DETROIT ? Compuware Corp. announced Wednesday that it plans to sell up to $100 million worth of stock in its Covisint subsidiary, which provides secure collaboration technology for companies that need higher security communications ? from health care to autos.
Compuware says it filed the Form S-1 registration statement with the Securities and Exchange Commission, although the number of shares to be sold and the price range for the proposed offering have yet to be determined. The proceeds to develop new products, hire more staff, pursue acquisitions, and for general corporate uses.
Compuware says it eventually plans to sell the rest of the stock in Covisint for the benefit of its existing shareholders. Compuware made that pledge earlier this year to fend off demands to sell the company.
Credit Suisse Securities LLC will act as manager for the offering, with Pacific Crest Securities LLC joint manager. Allen & Co. LLC will act as co-manager.
Covisint?s shares are expected to be traded on the Nasdaq global stock market under the symbol COVS.
Covisint was founded in 2000 by General Motors, Ford and Chrysler to act as an online collaboration center for automakers and auto suppliers. Covisint later expanded into health care, oil and gas, and other industries. Compuware acquired it in 2004. Compuware provides software and services that test, manage and help develop other software.
