SBC Offers to Buy Prodigy
SBC Communications has made a tender offer to purchase the online service Prodigy.
SBC currently owns a 42 percent stake in the company. SBC is offering to buy the remaining Prodigy shares for $5.45 each, a 54 percent premium over Fridays closing price.
Prodigy, established in 1984 as the very first online service, currently has 3.3 million members and has estimated annual revenues of $365 million for 2001.
Prodigy shares jumped to $5.55 this morning on news of the tender offer.