Shares in GPS navigation firm TomTom rose sharply on Tuesday amid speculation that the company could be a takeover target for Microsoft.
By the close of trading on Tuesday afternoon in Amsterdam, TomTom's share price had risen by 6.3 percent to €32.41. This, according to reports, was fuelled by rumours that Microsoft could be planning a bid.
TomTom did not respond to requests for comment. The company's chief operating officer Alexander Ribbink has played down the speculation, telling Reuters: "That's news to me. I haven't heard about it".
By Wednesday lunchtime, TomTom's share price had slipped by 2.8 percent to €31.50.
TomTom's software is used in handheld computers and in-car navigation units. Having become the market leader in the consumer space, the company is now moving into the business sector with a fleet-management product supporting GPS and GPRS.