Barnes & Noble in Merger Talks With Gemstar

Barnes & Noble Inc. acknowledged that it is holding talks with Gemstar-TV Guide International about ways to cooperate in selling e-books, including a possible merger. Earlier this week, the bookselling giant denied a report in the Wall Street Journal saying the two companies were discussing a merger. But spokeswoman Mary Ellen Keating said the talks have expanded since then. Barnes & Noble acquired a stake of less than 1% of Gemstar when it sold NuvoMedia, the maker of the Rocket Book, one of the first electronic text readers. Gemstar, which publishes TV Guide magazine and operates on-screen programming guides, is one of the leading e-book publishers, having also purchased Softbook Press earlier this year. Gemstar shares, which had slumped this month on concerns about growth in the company’s online programming guides, rose $2.63 to $46.38 on Nasdaq. Barnes & Noble shares gained $1.19 to close at $27.94 on the NYSE.