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Nokia shares jump 6 percent amidbuyout rumors


Reuters - Shares in Finnish mobile
phone maker Nokia rose 6 percent in
heavy volume on Friday driven higher
by speculation of takeover interest
from South Korean rival Samsung
Electronics , traders said. The sharp rise made Nokia the
biggest gainer on the FTSEurofirst 300
index and followed a 40 percent fall
in the shares in the past three months. Analysts played down the chances of
a bid from Samsung for Nokia, which
has been rapidly losing market share. "Samsung is flying at the moment and
it is hard to see what it would gain
from buying Nokia," Ovum analyst
Nick Dillon said. "Any benefit it would
gain from Nokia's patent portfolio or
manufacturing facilities would likely be outweighed by the complexities of
integrating the two companies." Ben Wood, head of research at CCS
Insight, said: "This is Friday madness.
I can't think of a rational reason why
Samsung would want to buy Nokia at
present," Nokia shares have moved sharply on
speculation of possible takeovers
since its stock dived last year due to a
strategy shift in its smartphone
business. Microsoft , which is
partnering Nokia for its new smartphones, has been seen as the
most likely buyer. Nokia declined to comment and
Samsung was not immediately
available for comment. (Reporting by Tarmo Virki. Editing by
Jane Merriman)