In October, we quoted Lexmark (ticker: LXK) CEO Paul Curlander explaining what went wrong for the company in that horrible quarter. Jeff Matthews now asks, 'Why has Lexmark’s stock price risen 15% from its get-me-out-before-I-have-to-show-this-pig-on-my-sheet-at-the-end-of-the-month late October low?' His answer:
Because talk of a leveraged buyout has been making the rounds.
On November 10, Sanford Bernstein analyst Toni Sacconaghi (who, for the record, was recommending Lexmark strongly prior to the blow-up) raised the notion that an LBO of Lexmark “appears economically viable,