The New Insight Enterprises Inc Holding in Datalink Corp
Insight Enterprises Inc filed with the SEC SC 13D form for Datalink Corp. The form can be accessed here: 000119312516767899. As reported in Insight Enterprises Inc’s form, the filler as of late owns 7.03% or 1,564,264 shares of the Information Technology–company.
Datalink Corp stake is a new one for the and it was filed because of activity on November 6, 2016. We feel this shows Insight Enterprises Inc’s positive view for the stock.
Reasons Why Insight Enterprises Inc Bought – Datalink Corp Stock
Purpose of Transaction
(a) – (j)Pursuant to the Voting Agreement, dated as ofNovember6, 2016 (the “Voting Agreement”), among Insight and the directors of Datalink (the “Shareholders”), Insight may be deemed to be the beneficial owner of 1,564,264 shares of Datalink Common Stock (collectively, the“Covered Shares”).
Insight and the Shareholders entered into the Voting Agreement as a material inducement for Insight to enter into theAgreement and Plan of Merger, dated as of November6, 2016 (the “Merger Agreement”), by and among Insight, Datalink, and Reef Acquisition Co., a Minnesota corporation and a wholly-owned subsidiary of Insight (“Merger Sub”).
Upon the terms and subject to the satisfaction of the conditions described in the Merger Agreement, including approval of the transaction byDatalink’s shareholders, Merger Sub will be merged with and into Datalink (the “Merger”), with Datalink surviving the Merger as a wholly-owned subsidiary of Insight (the “Surviving Corporation”).
The Voting Agreement was entered into as a condition to the willingness of Insight to enter into the Merger Agreement. Pursuant to the terms of the VotingAgreement, any shares of capital stock of the Issuer acquired by any Shareholder after the date of the Voting Agreement or owned by the Shareholders prior to the termination of the Voting Agreement will be subject to the Voting Agreement.Accordingly, any such acquisition of shares of capital stock of the Issuer by any Shareholder may result in Insight being deemed to acquire beneficial ownership of additional securities of the Issuer.
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Pursuant to the Voting Agreement, the Shareholders, with respect to the Covered Shares (and any additionalshares of Datalink Common Stock acquired by any Shareholder after the date of the Voting Agreement or owned by the Shareholders prior to the termination of the Voting Agreement), have agreed, among other things, to vote all of the shares of Datalinkheld by them in favor of the Merger.
Pursuant to the Voting Agreement, the Shareholders have agreed to (i)appear at the special meeting ofshareholders of Datalink and at any other meeting of the shareholders, however called, including any adjournment or postponement thereof, or otherwise cause the Covered Shares to be counted as present thereat for purposes of calculating a quorum and(ii)vote (or cause to be voted), in person or by proxy, or deliver (or cause to be delivered) a written consent covering, all of the Covered Shares (A)in favor of the approval of the Merger Agreement and any related proposal infurtherance thereof and/or in furtherance of effecting the Merger and the other Transactions (as defined in the Merger Agreement); (B)against any action or agreement submitted for the vote or written consent of the holders of Datalink CommonStock that would result in a breach in any material respect of any covenant, representation or warranty or other obligation or agreement of Datalink under the Merger Agreement or that is otherwise in opposition to the Merger or any of the otherTransactions; (C)against any extraordinary corporate transaction (other than the Merger), such as a merger, consolidation, business combination, tender or exchange offer, reorganization, recapitalization, liquidation, sale or transfer of allor substantially all of the assets or securities of Datalink and any of its subsidiaries (other than pursuant to the Merger) or any other Takeover Proposal (as defined in the Merger Agreement); and (D)against any other action, agreement ortransaction submitted for the vote or written consent of the holders of Datalink Common Stock that is intended, or could reasonably be expected to, impede, interfere with, delay, postpone, discourage, or adversely affect the consummation of theMerger and the other Transactions.
Further, as part of the Voting Agreement, to the extent that a Shareholder fails to act in accordance with suchShareholder’s obligations as to voting pursuant to the Voting Agreement, each Shareholder has irrevocably granted to and appointed Insight as such Shareholder’s proxy and attorney-in-fact, to represent, vote and otherwise act with respectto the Covered Shares as described in the preceding paragraph until the Voting Agreement is terminated in accordance with its terms. The proxy granted pursuant to the Voting Agreement is coupled with an interest and shall be irrevocable. The VotingAgreement expires upon the earlier of (i)the termination of the Merger Agreement, in accordance with its terms, or (ii)such date and time as the Merger shall become effective in accordance with the terms and conditions set forth in theMerger Agreement (the “Effective Time”).
