Samson denies acquisition rumors

Says no reason known for stock price rise

Thomas Russell -- Furniture Today, September 19, 2008

HONG KONG — Chinese case goods manufacturer Samson Holding, in a filing with the Hong Kong Stock Exchange, has denied rumors that it plans to make a major acquisition anytime soon.

Rumors have circulated in recent months about the company's interest in purchasing a major U.S. case goods company, possibly Broyhill Furniture Inds., owned by Furniture Brands International. Samson is the parent of Lacquer Craft Mfg., which owns U.S.-based Universal Furniture, Legacy Classic and Craftmaster.

On Thursday, Samson said in a reply to a request from the Hong Kong Stock Exchange that "there are no negotiations or agreements related to intended acquisitions or realizations which are disclosable" under the exchange's rules.

The company also said it was not aware of any reason for the recent rise in its stock price. On Wednesday, the price jumped 41.2% to HK$1.20 per share. Before that it had been steadily declining from a high of more than HK$2 in early February.