Office Depot, OfficeMax spike on merger talk
Shares of the office supply retailers spike after media reports that they are discussing a deal.
Shares of Office Depot surged 28.32% to $5.89 before market open, and were still up over 10% around noon. OfficeMax, meanwhile, climbed 20% before the open to $12.90, and held that level through the early afternoon.
Citing people familiar with the matter, The Wall Street Journal reported that the deal is expected to be stock-for-stock, and said that although talks could still fall apart an announcement could come as early as this week. Bloomberg also reported that a deal is possible this week, citing a person familiar with the matter.
Both Office Depot and OfficeMax declined to comment on this story when contacted by TheStreet.
"As a matter of company policy, we don't comment on rumors or speculation," wrote an Office Depot spokesman, in an email.
"It is our long-standing policy that we do not comment on market rumors or speculation," added a spokeswoman for OfficeMax in an email to TheStreet.
Staples shares were up 9.5% around noon.
More from TheStreet.com
Copyright © 2014 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
These companies won't soar like other plays in the sector, but they make for great income sources.
VIDEO ON MSN MONEY
Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.
Contributors include professional investors and journalists affiliated with MSN Money.
Follow us on Twitter @topstocksmsn.