(Reuters) – NCR Corp, the maker of automated teller machines, is looking at strategic options, although the sale of the entire company is unlikely, The Wall Street Journal reported on Wednesday.
The company is looking at spinning off some of its assets as well as initiating a dividend or share buyback, the report said, citing people familiar with the matter. (on.wsj.com/1DPle7k)
Shares of the company rose as much as 9 percent in after-market trading.
NCR, with a market value of $5.14 billion as of Wednesday’s close, added hedge fund manager Richard McGuire to its board in November. McGuire said at the time that the company might need to consider strategic alternatives and improve its capital structure.
McGuire’s Marcato Capital Management owns 10.85 million shares. Jana Partners disclosed a stake of 12 million shares in the company in February.
Jana Partners declined to comment on the matter.
NCR and Marcato Capital were immediately unavailable for comment.
NCR’s shares closed at $30.07 on the New York Stock Exchange on Wednesday. They have fallen about 13 percent in the last year. (Reporting by Narottam Medhora and Manya Venkatesh in Bengaluru; Editing by Leslie Adler)