Merger Rumors Boost Amex Stock

Shares of American Express Co. shot up nearly 5 percent Tuesday on resurgent rumors that the company is about to merge with another financial-services concern.

No merger partner was named. The rumor began with reports that securities analysts had received phone calls from American Express requesting home phone numbers, triggering speculation that the charge-card company was planning a big Christmas announcement.

One analyst who follows the company, speaking on condition of anonymity, confirmed American Express’ investor relations department had called analysts, including him, last week for home phone numbers. But he considered it a routine request and thought the speculation was “ludicrous.”

American Express spokesman Michael O’Neill declined to comment, citing the company’s longstanding policy of not commenting on stock market rumors or the movement of its shares.

O’Neill reiterated American Express’s statement that the company is not engaged in negotiations regarding a sale or merger.

American Express shares ended Tuesday at $59.62-1/2, up $2.75, or 4.8 percent. The stock moved as high as $60.37-1/2. It was trading below $54 at the beginning of the month.