On The Block: Is Snyder TestingThe M&A Market?

Snyder Communications, an advertising and marketing services firm with operations closely tied to the Internet, hired Deutsche Bank Alex. Brown to advise it on strategic “alternatives to maximize shareholder value.” A press release issued in late December did not mention a sale possibility, and Karl Swanson, director of corporate communications, said there would be no comment beyond the brief formal statement. However, reports have surfaced that Snyder engaged Deutsche Bank Alex. Brown after receiving an inquiry from an interested buyer and that the firm had booked at least one definite bid subsequently. Snyder executed a key restructuring move in October 1999 by establishing a tracking stock for its Circle.com unit through a spin-off to shareholders. Circle.com provides Internet professional services, including customer management operations. Snyder shares closed January 31 at 20 on the New York Stock Exchange. The range for the 52-week period ended January 31 ran from 9-3/4 to 29. Circle.com stock closed January 31 at 11 on Nasdaq. The range since it began trading was 9 to 21-11/16.