South Korean consumer electronics giant Samsung has recently approached ailing Canadian phone maker BlackBerry Ltd about a possible buyout, according to a report by Reuters.
Representatives from the two companies, aided by advisers, held talks last week to discuss the possibility of the acquisition, a person knowledgeable about the potential deal told Reuters.
Samsung reportedly offered to buy BlackBerry for $7.5 billion, targeting the Canadian company's important patents as it bolsters itself against main rival Apple, according to the source, as well as documents obtained by the news agency.
Reuters' source said that Samsung offered an initial price range of $13.35 to $15.49 per share, which signifies a premium of 38 percent to 60 percent over BlackBerry's present trading price.
When news of the alleged meeting came out Wednesday, BlackBerry's shares rose by almost 30 percent.
The Ontario-based company, however, quickly denied in a prepared statement that it met with Samsung executives to talk about any acquisition, according to TechCrunch.
"Blackberry is aware of certain press reports published today with respect to a possible offer by Samsung to purchase Blackberry. BlackBerry has not engaged in discussion with Samsung with respect to any possible offer to purchase BlackBerry," the statement reads.
"BlackBerry's policy is not to comment on rumors or speculation, and accordingly it does not inted to comment further," the release continues.
Immediately after the statement was issued, the company's sales dropped 15 percent, The Verge reports.
The Verge speculates that Samsung may still pursue a buyout notwithstanding BlackBerry's denial. The publication notes that BlackBerry can capitalize on its physical keyboard, which most of its rivals lack, but also says that the troubled company's patents may well be its selling point rather than its hardware.
This isn't the first time that rumors of Samsung's possible acquisition of BlackBerry surfaced. The Canadian smarphone maker was said to have approached the South Korean tech giant, as well as Google and others, in 2013 as it sought a buyer.
