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Pinnacle Foods shares rise on takeover speculation

  • Pinnacle shares were higher amid speculation it could be a takeover target.
  • Pinnacle Foods was reported to have had previous talks with Conagra.
  • Sources previously told CNBC that the talks, which occurred in May, ended because the companies could not agree on price.
Duncan Hines brand cake mix sits on display for sale at a supermarket in Princeton, Illinois.
Daniel Acker | Bloomberg | Getty Images
Duncan Hines brand cake mix sits on display for sale at a supermarket in Princeton, Illinois.

Pinnacle Foods jumped amid fresh speculation that Conagra or some other bidder is interested in an acquisition of the company.

"We cannot comment on market speculation," said a Pinnacle spokesperson.

Pinnacle stock was up more than 3.4 percent at $61.20 per share. Conagra Brands was also higher, up 1.3 percent.

Sources had told CNBC in June that the two companies spoke about a possible combination in May, but had no plans to revisit their talks.

Conagra, which makes Reddi-wip, and Pinnacle, which owns Duncan Hines, could not agree on a price, the sources said.

Margins in the packaged-food industry have been under pressure, from supermarket pricing as well as big-box stores, like discounter Wal-Mart.

Jon Najarian, a trader on CNBC's "Halftime Report," said Wednesday speculation was again circulating about renewed takeover interest for Pinnacle in the options market.

Conagra declined to comment.