Rumours that media mogul Oprah Winfrey is purchasing a stake in cosmetics company Avon have been doing the rounds today, causing shares in the cosmetics company to rocket by 17 per cent.
However, after all the fuss, CNBC revealed that it was unlikely to be true, tweeting from its CNBC Now account that a spokesperson for the TV personality and businesswoman had denied the rumours. Share prices have started dropping back down after the announcement.
No doubt the make-up business was hoping a little bit of Oprah magic would do for them what it did for Weight Watchers. When Winfrey revealed she was purchasing 10 per cent of the diet company's shares back in October as well as joining the board of directors, its share price shot through the roof, closing up 105 per cent for the day.
As it happens, Avon, which has declined to comment on the rumours about Oprah, could probably use a helping hand, as its own shares have dropped more than 60 per cent in a year.
Meanwhile, the company's third quarter results for 2015, released in November, revealed that revenue had declined 22 per cent to $1.7bn. Avon also reported a net loss after tax for the period of $697m.