AN investor group has offered $US2.3 billion ($2.18bn) in a takeover bid for business software firm Compuware, saying it has quality assets but has underperformed.
Elliott Management Corp, which holds an eight per cent stake in Compuware, said it was offering $US11 per share in cash for the remaining stock. It said this amounted to a 25 per cent premium to the price ahead of the company's recent regulatory filing.
"We believe our proposal represents a compelling opportunity that your stockholders will find extremely attractive," said a letter to shareholders from Elliott's portfolio manager, Jesse Cohn.
"Compuware is a long-established company that we have followed closely for several years. We believe in the quality of Compuware's assets -- however, its execution, profitability and growth have meaningfully underperformed."
The news comes days after Compuware announced plans for a public offering of its Covisint unit, a platform which provides secure cloud computing for major companies, including in the auto sector.
Compuware rallied some 12.7 per cent to $US10.74 on the news.
Earlier this month, another investor group, Sandell Asset Management Corp., which has a 2.5 per cent stake in Compuware, called on the company "to act with greater urgency to maximize shareholder value".
Compuware, which was formed in 1973, describes itself as a supplier of software products and services designed to increase productivity, including for mainframe computers.
