Blockbuster Deal Pushes CU Tech Stocks Higher

WALL STREET – Speculators pushed credit union outsourcing stocks higher yesterday after the latest deal for a credit union vendor, the proposed $29 billion takeover of First Data Corp. by leveraged buyout firm Kohlberg Kravis Roberts & Co. Stock that had been boosted by recent takeovers of credit union outsourcers, continued to move higher, with Fidelity National Information rising 4% to close at $47.35; Global Payments rising 5% to $35.88; Fiserv moving 2% higher to $53.94 and Jack Henry & Associates moving slightly higher to $24 a share. These stocks have moved near all-time highs in recent weeks as numerous competitors in the back-office market for financial services have been taken over, including Open Solutions Inc., Digital Insight Corp., John H. Harland Co., PHH Corp. and Corillian Corp. Ever since the takeover mania began six months ago, investors have been speculating which company would fall prey next. Shares in First Data soared 26% yesterday after announcement of the KKR deal, to close at $32.45, still less than the $34-a-share offer from the famous buyout firm.