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Could FedEx (nyse: FDX - news - people ) be the one to swoop in?
Shares of Dutch transportation company TNT NV (nyse: TP - news - people ) were fizzling Thursday, giving back a big chunk of the previous day's rally that had been fueled by takeover speculation.
Reports Wednesday said German private investor Cornelius Geber indicated he planned to put a group together to buy TNT NV. And while shares were dropping Thursday after a lack of follow-up had investors doubting a deal, Bear Stearns analyst Edward Wolfe asserted that U.S.-based FedEx would make a natural parental fit.
With a strong presence in Europe, TNT would be the perfect compliment to FedEx's U.S. and Asia strongholds, according to Wolfe.
"We see tremendous potential synergy for FedEx owning TNT Express throughout its global franchise," Wolfe said in a note to clients. He also thinks it's tough to predict how Wall Street would react to FedEx shares should the company make a bid, saying it would depend on how the TNT shares are paid for and how any deal would be financed.
"However, our sense is that the market would likely give FedEx management the benefit of the doubt in purchasing a business in its core Express area, even at a high valuation."