Streetbeat News

Acquisitions Mergers

PARA

WBD

CEOs of Warner Bros. Discovery, Inc. (WBD) and Paramount Global discussed a potential merger, focusing on mutual benefits such as leveraging children's programming and combining news outlets. The merger could create a media giant and is driven by Paramount's debt and competition from Big Tech. Warner Bros. Discovery has hired bankers to explore the deal, and CEO David Zaslav has spoken with Shari Redstone, owner of Paramount's parent company. Both companies' stocks were down in after-hours trading.

Portfolio Pulse from Ryan Gustafson

December 20, 2023 | 9:53 pm

FWRD

HUBG

Forward Air Corporation has sold its Final Mile business to Hub Group for an estimated total cash consideration of $262 million. The Final Mile business includes approximately 45 locations and over 640 employees, all of whom will transfer to Hub Group as part of the deal.

Portfolio Pulse from Benzinga Newsdesk

December 20, 2023 | 9:10 pm

ATRA

Atara Biotherapeutics has completed an expanded global partnership with Pierre Fabre Laboratories for Tabelecleucel (tab-cel). Atara receives $27 million upfront and initial inventory purchase, with the potential to earn up to $640 million plus royalties on net sales. The deal includes up to $100 million in regulatory milestones through BLA approval, reimbursement of tab-cel global development costs, and future inventory purchases.

Portfolio Pulse from Benzinga Newsdesk

December 20, 2023 | 9:05 pm

PARA

WBD

Warner Bros. Discovery (WBD) CEO David Zaslav and Paramount Global (PARA) CEO Bob Bakish have met to discuss a potential merger. The merger would create a media giant, likely triggering further industry consolidation. The companies could combine streaming services and other assets for better competition against Netflix and Disney+. WBD has hired bankers to explore the deal, and while it's early, the talks indicate a response to industry pressures such as cord-cutting and tech competition.

Portfolio Pulse from Benzinga Newsdesk

December 20, 2023 | 8:56 pm

Citigroup is closing its global distressed-debt group as part of CEO Jane Fraser's restructuring plan, known internally as Project Bora Bora. The move aims to exit low-return businesses to meet Fraser's performance targets. This follows the recent shutdown of Citigroup's municipal-bond trading operations. The distressed-debt group, which deals with securities of companies near or in bankruptcy, has around 40 employees.

Portfolio Pulse from Benzinga Newsdesk

December 20, 2023 | 8:44 pm

ACN

Morgan Stanley analyst James Faucette has maintained a Buy rating on Accenture Plc (NYSE:ACN) with a raised price target of $369 from $355. Faucette favors ACN for its consistent M&A execution and ability to adapt to new technologies. Despite a conservative 2Q outlook, he expects a strong back-half ramp supported by M&A revenue. He also notes ACN's disciplined spending on M&A and strength in bookings, with Managed Services growing by 20% Y/Y and Consulting by 6% Y/Y. Faucette is confident in ACN's potential for organic growth through strategic acquisitions, even in a challenging macro environment.

Portfolio Pulse from Anusuya Lahiri

December 20, 2023 | 8:11 pm

UTZ

Mizuho Securities analyst John J. Baumgartner initiated coverage on Utz Brands Inc (NYSE:UTZ) with a Buy rating and a price target of $19. Baumgartner is optimistic about UTZ's market share growth through M&A and organic growth. He expects the salty snack market to grow by +3% and believes UTZ will maintain its market share in core markets. The analyst also projects cost savings from network optimization and automation, supporting guidance for EBITDA margin expansion. UTZ shares were trading lower by 1.35% at $15.37.

Portfolio Pulse from Lekha Gupta

December 20, 2023 | 8:02 pm

GETY

PARA

Paramount Global (NASDAQ:PARA) stock is trading lower following reports of ongoing negotiations to sell its Black Entertainment Television (BET) network for nearly $2 billion. The potential buyers include BET CEO Scott Mills and Chinh Chu, a former Blackstone Inc (NYSE:BX) executive. Earlier attempts to sell BET and VH1 did not yield satisfactory bids. Paramount faces challenges with declining TV viewership and advertising revenues, and its shares have fallen nearly 6% in 2023. The Redstone family, which controls Paramount, has also considered selling their stake.

Portfolio Pulse from Anusuya Lahiri

December 20, 2023 | 7:54 pm

Brian Deese, a Biden campaign adviser, has expressed concerns about Nippon Steel Corporation's proposed acquisition of United States Steel Corporation. Deese, who previously led the White House National Economic Council, suggested that the Biden administration should scrutinize the deal. His comments were made in a personal capacity, and the official stance of the White House remains cautious, with only a potential regulatory review indicated. The deal has also faced opposition from U.S. legislators and the United Steelworkers union. Shares of United States Steel Corporation (X) were trading lower by 0.82% at last check.

Portfolio Pulse from Nabaparna Bhattacharya

December 20, 2023 | 7:22 pm

AON

BTC

DXC

EXAS

FDX

IWM

TTC

Wall Street saw a slight uptick in midday trading with the Nasdaq 100 hitting record highs. The S&P 500 has 90% of stocks above the 50-day average. The iShares Russell 2000 ETF (IWM) is set for its best month since November 2020 with a 12.5% gain. Treasury yields are stable, and Bitcoin (BTC) rebounded by 3.5%. Sector ETFs like XLB and XLC outperformed, while XLP lagged. The Toro Company (TTC) and Exact Sciences Corp. (EXAS) saw stock increases, while FedEx Corp. (FDX), DXC Technology Company (DXC), and Aon plc (AON) experienced declines.

Portfolio Pulse from Piero Cingari

December 20, 2023 | 6:47 pm