Googlecelebrated its first year as a publicly traded company Thursday by raising even more money.
Google filed plans with the SEC Thursday to sell about $4 billion in shares to raise money for general corporate purposes and possible acquisitions. With a cash balance of $3 billion on hand — and growing — analysts speculated that Google may be raising a war chest for acquisitions.
Analysts said Google may wish to increase its stake in Baidu.com, billed as the “Google of China,” following Yahoo’s$1 billion investment in Alibaba. Indeed, Google cited “significant competition from Microsoft and Yahoo” in its SEC filing. Other analysts said Google may be interested in making a play for VoIP provider Skype or planning telecom or broadband moves.
Google shares lost 1.8% on the day.
The broader market traded mixed on concerns about economic growth, inflation and high oil prices.
The Nasdaq lost 9 to 2136, the S&P slipped 1 to 1219, and the Dow added 4 to 10,554. Volume declined to 1.81 billion shares on the NYSE, and 1.43 billion on the Nasdaq. Decliners led 19-12 on the NYSE, and 18-11 on the Nasdaq. Downside volume was 65% on the NYSE, and 68% on the Nasdaq. New highs-new lows were 57-32 on the NYSE, and 48-45 on the Nasdaq.
Brooktroutsoared 35% on news that it will be acquired by the parent of Excel Switching. CyberGuardedged higher on news that it will be acquired by Secure Computing.
Network Applianceadded 2% after beating lowered estimates, and Synopsisrose 9% on its results.
Salesforce.comfell 8.5% after the company lowered forward guidance, and C-Cortumbled 17% on its results.