Seeking Alpha
All posts from Seeking Alpha
Seeking Alpha in Seeking Alpha - Read, Decide, Invest.,

Regulators Probe Reuters' Report Of A Samsung Takeover Of BlackBerry

The SEC and Ontario Securities Commission are investigating a Reuters report that Samsung (SSNLF) had offered about $7.5 billion to acquire BlackBerry (BBRY). On January 14th BBRY shot up 30% to $12.60 on the news. Nearly 79 million shares changed hands that day; average trading volume was about 12 million. Shortly after the rumor, both sides denied they were in such talks and the stock fell about 15% after-hours. Regulators are attempting to determine whether someone deliberately fed Reuters the takeover story in order to manipulate shares of BlackBerry.

The Reuters report was odd for a few reasons:

It Is Common Sense That Companies Are Interested In BlackBerry

BlackBerry has undergone drastic changes over the past few years as the company has cut costs, cut money-losing handsets and diversified its revenue towards software and services. BlackBerry has a moat in that [i] its handsets still appeal to business customers and… Read More …