Here's Why Waddell & Reed Stock Is Soaring on Thursday

The stock market was having a decent day on Thursday with most major averages showing modest gains, but asset management firm Waddell & Reed (NYSE: WDR) was another story altogether. As of 10:30 a.m. EST, the company's stock had spiked higher by 49% on the day.

After 83 years in business and more than 30 as a publicly traded company, Waddell & Reed is being acquired. Australian investment banking and financial services company Macquarie Group (OTC: MQBKY) announced that it has agreed to buy Waddell & Reed for $1.7 billion in an all-cash deal. This translates to an offer price of $25 per share, a premium of about 48% to the stock's closing price on Wednesday.

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Source Fool.com