Streetbeat News

Acquisitions Mergers

AMZN

Amazon Web Services (AWS) plans to invest approximately $15.5 billion in Japan from 2023 to 2027 to expand data centers and operations. This investment aims to capitalize on the increasing volume of data processed due to the AI boom. AWS has previously invested 1.51 trillion yen in Japan over 12 years. The new investment in Japan will surpass the planned investment in India. John Felton has been appointed as the new CFO of AWS, succeeding Richard Puccio. Despite AWS's slower growth due to economic uncertainty, Amazon has had a significant year with initiatives in robotics, AI, and custom silicon chips, alongside workforce downsizing across various units. Amazon's stock rose 64% last year but is slightly down in the latest trading session.

Portfolio Pulse from Anusuya Lahiri

January 19, 2024 | 3:45 pm

KAMN

SAVE

WRLD

World Acceptance Corporation (WRLD) reported higher-than-expected quarterly earnings and sales, causing its shares to rise by 10.2%. Other stocks also moved higher, including Kaman Corporation (KAMN) after an acquisition announcement, Spirit Airlines (SAVE) following merger and guidance updates, and several others due to various positive developments such as earnings beats, analyst upgrades, and business transactions.

Portfolio Pulse from Avi Kapoor

January 19, 2024 | 3:20 pm

ACHR

MESA

UAL

Mesa Air Group, Inc. (MESA) stock is surging after announcing amended agreements with United Airlines Holdings, Inc. (UAL) that increase block-hour rates and adjust credit terms. The changes are expected to bring Mesa $63.5 million in additional revenue over the next year and improve liquidity. United also agreed to reduce Mesa's credit facility balance by $2.1 million and forgive a $10.5 million bridge loan in exchange for Mesa's investment in Heart Aerospace. Mesa has sold excess CRJ-900 aircraft and engines for $198 million, using the proceeds to pay down $174.3 million in debt. Mesa's CEO believes these moves will significantly increase contract revenue and margins.

Portfolio Pulse from Erica Kollmann

January 19, 2024 | 3:20 pm

Blackstone (NYSE:BX) has announced the acquisition of Tricon Residential (TSX:TCN) for $3.50 billion in cash, expected to be completed in Q2 of 2024. Blackstone is a major alternative asset manager with over $1 trillion in assets under management, while Tricon Residential is a rental housing company with approximately 36,000 properties in the US and Canada.

Portfolio Pulse from Benzinga Insights

January 19, 2024 | 3:10 pm

AXDX

CISS

IRBT

KAMN

SLB

TCN

U.S. stocks opened higher with the Dow Jones, NASDAQ, and S&P 500 all seeing gains. Schlumberger Limited (NYSE:SLB) reported Q4 earnings that surpassed estimates, with adjusted earnings of 86 cents per share and sales of $8.99 billion. Kaman Corporation (NASDAQ:KAMN) surged 101% after an acquisition announcement by Arcline. Tricon Residential Inc. (NYSE:TCN) also rose 28% due to an acquisition agreement with Blackstone. Conversely, C3is Inc. (NASDAQ:CISS), Accelerate Diagnostics, Inc. (NASDAQ:AXDX), and iRobot Corporation (NASDAQ:IRBT) saw significant share price drops due to various negative announcements.

Portfolio Pulse from Avi Kapoor

January 19, 2024 | 2:53 pm

AMD

HPE

ISRG

JNPR

META

NVDA

PANW

AI stocks have been leading gains in the S&P 500 index in January, with Juniper Networks, Nvidia, and Palo Alto Networks among the top performers. Juniper Networks received a $14 billion takeover offer from Hewlett Packard Enterprise, Nvidia continued its strong performance with a 15% gain in January, and Palo Alto Networks saw a 14% increase. Nvidia's technology and market share in AI GPUs, including a large purchase by Meta Platforms, positions it well for 2024. Palo Alto Networks is also favored by analysts for its role in cybersecurity against AI-powered threats. Other notable companies include AMD with a 10.3% gain and Intuitive Surgical, also up by 10.3%, both benefiting from the AI trend.

Portfolio Pulse from Neil Dennis

January 19, 2024 | 2:37 pm

AAL

DAL

JBLU

LUV

SAVE

UAL

Spirit Airlines (SAVE) is urging JetBlue (JBLU) to appeal a federal judge's decision that blocked their $3.8 billion merger, which could have created the fifth-largest US carrier. The ruling, favoring antitrust regulators, has led to a significant drop in Spirit's shares. Despite the setback, Spirit's Q4 2023 revenue is expected to be at the high end of guidance, and the company is looking to refinance debt. Shares of SAVE and JBLU have risen on the latest update.

Portfolio Pulse from Vandana Singh

January 19, 2024 | 2:33 pm

SPRC

SciSparc Ltd. (SPRC) has provided a $1.4M bridge loan to an unnamed vehicle importer company in Israel, with whom it has a non-binding letter of intent to acquire. The loan bears 7% interest annually, increasing to 9% if the acquisition isn't completed by the repayment date. The loan will be set off against a planned $4.25M financing upon acquisition completion. If the acquisition fails, the loan must be repaid within three months of termination or by July 15, 2024.

Portfolio Pulse from Benzinga Newsdesk

January 19, 2024 | 2:32 pm

GRFS

Grifols, a global healthcare company, has sold its plasma companies to Scranton, as reported by Reuters citing a Grifols board member and Scranton shareholder. The acquisition is aimed at assisting Grifols.

Portfolio Pulse from Benzinga Newsdesk

January 19, 2024 | 2:22 pm

GRFS

An investment company named Scranton, which has ties to Grifols, is expected to provide a public explanation following a report from a hedge fund. This anticipation comes from a statement made by a Grifols board member who is also a shareholder in Scranton. Investors are likely awaiting further details to understand the implications of the hedge fund's findings on Grifols and its relationship with Scranton.

Portfolio Pulse from Benzinga Newsdesk

January 19, 2024 | 2:20 pm