Cummins Shares Rise on Rumor

Shares of Cummins Engine Co., the diesel-engine maker touted as a possible takeover target, were rising on top of the previous day’s $6 advance.

Cummins officials were not available to comment on the latest price rise, but Wednesday they disclosed that an unidentified client of investment banker Rothschild Inc. had acquired a 5% stake in the Columbus, Ind.-based company.

The buyer is expected to file a document with the Securities and Exchange Commission late next week with details of the stock purchase.

Cummins is the world’s largest independent manufacturer of diesel engines and has about a 55% market share of North American heavy-duty truck industry sales. It also sells to construction, mining and agricultural machinery makers.