Pursuant to the terms of the Merger Agreement, at the Effective Time, in accordance withSection302A.611, Subd. 1(d), of the Minnesota Business Corporation Act, Chapter 302A of the Minnesota Statutes, the articles of incorporation of Datalink shall be amended and restated in their entirety to be identical to the form attached asExhibit B to the Merger Agreement and, from and after the Effective Time, such articles of incorporation shall be the articles of incorporation of the Surviving Corporation until thereafter amended in accordance with applicable law. From and afterthe Effective Time, the bylaws of Merger Sub shall be the bylaws of the Surviving Corporation (except that all references therein to Merger Sub shall be automatically amended and shall become references to the Surviving Corporation), untilthereafter amended in accordance with applicable law. The directors of Merger Sub immediately prior to the Effective Time shall be the initial directors of the Surviving Corporation and shall serve until the earlier of their resignation or removalor their respective successors have been elected or appointed and qualified in accordance with applicable law, as the case may be.
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After the Effective Time, Datalink is obligated to use its commercially reasonable efforts to cause thede-listing of the Datalink Common Stock (as defined in Item1 above) from NASDAQ and the deregistration of the Datalink Common Stock under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) as promptly as practicableafter the Effective Time.
Except as contemplated by the Merger Agreement, the Voting Agreement or as otherwise set forth in this Item4, neitherInsight, nor, to the knowledge of Insight, any of the persons listed on Schedule A hereto, has any present plans or proposals which relate to or which would result in or relate to any of the actions specified in subparagraphs (a)through(j)of Item4 of Schedule 13D.
Datalink Corp Institutional Sentiment
Latest Security and Exchange filings show 79 investors own Datalink Corp. The institutional ownership in Q3 2015 is high, at 92.51% of the outstanding shares. This is increased by 4059146 the total institutional shares. 20740569 were the shares owned by these institutional investors. In total 7 funds opened new Datalink Corp stakes, 33 increased stakes. There were 12 that closed positions and 27 reduced them.
Mark Lee Forest Hill Capital Llc is an institutional investor bullish on Datalink Corp, owning 137305 shares as of Q3 2015 for 0.08% of its portfolio. Paradigm Capital Management Inc owns 818300 shares or 0.59% of its portfolio. OR Pacific Ridge Capital Partners Llc have 1.34% of their stock portfolio for 457820 shares. Further, Corbyn Investment Management Inc reported stake worth 1.10% of its US stock portfolio. The AR Horrell Capital Management Inc owns 975200 shares. Datalink Corp is 3.69% of the manager’s US portfolio.
Datalink Corporation is a provider of information technology (IT) services and solutions. The Company provides a full life cycle of services, including consulting, strategy, design, deploy, manage and support. The Company leverages technology from the original equipment manufacturers (OEMs) as part of its IT solutions portfolio. Its portfolio of solutions and services spans approximately four areas, such as cloud, data center transformation, next-generation technology and security. The Company’s cloud services provide a foundation for services delivery models, such as IT as a service (ITaaS). These services include assessment and readiness workshops, security and migration strategies, automation, orchestration, Datalink Cloud Complete, DR Testing and X (anything) As A Service (XaaS). Its data center transformation portfolio includes technical infrastructure strategy and roadmaps, cloud strategies, IT process and management, IT operational outsourcing and managed services strategies.
SEC Form 13D is filed within 10 days, by anyone who acquires beneficial ownership of 5%+ of any public firm. Activist investors and practices such as: company breakups, hostile takeovers, and change of control events, are permitted for this form filers. A filer must promptly update its 13D filing in case of acquisition or disposition of 1% or more of the securities that are the subject of the filing.
Insitutional Activity: The institutional sentiment increased to 1.44 in Q2 2016. Its up 0.61, from 0.83 in 2016Q1. The ratio improved, as 8 funds sold all Datalink Corporation shares owned while 26 reduced positions. 19 funds bought stakes while 30 increased positions. They now own 16.03 million shares or 4.82% more from 15.30 million shares in 2016Q1.
