BATS Blasts To All-Time-High As Takeover Rumors Surface

Bats Global Markets Inc BATS shares are trading higher by $5 at $31.53 in Friday's session. The catalyst for the 20 percent rally is none other than a takeover rumor. Around 5:30 p.m. ET Thrusday, Bloomberg reported CBOE Holdings CBOE was in talks to acquire the upstart exchange.

At this time, there has been no confirmation of an impending deal.

Aggressive traders seized on the rumor as the issue immediately spiked to $34.16 before reversing course. The issue, which debuted in April, had made its former all-time high in May at $29.01.

With no immediate announcement forthcoming, a few investors have decided to cash in on the quick windfall in profits as opposed to waiting for the deal to come to fruition.

Following a higher open, it found sellers ahead of the pre-market high ($34.16), only reaching $33 before retreating to $30.50. At this time, it's attempting to find a home in the $32 handle.

Today's price action is taking place on higher than average volume as 900,000 shares have traded compared to its 20-day average of 172,000, with less than four hours remaining in the session.