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Another Activist Fund, Jana Partners, Is Buying Juniper Shares

That makes two activist funds targeting the vendor of networking gear.

Juniper Networks

Shares of networking equipment company Juniper Networks rose by more than seven percent today after a second activist hedge fund disclosed a significant ownership stake.

Jana Partners, a New York-based fund, disclosed in a letter to investors that it had bought a large stake in Juniper. It intends to push the company’s management for a $300 million reduction in operational costs and for a higher return of capital to shareholders. The fund hasn’t yet said how big its stake in Juniper is.

Jana’s purchase follows one by hedge fund Elliot Management, which disclosed a six percent stake in the company earlier this month and said it intends to press for $200 million worth of reductions in operational costs and a $3.5 billion stock buyback.

Juniper shares have risen by more than 18 percent since Jan. 10, the day before Elliot launched its campaign to reshape the company.

The move also follows a quarterly earnings report by Juniper yesterday that beat the expectations of analysts. Juniper CEO Shaygan Kheradpir said on a conference call that the company will soon announce a new operational plan that will include cost cuts, possible job cuts and a new capital allocation plan.

Juniper shares were at $27.88 in midday trading, up $1.87, or 7.2 percent, from Thursday’s closing price.

This article originally appeared on Recode.net.