Logitech, the maker of popular mice, speakers and other peripherals, may be on the verge of acquisition by Microsoft. Reuters reports that shares rose 12 percent early Thursday morning, fueled partly by trader speculation surrounding a possible takeover. In theory, Logitech -- which has a market capitalization of 7 billion Swiss francs ($6.3 billion US) -- would be bought for 48 francs per share, a premium of 38 percent on Wednesday's closing stock price of 34.80 francs. Logitech would thus become worth 9.16 billion francs.Neither company has so far commented officially, but Daniel Borel, a board member at Logitech, says he has no intentions of selling his stake. "I am a co-founder of Logitech," he notes. "Would you be willing to sell your child?" Borel cautions, however, that even if he refuses to sell his six percent ownership, his control is still too small to prevent an acquisition. Borel also refuses to confirm or deny takeover moves.
Were Microsoft to absorb Logitech, it would instantly become the largest manufacturer of computer peripherals, as it already produces a number of mice, keyboards and other devices through companies it acquired earlier in its history. Reuters observes that while Microsoft has generally been apathetic about dominating hardware sectors, this would help with the company's Xbox 360 console, as Logitech already makes a number of third-party gaming controllers.
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