The New York-based Tower Rech Ltd Limited Liability Company (Trc) has invested 0% in Datalink Corporation (NASDAQ:DTLK). Blackrock Advsrs Limited Liability, a Delaware-based fund reported 197,272 shares. Vanguard Grp, a Pennsylvania-based fund reported 693,959 shares. Bnp Paribas Arbitrage holds 0% of its portfolio in Datalink Corporation (NASDAQ:DTLK) for 780 shares. Citigroup Incorporated last reported 12,835 shares in the company. Qs Investors Ltd Liability has invested 0.01% of its portfolio in Datalink Corporation (NASDAQ:DTLK). Globeflex Capital Lp has 103 shares for 0% of their US portfolio. Spark Invest Mgmt Ltd Liability, a New York-based fund reported 67,800 shares. Blackrock Institutional Tru Na reported 629,775 shares or 0% of all its holdings. D E Shaw Communications Incorporated accumulated 144,893 shares or 0% of the stock. Balyasny Asset Ltd Llc reported 22,460 shares or 0% of all its holdings. Group Incorporated One Trading Ltd Partnership accumulated 0% or 500 shares. Bank Of Ny Mellon holds 0% or 72,312 shares in its portfolio. Mckinley Cap Mngmt Limited Co Delaware owns 217,672 shares or 0.08% of their US portfolio. National Bank Of Montreal Can, a Ontario – Canada-based fund reported 140,694 shares.
Insider Transactions: Since May 16, 2016, the stock had 0 insider purchases, and 7 insider sales for $2.08 million net activity. 40,000 shares with value of $328,160 were sold by MELAND GREG R on Tuesday, May 24. $46,225 worth of Datalink Corporation (NASDAQ:DTLK) was sold by BARNUM GREGORY T on Friday, May 27.
About 337,411 shares traded hands. Datalink Corporation (NASDAQ:DTLK) has risen 22.34% since April 12, 2016 and is uptrending. It has outperformed by 17.36% the S&P500.
Datalink Corporation is a provider of information technology services and solutions. The company has a market cap of $250.09 million. The Firm provides a full life cycle of services, including consulting, strategy, design, deploy, manage and support. It has a 36.26 P/E ratio. The Firm leverages technology from the original equipment manufacturers (OEMs) as part of its IT solutions portfolio.
Datalink Corporation (NASDAQ:DTLK) Ratings Coverage
Out of 2 analysts covering Datalink (NASDAQ:DTLK), 0 rate it a “Buy”, 0 “Sell”, while 2 “Hold”. This means 0 are positive. $12.50 is the highest target while $9.0 is the lowest. The $9 average target is -19.64% below today’s ($11.2) stock price. Datalink has been the topic of 5 analyst reports since July 31, 2015 according to StockzIntelligence Inc. On Thursday, October 22 the stock rating was upgraded by Craig Hallum to “Buy”. The stock has “Hold” rating given by Canaccord Genuity on Tuesday, November 8. Canaccord Genuity reinitiated the shares of DTLK in a report on Tuesday, January 5 with “Buy” rating. Canaccord Genuity maintained the stock with “Buy” rating in Friday, July 31 report. Craig Hallum downgraded the stock to “Hold” rating in Thursday, February 25 report.
More news for Datalink Corporation (NASDAQ:DTLK) were recently published by: Businesswire.com, which released: “Datalink Corporation Shareholder Alert: Former SEC Attorney Willie Briscoe and …” on November 07, 2016. Businesswire.com‘s article titled: “Datalink Corporation to Present at the Needham Next-Gen Storage/Networking …” and published on October 25, 2016 is yet another important article.
According to Zacks Investment Research, “Datalink Corporation is an information storage architect. The company analyzes, designs, implements and supports information storage infrastructures that store, protect and provide continuous access to information. Datalink’s specialized capabilities and solutions span storage area networks, network-attached storage, direct-attached storage and IP-based storage, using industry-leading hardware, software and technical services.”
DTLK Company Profile
Datalink Corporation, incorporated on February 8, 1963, is a well-known provider of information technology (IT) services and solutions. The Firm provides a full life cycle of services, including consulting, strategy, design, deploy, manage, and support. The Firm leverages technology from the original equipment manufacturers (OEMs) as part of its IT solutions portfolio. The Company’s portfolio of solutions and services spans approximately four areas, such as cloud, data center transformation, next-generation technology and security.
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