Streetbeat News

Acquisitions Mergers

CPTN

Cepton, Inc. (NASDAQ:CPTN) has received a non-binding indication of interest from Koito Manufacturing to acquire all outstanding shares of Cepton not already owned by Koito or certain Rollover Participants. The terms are contingent on several conditions, including due diligence, retention of key employees, and approvals from Koito's board and Cepton's shareholders. Cepton's Special Committee will evaluate the proposal, with no assurance of a definitive transaction. No further announcements are planned until a decision is made.

Portfolio Pulse from Benzinga Newsdesk

December 21, 2023 | 9:11 pm

RYAN

Ryan Specialty (NYSE:RYAN) has signed an agreement to acquire Castel Underwriting Agencies from Arch Financial Holdings (UK) Limited and minority shareholders. Castel, with offices in the UK, Netherlands, and Belgium, brings a diverse portfolio of underwriting expertise to Ryan Specialty's MGU portfolio. The acquisition, which is expected to close in the first half of 2024, will expand Ryan Specialty's UK and European footprint and is part of their strategy to grow their total addressable market. Castel's operating revenue for the 12 months ended November 30, 2023, was approximately £35 million. Terms of the deal were not disclosed, and the closure is subject to regulatory approvals.

Portfolio Pulse from Benzinga Newsdesk

December 21, 2023 | 9:09 pm

SMFL

Smart for Life, Inc. (NASDAQ:SMFL) shares surged on heavy trading volume, with over 77 million shares traded, far exceeding the 100-day average of less than 685 thousand shares. The spike follows the company's announcement of executive team additions and ongoing negotiations for two acquisitions expected to generate approximately $25 million in revenue. The CEO also mentioned a material restructuring program, including capital markets strategies and the disposition of non-performing assets to improve stockholder's equity for Nasdaq compliance.

Portfolio Pulse from Erica Kollmann

December 21, 2023 | 7:29 pm

ANNX

CLNN

HOOK

KMX

LGVN

PBLA

TGI

U.S. stocks closed higher with the Dow Jones gaining over 100 points. CarMax, Inc. (KMX) shares rose after reporting Q3 earnings that beat estimates with EPS of $0.52, despite a sales decline of 5.5%. Triumph Group (TGI) surged 32% after announcing the sale of its Product Support business to AAR. HOOKIPA Pharma (HOOK) jumped 76% following a $21.25 million equity investment from Gilead Sciences. Annexon (ANNX) gained 21% after reporting positive study results. Conversely, Panbela Therapeutics (PBLA), Clene Inc. (CLNN), and Longeveron (LGVN) saw significant declines in their share prices.

Portfolio Pulse from Avi Kapoor

December 21, 2023 | 7:23 pm

CSCO

Cisco Systems, Inc. (NASDAQ:CSCO) announced its intention to acquire Isovalent, Inc., a cloud-native networking and security company. This acquisition is aimed at enhancing Cisco's Security Cloud vision, which is an AI-driven, cloud-delivered, integrated security platform suitable for organizations of all sizes. Isovalent is a key contributor to eBPF and the development of Cilium, a leading solution for cloud-native networking and security. The Isovalent team will join Cisco's Security Business Group after the acquisition, expected to be completed in the third quarter of fiscal year 2024. Cisco's stock was trading down by 0.69% to $49.46 at the last check on Thursday.

Portfolio Pulse from Nabaparna Bhattacharya

December 21, 2023 | 7:20 pm

HUBB

Hubbell Inc (NYSE:HUBB) has agreed to sell its Residential Lighting business to Kingswood Capital Management for $131 million. The sale is part of Hubbell's strategy to focus on a portfolio with better growth and margin prospects, particularly around grid modernization and electrification. The Residential Lighting business is projected to generate about $190 million in sales in 2023. Hubbell's long-term debt was $1.439 billion as of the end of September. The transaction is expected to close in Q1 2024, pending regulatory approvals. Hubbell recently acquired Systems Control, enhancing its energy infrastructure offerings. HUBB shares rose 0.80% to $323.70.

Portfolio Pulse from Nabaparna Bhattacharya

December 21, 2023 | 7:03 pm

AIR

TGI

Triumph Group's stock is trading higher following the announcement that AAR CORP will acquire Triumph Product Support for $725 million.

Portfolio Pulse from Benzinga Newsdesk

December 21, 2023 | 6:25 pm

PARA

PARAA

WBD

Analysts are divided on the potential merger between Warner Bros. Discovery Inc (WBD) and Paramount Global (PARA, PARAA). Needham analyst Laura Martin sees positives in the merger, citing increased scale, content library, and negotiating leverage, especially in streaming, cable, news, and sports. She believes the merger would receive regulatory approval and has a Hold rating on WBD and a Buy rating with a $15 price target on PARA. Conversely, LightShed Partners analyst Rich Greenfield is skeptical, pointing to the struggles in TV advertising and streaming losses. He suggests that companies should focus on content creation rather than competing in streaming, and has a negative view on the merger's potential success.

Portfolio Pulse from Chris Katje

December 21, 2023 | 6:14 pm

SONY

Blackstone Inc. is set to acquire an 80% majority stake in Sony Payment Services Inc., a subsidiary of Sony Group Corp., for approximately $280 million. Sony will retain a 20% minority stake in the payment service. The deal is expected to be announced shortly, as per a source familiar with the matter. Both Blackstone and Sony have not officially commented on the transaction.

Portfolio Pulse from Benzinga Newsdesk

December 21, 2023 | 6:14 pm

LTRY

Lottery.com Inc. has received an $18 million investment commitment from Prosperity Investment Management to accelerate strategic acquisitions and market development for Lottery.com and Sports.com brands. The investment will be funded through a vehicle provided by United Capital Investments Limited.

Portfolio Pulse from Benzinga Newsdesk

December 21, 2023 | 6:01 pm