Tyco Stock Rises Amid Rumors
Jul. 15, 2002
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NEW YORK (AP) _ A report that financier Carl Icahn has received regulatory clearance to buy Tyco International Inc. shares has evidently sparked rumors that Icahn is interested in making a run for the troubled conglomerate.
Such talk ignited a late Monday rally in the Bermuda-based manufacturing and service company's shares, according to some analysts.
CNBC reported that Icahn received clearance from the Federal Trade Commission to buy up to 15 percent of Tyco's shares. The action doesn't mean Icahn owns the shares or plan to take a stake in Tyco.
Tyco spokesman Gary Holmes declined comment on the stock activity, the rumor or whether Icahn has contacted Tyco. Calls to Icahn's office seeking comment had not been returned.
Tyco shares closed up 75 cents, or 5.5 percent, at $14.48 on the New York Stock Exchange.
Tyco shares may also have been pushed higher by a research note from Merrill Lynch which said the company's parts are worth significantly more than the current market value.