partners across the workplace benefits industry.”
Approval and Timing of the Deal
Benefitfocus’ Board of Directors has already given its unanimous support to the deal. Now it just needs to complete customary closing conditions. That includes getting approval from regulators and holders of BNFT stock. If all goes well, the deal will close in the first quarter of 2023.
Today’s news brings with it heavy trading of BNFT stock. As of this writing, more than 15 million shares have changed hands as investors buy the stock. For comparison, the company’s daily average trading volume is about 93,000 shares.
BNFT stock is up 48.4% as of Wednesday afternoon.
There’s more recent stock market news for traders to dive into below!
InvestorPlace is ready to go with all the latest stock coverage for Wednesday! Among that is what has shares of Chegg (NYSE:CHGG), Arcturus Therapeutics (NASDAQ:ARCT) and Mullen Automotive (NASDAQ:MULN) stock moving today. You can find out more on these matters at the links below!
More Wednesday Stock Market News
- Chegg (CHGG) Stock Soars on Strong Earnings Beat
- Why Is Arcturus Therapeutics (ARCT) Stock Up 30% Today?
- MULN Stock Alert: Mullen Just Eliminated $13 Million of Debt
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.