TiVo, which recently suffered a set-back in its patent war against Dish Network and its parent EchoStar, saw its stock price soar yesterday based on rumors that it would be bought out by DirecTV, reports Zachs.com, citing Street Insider.
Neither TiVo nor DirecTV would comment, Zachs said.
Zachs, which is an Equity Research firm, also wrote, "We believe the acquisition will face antitrust hurdles as it may reduce competition in the DVR market."
TiVO Inc. (TIVO – Analyst Report) shares leaped 5.11% and closed at $8.02, following rumors of a buyout by DirecTV (DTV – Analyst Report), according to the Street Insider. However, no concrete information was available from either of the companies.