Incontact Inc (NASDAQ:SAAS) shares rallied by 53.50% on Wednesday to $13.83 after the company entered into an agreement with NICE Systems.
Incontact Inc (NASDAQ:SAAS) will be acquired by NICE Systems for $14 per share in cash, amounting to a 55% premium from the stock’s previous closing price. The deal was unanimously approved by Incontact’s board of directors and is awaiting shareholder and regulatory approval, possibly ready to close by the second half of the year.
According to Incontact Inc (NASDAQ:SAAS) CEO Paul Jarman, this acquisition could put the IT company in a better position to execute on their vision of helping clients deliver exceptional customer experiences. At the same time, this will also reward their shareholders and allow the company to enter the next chapter of industry leadership.
As for NICE CEO Barak Eilam, this acquisition could help Incontact strengthen its market position in cloud contact center software. “We worked hard to make this deal happen because we understand the tremendous value that Incontact can bring to its customers and the marketplace,” he added.
Incontact Inc (NASDAQ:SAAS) is a provider of cloud contact center software solutions, from a range of cloud contact center call routing, self-service and agent optimization solutions.
From a technical standpoint, the stock has made a huge gap higher and closed above the near-term resistance at $11.00. Shares are also trading close to the top of its 52-week range between $6.24 to $13.92 and may be poised to break higher with the pickup in trading volume and market interest.
RSI on the daily time frame is still pointing higher towards the overbought area, indicating that there’s significant buying pressure left. Meanwhile, MACD is also heading north so share prices could follow suit, possibly until the next psychological level at $14.00. The 100 SMA on the weekly time frame is above the 200 SMA so the path of least resistance is to the upside, although profit-taking could take place by the end of the trading week.
DISCLAIMER: There is a substantial risk of loss with any speculative asset, especially small cap stocks. The opinions expressed are those of the author, and do not constitute recommendations to buy or sell a stock. Do your own research before committing capital.
