Samsung offers to buy BlackBerry for $7.5 billion - report [ux2: denied]
Two Apple rivals may come together in an effort to take on the iPhone, with a new report claiming that South Korean electronics giant Samsung has made a bid to buy struggling Canadian smartphone maker BlackBerry for $7.5 billion.
Word of the alleged offer was first reported on Wednesday by Reuters, which cited both a person familiar with the matter and documents pertaining to the proposal.
Samsung's pitch would apparently pay between $13.35 and $15.49 per share for the company, which would be as much as 60 percent over its current value. The documents also targeted BlackBerry's value at $6 billion to $7.5 billion, including a $1.25 billion of convertible debt.
According to sources, executives from both companies met last week to hammer out a deal, though an official statement on the outcome has yet to be released.
For Samsung, which last week warned investors of continued profit slide for the important holiday quarter, the IP gained by a potential acquisition would significantly bolster its bread and butter Android handset business. A recent Kantar WorldPanel ComTech report saw Samsung smartphone shipments down in both the U.S. and Europe, both major markets where Apple gained ground with the new iPhone 6 and 6 Plus.
After the news broke, shares of BlackBerry surged nearly 30 percent in afternoon trading, just before the markets closed.
Update: Shortly after reports of Samsung's supposed BlackBerry bid circulated online, BlackBerry issued a statement denying the rumors, saying, "BlackBerry has not engaged in discussions with Samsung with respect to any possible offer to purchase BlackBerry."
Update 2: Samsung has also denied the rumored meeting with BlackBerry, telling Reuters, "Media reports of the acquisition are groundless."