Huron Consulting Group Inc.NASDAQ
Huron: Investor Day And Early 2016 Undermine The Investment Case
Huron Not Making Great Strategic Decisions For A Consulting Firm
Dec. 10, 2015, 5:53 PM
- Huron Consulting (NASDAQ:HURN) is selling its Huron Legal service business to eDiscovery/document review service provider Consilio for $112M in cash, plus a contingent payment based on 2015 results and other adjustments. The deal is expected to close in Q4.
- Thanks to the sale proceeds, Huron is upping the size of its buyback authorization (previously had $36.5M remaining) to $125M. That's good for repurchasing over 10% of shares at current levels. The company also plans to "reduce its corporate costs by approximately $11 million [per year] to more closely align to a level required to support the ongoing scale of its continuing operations."
- With the legal unit treated as a discontinued operation, Huron now expects 2015 EPS of $2.96-$3.00 from $3.60-$3.70. 2016 guidance is expected to be given in Huron's Q4 report, currently scheduled for Feb. 22.
- Shares haven't yet moved after hours.
Aug. 3, 2011, 10:54 AM