SAN FRANCISCO (03/27/2000) - Unisys Corp. saw its share price surge almost 30 percent earlier today, apparently on rumors that the company is in talks to merge with German carrier Deutsche Telekom AG.
Unisys shares on the New York Stock Exchange changed hands for as much as US$32.5 this morning before settling down to end the day at $27.75, up $2.44 from Friday's close.
A Unisys spokesman today declined to comment on any merger plans. He noted that the rumor, which was reported widely in the IT press, stemmed from a single article that appeared in German magazine Focus.
"We're dealing with a rumor here and we don't comment on rumors, so we'll neither confirm or deny the reports," said Unisys spokesman Jay Grossman in a phone interview.
Deutsche Telekom has identified systems businesses as one of its strategic growth areas. Just today the carrier announced plans to acquire a 50.1 percent stake in German IT services company Debis Systemhaus GmbH, a move the telecom said will make it the second largest systems company in Europe. DaimlerChrysler AG, the current owner of Debis Systemhaus, will retain the other 49.9 percent.
[See "Deutsche Telekom to Take Over Debis Systemhaus," March 27.]Unisys, in Blue Bell, Pennsylvania, can be reached at +1-215-986-4011, or via the Web at http://www.unisys.com/. Deutsche Telekom, in Bonn, can be contacted on +49-228-181-4949 or on the Web at http://www.telekom.de/. Debis Systemhaus, in Leinfelden-Echterdingen, Germany, can be contacted on +49-711-972-0 or on the Web at http://www.debis.de/systemhaus/.