TerreMark Jumps on Competitors Buyout
Good news for one of our favorite stocks that has been lagging of late. Competitor Switch and Data Facilities (SDXC) got a buyout offer from Equinix (EQIX) last night providing nearly a 30% premium for the share price of SDXC. In addition, EQIX beat earnings estimates by 57% providing more support for investing in TerreMark (TMRK). Remember, Stone Fox Capital invested in TerreMark Worldwide because it has a great connection with the Federal Govt and VMWare (VM) making it our top pick in the sector. The news from EQIX suggests that the sector as a whole is improving dramatically from last year. Details on the merger : entered a definitive agreement for Equinix to acquire Switch and Data in a transaction valued at approximately $689 million in cash and stock, based on yesterday’s market close. The combination of the two companies will further strengthen Equinix’s leadership position in the global data center services market by extending the company’s p...