Citi says Shares of Paycor HCM (PYCR) were up over 20% yesterday following a Bloomberg report of Paychex (PAYX) potentially acquiring the company. Citi could see Paycor making strategic sense for Paychex with a more mid-market focused offering while simplifying Paycor’s ownership structure. A potential combination with Paychex could make strategic sense for Paycor and help unlock some of the ownership headwinds that have led to Paycor trading at a discount to peers, the analyst tells investors in a research note. Citi sees a potential takeout range of $24-$27 per share. The stock closed Monday up 23% to $22.86.
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