Blackmont upgrades Certicom to speculative buy
Thu Dec 4, 2008 10:27am EST
Dec 4 (Reuters) - Blackmont Capital upgraded Certicom Corp (CIC.TO: Quote, Profile, Research, Stock Buzz) to "speculative buy" from "hold," saying it expects more bidders to emerge for the company as Research In Motion's (RIM.TO: Quote, Profile, Research, Stock Buzz) offer gives limited value to the wireless encryption software firm's patent portfolio.
"There is a long list of global companies that would be interested in Certicom including IBM (IBM.N: Quote, Profile, Research, Stock Buzz), EMC Corp (EMC.N: Quote, Profile, Research, Stock Buzz), Microsoft Corp (MSFT.O: Quote, Profile, Research, Stock Buzz), Qualcomm Inc (QCOM.O: Quote, Profile, Research, Stock Buzz), and even Sony Corp (6758.T: Quote, Profile, Research, Stock Buzz)," the brokerage said.
On Wednesday, BlackBerry maker RIM said it planned to make a direct takeover offer to Certicom shareholders of C$1.50 a share in cash as it had been unable to advance talks with the company's management. [ID:nN03317482]
Blackmont kept its price target of C$2 on Certicom shares.
Shares of the company were up 11 Canadian cents at C$1.70 in morning trade on the Toronto Stock Exchange. ($1=1.257 Canadian Dollar) (Reporting by Sandhya Menon in Bangalore; Editing by Himani Sarkar) |
