BlackBerry Shares Drop After Denying Talks of $7.5 Billion Samsung Acquisition

Where there’s smoke, there’s usually fire -- but for now, BlackBerry and Samsung are looking to extinguish reports of a potential acquisition.

In response to speculation yesterday that Samsung had approached BlackBerry about a $7.5 billion buyout -- mostly seeking access to its valuable trove of patents -- both companies have issued stringent denials.

Yesterday, BlackBerry released a statement claiming that it “has not engaged in discussions with Samsung with respect to any possible offer to purchase BlackBerry.”

Related: Hungry for Patents, Samsung Approaches BlackBerry About a Buyout

A Samsung spokeswoman told Entrepreneur that “media reports of the acquisition are groundless.”

Sources close to BlackBerry said that the Waterloo, Ontario-based company would instead focus on new product rollout for the next several years, according to Canadian newspaper The Globe and Mail.

While the speculation initially caused BlackBerry’s stock to soar as much as 30 percent yesterday afternoon, shares subsequently dropped 17 percent in early trading this morning on the heels of both companies’ refutations.

Related: BlackBerry Is Gearing Up to Enter the Sizzling Smartwatch Scene

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