Blinkx - Was that a Denial ?

Blinkx Denial - A Strange Choice of Words

After its share price rocketed by as much as 50% at one point yesterday on rumours of a takeover bid Blinkx eventually decided to issue an RNS stating it "knew of no reason" etc... Such RNSs are common in circumstances where a share price suddenly jumps for no apparent reason. The Blinkx denial was however a very strange beast indeed. It specifically denied any knowledge of any "external bids" "or bid-related reason for the movement."

This inclusion of the word 'external' immediately gives rise to the assumption that there may be 'internal' bids. The wording also could be construed in such a way that 'external' also applied to 'bid-related reason' as in no 'external bid-related reason'. However, the board must have been aware that including the word 'external' would lead people to think that there may be an 'internal' bid , if so, why would they want people to believe there may be an internal bid ?

Are they sending a message that there will be an internal bid for the company or are they merely hinting that theremay be one, when there is in reality no likelihood of one ? The outcome of all this would, one would assume, be a higher share price, which would be to Autnnomy's advantage as their lock-up period will soon come to an end and they could then sell some of their 20% stake. They would undoubtedly prefer to sell there stake at the highest possible price.

Too conspiratorial ? Who knows? Time will tell I guess, in the meantime I don't think I'll be buying any Blinkx shares.