TAIPEI Nov 13 The Taiwan stock exchange said on
Tuesday it is looking into unusual moves in the shares of HTC
Corp one day before the smartphone maker announced a
settlement with Apple Inc.
HTC shares had jumped by their permitted daily limit on
Friday, one day before a surprise announcement in the U.S. that
the company had agreed with Apple to end a long-running patent
"We are looking into whether there has been abnormal trading
of HTC stocks," said Michael Lin, a senior executive president
of the stock exchange.
"If we think there are problems, we'll submit the case to
regulators," Lin said.
HTC said the company had kept the Apple settlement process
strictly confidential and it takes many measures to prevent
insider trading as part of its daily operations. It said it
would fully cooperate with any stock exchange investigation.
By 0135 GMT, shares of HTC had tumbled nearly 6 percent,
against a 1.43 percent slide in the broader market,
retreating from closing 7 percent limit-up on Monday following
the settlement announcement.
HTC and Apple's settlement and licensing agreement ended one
of the first major conflagrations of the smartphone patent wars.
The California giant sued HTC in 2010, its first major legal
salvo against a manufacturer that used Google's Android
The settlement would give HTC a short-term boost, analysts
suggested, but long-term performance would still depend on the
company's ability to deliver competitive products to grab back
some of the market share it has lost to Apple and South Korea's
Samsung Electronics Co.