Manpower Inc. (MAN) agreed to acquire Comsys IT Partners Inc.
(CITP) for nearly $350 million, creating an information-technology
staffing concern with total revenue of more than $2.5 billion.
The deal comes amid hopes than the temporary-staffing industry
is beginning to rebound as job losses continue to ebb. Temporary
hiring is generally a precursor to companies taking on new
full-time staff.
The Comsys stock is valued at $17.65 a share, a 33% premium to
Monday's closing price. Holders will receive that amount either in
cash or Manpower stock. Manpower's payout will be half stock, half
cash. Comsys shares haven't traded at $17.65 since the company
underwent a 1-for-25 reverse stock split in 2003. As the Internet
bubble was building the stock nearly hit a split-adjusted price of
$600 in 1998.
The deal is valued at $431 million including assumed debt.
Comsys last month raised its views for the fourth quarter,
saying it has benefited from strengthening business.
Manpower will release its fourth-quarter results shortly.
-By Kevin Kingsbury; Dow Jones Newswires; 212-416-2354;
kevin.kingsbury@dowjones.com