3Com shares jump on more takeover rumors . . .
SANTA CLARA, Calif. (CBS.MW) -- Shares of 3Com jumped 16 percent Friday after acquisition talk swept Wall Street. Speculation has circulated recently that Intel (INTC: news, msgs), Ericsson (ERICY: news, msgs) or Siemens AG is interested in taking over the company. 3Com's (COMS: news, msgs) director of public relations, Bob Ingols, told CBS.MarketWatch.com that the company doesn't comment on rumors and speculation regarding acquisitions or mergers. Shares of the Santa Clara, Calif.-based company gained 3 1/2 to 25 13/16 on volume of 33.8 million shares, about three times its three-month average daily volume. The struggling stock remains at about half its 52-week high, notched last December. Christin Armacost, analyst at Everen Securities, told CBS.MarketWatch.com that "these rumors are not new." She said she believes the rumors hit today based on both Siemens' and Ericsson's recently announcing earnings numbers. Ericsson announced its earnings results Thursday. "Looking at 3Com, if these rumors were to be true," she said, "I think Siemens would be the more likely candidate, just based on (3Com's) previous relationship with Siemens." |
