RADNOR, Pa. (AP) -- ICG Group Inc. said Thursday that it is selling its procurement subsidiary Procurian Inc. to Accenture PLC for $375 million in cash.
The deal allows ICG to focus solely on its cloud computing business and builds Accenture's consulting services. Procurian works with companies to help evaluate and manage their sourcing and spending for materials and other goods.
The deal is expected to close in the fourth quarter.
Accenture said it expects that Procurian's approximately 780 employees will join Accenture as part of the deal which is expected to close by the end of 2013. Procurian is based in King of Prussia, Pa.
ICG said it anticipates proceeds of $324 million. The company also said Thursday that its board has expanded its share repurchase program, moving it from a $50 million authorization to $150 million. The company has used approximately $36 million thus far this year, leaving approximately $114 million free to buy back shares.
Shares of ICG, based in Radnor, Pa., soared 10 percent, or $1.41, to $15.43 in afternoon trading after trading as high as $17 earlier in the day, it highest level since February 2002. Accenture shares slipped 22 cents to $73.29.