Becker Drapkin Not Feeling The Love For XO Group Inc (XOXO); PS – They Do Still Like Comverse Inc (CNSI)

The second ranked holding of Becker Drapkin Management is represented by Comverse Inc (NASDAQ:CNSI), in which the fund disclosed ownership of 1.45 million shares valued at $28.5 million as of March 31. The stake remained unchanged over the course of the first quarter. Comverse Inc (NASDAQ:CNSI) is a $543.1 million market cap provider of cloud-based software solutions. On Monday, Comverse Inc (NASDAQ:CNSI) announced an agreement to acquire United Kingdom-based Acision, which provides secure mobile messaging and engagement services. The purchase price consists of about $135 million in cash, 3.13 million shares of Comverse’s common stock, and potential earnout payments of up to $35 million. The deal is expected to close by the end of the third quarter. In addition, Comverse Inc (NASDAQ:CNSI) is selling all of its BSS business assets to Amdocs Limited (NASDAQ:DOX) for $272 million in cash. Comverse Inc (NASDAQ:CNSI) President and CEO Philippe Tartavull believes that this sale will make Comverse “a profitable company, with an exceptionally strong balance sheet.” The transaction is likely to close by the end of September 2015. Comverse (NASDAQ: CNSI)’s stock increased by 32.28% during the past six months. Jeffrey Bronchick’s Cove Street Capital also sees value in Comverse (NASDAQ: CNSI), upping its stake during the first quarter by 22% to 700,095 shares.

Finally, we’ll talking about Fuel Systems Solutions Inc. (NASDAQ:FSYS), in which Becker Drapkin Management revealed holding 1.89 million shares, valued at $20.92 million. The stake was unchanged from the previous reporting period. Fuel Systems Solutions Inc. (NASDAQ:FSYS) is engaged in making alternative fuel components and systems for use in transportation and industrial applications, and has a market cap of $143.3 million. Shares of the California-based company declined by 27.64% during the past year. For its first quarter of 2015, Fuel Systems Solutions Inc. (NASDAQ:FSYS) posted a net loss of $11.9 million, versus a loss of $2.0 million in the same quarter a year ago. Revenue decreased to $63.3 million, compared to $81.3 million one year ago. Mariano Costamagna, the company’s Chief Executive Officer, has decided to retire from Fuel Systems Solutions Inc. (NASDAQ:FSYS) by the end of 2015. The company’s board of directors appointed a committee to search for a successor for Mr. Costamagna, who will continue to serve as the company’s director. Another large investor of the company is Chuck Royce’s Royce & Associates, holding 1.18 million shares as of March 31.

Disclosure: None