Wireless networking specialist ICOA has brushed off reports the company had landed a $400m to be acquired by Google.
ICOA on Monday confirmed that a news wire release attributed to the company was false and the company is asking wire services to pull the release. Google has likewise denied the claims.
While ICOA is still investigating the matter, chief executive George Strouthopulos told V3 that there is no truth whatsoever to the reports, and the release appears to be the work of a third party based in Aruba.
"Never had any discussions with any potential acquirers. This is absolutely false." Strouthopulos said.
"Someone, I guess a stock promoter with a dubious interest, is disseminating wrong, false and misleading info in the PR circles."
While the cause of the incident is still very much under investigation and any speculation on the motivation is just that, this may very well be the work of an unscrupulous investor who is seeking to spike the price of the stock temporarily and make a profit by selling off shares.
In this case, however, the report was able to gain traction by name-dropping one of the biggest companies on the market. Unfortunately, the little scheme is creating a major headache for the executive team and public relations staff at ICOA.
26 Nov 2012