Palm Takeover In The Works?
NEW YORK (Reuters) - The stock of Palm, manufacturer of the line of Treo smart-phones, rose 11 percent on Friday on speculation that Nokia has interest in acquiring the company. Palm has been producing quality PDAs for about ten years, but no longer has the brand appeal it had in the past.
Hip PDA manufacturer RIM, who makes the popular line of Blackberry PDAs has taken over as the leader in the the business.
Interestingly, a wall street banker (who wishes to remain anonymous at this time) stated that there is at least one private equity firm that is very much interested in getting in on the bidding. The same banker commented that it would have been a lot easier for private equity to take Palm over if it wasn’t for the recent run-up in the stock price. The stock price has risen 25% in the last year. The main reason the Palm’s stock has come up so much is because it is widely believed to be a probable takeover target.
Motorola, who is the world’s number two handset maker has also been mentioned as a possible bidder. Several analysts, however, stated that Motorola doesn’t need Palm as they have already entered into the smart-phone business.
Most technical analysts believe that it would take quite a bit of work to bring Palm back to the forefront of the business, as they have obviously lost their prominence. It will definitely be interesting to see what happens here.
Related Entries:
Palm Treo 680 Features and Specs
Verizon Wireless Releases The Palm Treo 700wx
Palm Treo 750 Features and Specs
Sling Media Announces SlingPlayer Mobile
Nokia E62 Features and Specs
This entry was posted on Monday, March 5th, 2007 at 11:14 am and is filed under Palm. You can subscribe via RSS 2.0 feed to this post's comments. You can comment below, or link to this permanent URL from your own site. Your comments will appear immediately, but I reserve the right to delete innapropriate comments.