Barnes & Noble shares rose by 24 percent after news about Microsoft's interest in acquiring their NOOK series began circulating.

Barnes & Noble has been having a tough time with their NOOK devices not doing too well. Last festive season, the NOOK series was not among the most preferred devices for customers and sales reports didn't look too bright. However, a recent rumor that Microsoft is interested in acquiring Barnes & Noble's NOOK series has sent the company's share prices up by 24 percent.

According to technology website TechCrunch, Microsoft is planning to buy all Nook Media's assets for $1 billion. Microsoft already owns 17% of Nook Media, with around three quarters owned by Barnes and Noble and 5% by Pearson.

Microsoft acquired its share of Nook Media a little more than a year ago. The deal was struck at a time when the company was valued at $1.7 billion. However, sales of the NOOK devices have been disappointing with figures dropping by 26% in the last three months. In the last couple of months, the company's sales of digital readers and tablets have been disappointing and it had to cut prices.

Earlier this year, Barnes & Noble revealed its plans to close 20 stores a year over the next decade. Its chief executive Mitchell Klipper told the Wall Street Journal that Barnes & Noble would likely have 450 to 500 stores in 10 years, down from 689 retail stores it has currently.