IPass Spikes: No Buyer, CEO Sacked, Microsoft Pact Unveiled

iPass Inc. (NASDAQ: IPAS) spiked in Wednesday's extended session after the company replaced its chief executive and said it decided to remain independent after concluding a review that included a possible sale.

IPass traded recently at $1.33, p 5.5 percent.

Separately, iPass unveiled an agreement to provide Microsoft Corporation (NASDAQ: MSFT) access to wi-fi services at certain airports and hotels.

Terms of the Microsoft agreement weren't provided and iPass didn't offer an estimate of its financial impact.

The company, with a market capitalization of about $81 million, also posted fourth-quarter results nearly in line with expectations Wednesday, and offered a first-quarter revenue outlook slightly below the Wall Street consensus.

The company on Wednesday named Gary Griffiths as chief executive officer to replace Evan Kaplan, who will step down March 6.

"It was too early to sell iPass at this point," Chairman John D. Beletic said in a press release concerning Kaplan's departure and the company's decision to halt efforts to find a buyer.

Beletic cited timing of iPass' current development of its open mobile platform.

The company also named Michael Chang a director and said it will expand its board at its June annual meeting by an additional two slots.

For the first quarter, iPass forecast revenue of $15.6 million to $17.6 million, versus Wall Street's expectation of $17.1 million.

The company posted a fourth-quarter loss from continuing operations of $2.43 million, or $0.04 a share, on revenue of $17.2 million.

Wall Street expected a loss of $0.05 a share on revenue of $17.4 million.

In the year-earlier fourth quarter, iPass posted a loss from continuing operations of $5.2 million, or $0.08 a share, on revenue of $18 million.