Shares of Avon Products Inc. briefly spiked as much as 12.6 percent Thursday after a report that the company was in talks to sell a stake to private equity firms.
The stock jumped to as high as $5.10 in afternoon trading after a Wall Street Journal report said the company was weighing its options for an investment from private equity firms, including Cerberus Capital Management and Platinum Equity. The company is said to be considering a private investment in the public entity, or PIPE deal, as a possibility.
The stock had been down for the day, trading as low as $4.07, and after the initial burst following the report settled back down to roughly flat at $4.53.
A spokeswoman for Avon declined to comment.