Wednesday, June 20, 2018
Close  
  • share this

Groupon surges on takeover chatter

11:04 AM December 08, 2012

NEW YORK — Groupon shares surged Friday as market players reacted to chatter about a possible takeover for the troubled online deals company.

Groupon closed with a gain of 22.97 percent at $4.68.

The Chicago-based firm made no comment on reports of takeover talk. Nor did Google, which made an unsuccessful $6 billion bid for Groupon a year ago.

ADVERTISEMENT

Shares in Groupon have plunged by some 80 percent since a keenly anticipated public offering late last year. But the company has been hit by concerns about its business model, “deal fatigue” from consumers and questions about accounting.

Groupon in September reported a loss of $3 million in results that came up shy of most analyst forecasts for a small profit.

Its main rival LivingSocial said last month it was cutting 400 jobs, or nearly 10 percent of its staff, in a retrenchment which follows big losses for the company.

The firms aim to make money by selling members deals for discounts on activities, items or services and then splitting the proceeds with the businesses involved.

Both firms have been seeking to diversify, but have been struggling to become profitable.

Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: Business, Gropuon, Internet, IT, Retail, Takeover-Merger-Acquisition, US
For feedback, complaints, or inquiries, contact us.
newsinfo

Justices blast same-sex marriage plea

June 21, 2018 06:20 AM

newsinfo

DND pushes forward acquisition of submarines

June 21, 2018 06:10 AM

newsinfo

Senators push for agency to manage Boracay

June 21, 2018 06:10 AM

opinion

One big dump

June 21, 2018 05:32 AM



© Copyright 1997-2018 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.