Reports of Possible BlackBerry Acquisition by Lenovo Recirculate

At the beginning of this week, there was a spike in shares of Blackberry whilst a simultaneous (but smaller) slump marked the Lenovo shares. This development comes amidst rumors that Lenovo is considering the purchase of Waterloo, Ontario-based mobile device manufacturer, BlackBerry.

The CEO of Lenovo, Yang Yuanqing, reported in a Paris-based financial newspaper, Les Echos, that a BlackBerry deal "could possibly make sense, but first [needed] to analyze [the] market and understand what exactly the importance of this company is."

On Monday, shares of BlackBerry increased 14 percent, closing at $14.90. Lenovo's stock fell 3 percent to $21.80 per share. In contrast, the Dow Jones index rose 0.4 percent to $14,447.29 and Nasdaq similar climbed, albeit slightly, by 0.3 percent to $3,252.87.

Early this year, in January, rumors circulated when the CFO of Lenovo, Wong Wai Ming, stated that his company was considering various acquisitions, and specifically mentioned Research in Motion (the previous name of BlackBerry) as a possible contender. Wong, in January, stated: "We are looking at all opportunities -- RIM and many others."

In the week following this statement, BlackBerry renamed itself, and releases its BlackBerry 10 operating system. (CY) Link