Groupon surged to the highest price in three weeks on speculation that Google might consider buying the online coupon provider.
The shares advanced 23 percent, to $4.68, in New York, closing at the highest price since Oct. 19. The stock pared to 77 percent its loss since an IPO in November of 2011.
The stock plunge since the IPO may spark renewed takeover interest from Google now that Groupon’s market value has slipped to $3.07 billion, said Tom Forte, an analyst at Telsey Advisory Group. Google had considered acquiring Groupon for $6 billion the year before its public market debut, sources said.
“Where the stock is currently trading, it’s a takeout candidate,” Forte said. “If Google was interested at $6 billion, I think it’s a possibility.”