IBM in Talks to Buy Sun

Sun Microsystems surged the most ever in German trading after the Wall Street Journal reported IBM is in talks to buy the company for at least US$6.5 billion. Sun Microsystems jumped as much as 61 per cent to 6 euros in Frankfurt trading. The offer would value Sun’s stock at more than double the closing price of $US4.97 in the US yesterday, the Wall Street Journal reported, citing people familiar with the plan. An agreement may not be reached, the newspaper said. Officials at Sun and IBM declined to comment