Dallas, Texas 12/09/2013 (Financialstrend) – As per the announcement made by the Intel Corporation (NASDAQ:INTC) they have acquired the Hacker League which is a popular and well defined platform for the management of hackathons. The Intel plans to merge the Hacker League with APImanagement Company Mashery. The Mashery was acquired by the Intel Corporation in April 2013. If internal sources are to be believed the Intel’s acquisition of Hacker League is pegged around $180 million. This is the same amount that Intel paid for Mashery in April 2013.
Founder of Mashery Mr. Oren Michels announced that the main purpose of the acquisition is to enhance the developer work which they are already doing. The current merger will take this to a new level and will bring more positive energy to the company.
How Intel shares reacted to all this?
Post this news the shares of the Intel Corporation (NASDAQ:INTC) witnessed a sudden climb of almost 3%. In fact the Citigroup also upgraded the Intel from “neutral” rating to “buy” rating. Another analyst Glen Yeung also set the price target of $28 for the Chip making company. As per Yeung the demand for consumer PC and enterprise has stabilized and all these news will serve as positive catalysts for the company in 2014. This is for the first time since 2008 the demand for the consumer PC and the enterprise has stabilized and such acquisitions also act as fuel to the fire and increase the share values.
All the above mentioned reasons are enough for the Citigroup to consider Intel Corporation (NASDAQ:INTC) as buy instead of neutral. Moreover holiday season is also coming and the company wishes to sell more and more PCs to close this quarter on a very big and positive note. It will be interesting to see how the Intel stock will perform in 2014.