Research In Motion buyout rumored

Aug 04 2003 - 01:03 AM ET | Research In Motion
Research In Motion (maker of the popular Blackberry device) is the subject of the latest Wallstreet rumor. Word on the street is HP will buy it up to get access to the Blackberry which is very popular in the corporate market. Enough investors feel that the rumor is accurate to knock the stock up 13% late last week. The stock closed Friday just short of its 52-week high at $27.28. A takeover at this point is risky because RIM is in danger of having to put a stop to BlackBerry sales. That would be a company-killer, and so that risk must be resolved before a buyout would be approved by shareholders (of HP).