Dallas, Texas 12/18/2014 (FINANCIALSTRENDS) – Digital River, Inc. (NASDAQ:DRIV)’s stock surged more than 40% as it extended the Microsoft Operations Digital Distribution Agreement for the seventh time. The contract was originally signed on September 1, 2006, and the Seventh Omnibus Amendment extends it up to March 31, 2017.
In addition, the company also recently announced the expansion of its global partner network as it entered into new strategic alliance partnership agreements with Rauxa, Inc. and Slalom Consulting. The agreements will help Digital River extend the value of its SaaS-based commerce solution, benefiting its clients.
Digital Distribution Agreement
The extension announcement by Digital River, Inc. (NASDAQ:DRIV) brings great relief to its new CEO David Dobson, as well as the Company’s Board of Directors. Investors already cheered the news with more than 5.76 million shares changing hands compared to its average volume of 676,196 shares.
The announcement also clears the cloud over uncertainty of this extension, which might have material adverse impact on Digital River’s stock price, business or results of operations. The company reported total sales of $390 million in 2013, and Microsoft accounted for nearly third of total sales.
New Strategic Alliance
Digital River, Inc. (NASDAQ:DRIV) aims at improving clients’ access to additional sources of expert services to help them extend and improve the capabilities of their online stores. The company’s Global Partner Network offers easy service access to online merchants from leading enterprise-class service providers which offers agency services, system integrations, marketplace, logistics and business consulting services.
The company’s new partner Rauxa, Inc. is a certified woman-owned, full-service marketing agency with offices in New York, Chicago, Atlanta, San Francisco and Orange County. The company uses technology and marketing to deliver results for brands by combining data strategy and analytics, content management, strategic planning, website design and development.
Slalom Consulting is a business and technology consulting firm that helps clients solve some of their most complex business challenges.