April 15, 2010 / 8:43 PM / in 9 years

UPDATE 1-Coastal Contacts says reviewing transactions

* Says reviewing potential transactions

* Says does not have any material information to disclose

* Shares up 10 percent in regular trading

By Gowri Jayakumar

BANGALORE, April 15 (Reuters) - Online contact lenses retailer Coastal Contacts Inc COA.TO said it was reviewing potential transactions to boost shareholder value, sending its shares up over 10 percent in regular trading Thursday.

Coastal Contacts shares shot up to a high of C$1.60, before giving up some of those gains to close up 4 percent at C$1.51.

Trading on shares of the Canadian company were halted earlier pending an announcement.

“Coastal Contacts announces that it is currently reviewing certain potential transactions which are focused on increasing shareholder value. At this time, the company does not have any material information to disclose,” the company said in a statement, without divulging any details.

“It’s likely that there was something they were working on, and it hasn’t happened yet, so they have had to come out with this announcement,” analyst Bob Gibson of Octagon Capital Corp said.

The company has made seven acquisitions since 2005, according to Reuters data.

“I think shares are going up for that quote in that line, that they’re currently reviewing potential transactions,” said PI Financial Corp analyst Sheila Broughton. (Reporting by Gowri Jayakumar; Editing by Unnikrishnan Nair)

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