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Acquisitions Mergers

O

SRC

Realty Income Corporation's acquisition of Spirit Realty Capital positions it as the fourth-largest REIT and in the top 200 companies of the S&P 500. The merger is expected to be accretive to AFFO and offers benefits like enhanced bargaining power, improved equity liquidity, and lower financing costs. However, challenges include potential difficulties in sustaining M&A growth and diversification risks. Realty Income's valuation is attractive post-acquisition, with analysts from RBC Capital and Wolfe Research upgrading the stock and raising price targets.

Portfolio Pulse from Surbhi Jain

December 11, 2023 | 1:44 pm

OXY

Occidental Petroleum Corp (NYSE:OXY) is acquiring CrownRock L.P. for $12 billion, including debt assumption, to expand its presence in the Permian Basin. The deal adds 94,000 net acres and is expected to increase production by 170 Mboed in 2024. Occidental plans to finance the acquisition with $9.1 billion in new debt, $1.7 billion in common equity, and assuming $1.2 billion of CrownRock's debt. The acquisition is anticipated to increase free cash flow per diluted share, with $1 billion expected in the first year at $70 per barrel WTI. The transaction should close in Q1 2024, and Occidental will also raise its quarterly dividend to $0.22 starting February 2024. OXY shares dropped 0.58% in premarket trading.

Portfolio Pulse from Shivani Kumaresan

December 11, 2023 | 1:40 pm

BYON

Allison Abraham has retired and resigned as Director of Beyond, effective immediately. Marcus Lemonis will take over as Chairman. Abraham has been with the company for over two decades and has seen it through various business transitions, including the acquisition of Bed Bath & Beyond. Lemonis commended Abraham for her service and is committed to continuing the company's growth strategy.

Portfolio Pulse from Benzinga Newsdesk

December 11, 2023 | 1:38 pm

CI

Cigna's stock price has risen after reports that the company has dropped its plans to acquire Humana. Additionally, Cigna announced an increase in its share buyback program by $10 billion, which is likely to be viewed positively by investors as it could indicate confidence by management in the company's financial health and future prospects.

Portfolio Pulse from Benzinga Newsdesk

December 11, 2023 | 1:28 pm

TKLF

Yoshitsu Co., Ltd. (NASDAQ:TKLF) announced it will directly operate its Hong Kong stores, taking over from management agency EWI on December 31, 2023. This move aims to enhance customer experience, profitability, and business performance. The company expects better market adaptation, service alignment, and cost optimization in Hong Kong.

Portfolio Pulse from Benzinga Newsdesk

December 11, 2023 | 1:25 pm

SNCR

Synchronoss Technologies, Inc. (SNCR) has completed its transformation to a cloud-only business, following the divestiture of its Messaging and NetworkX operations. The company expects to eliminate $10M-$15M in costs from its cloud operations, reaffirming its 2023 and 2024 financial projections. SNCR anticipates positive unadjusted cash flow for 2023, with adjusted EBITDA between $27M-$30M. For 2024, the company expects 5%-8% revenue growth, gross margins over 75%, and adjusted EBITDA margins above 25%. These improvements are attributed to the divestiture of non-core assets, removal of $15M in annualized operating expenses, and long-term contracts with major customers.

Portfolio Pulse from Benzinga Newsdesk

December 11, 2023 | 1:23 pm

AAGR

African Agriculture Holdings Inc. (NASDAQ:AAGR) announced plans to expand alfalfa production in Senegal following its merger and Nasdaq listing. The company aims to increase land utilization from 300 to 1,000 hectares and enhance production in 2024. AAGR's strategy includes broadening product offerings and expanding geographically, leveraging Africa's arable land to address global food security.

Portfolio Pulse from Benzinga Newsdesk

December 11, 2023 | 1:19 pm

CYTO

Altamira Therapeutics Ltd. (NASDAQ:CYTO) provided an update on its business strategy, including the partial spin-off of its Bentrio business, transition to a pure-play RNA delivery company, and financial restructuring. The company completed the Bentrio transaction, retaining a significant stake and potential future income. Altamira is also partnering its legacy assets and advancing its RNA delivery platforms, OligoPhore and SemaPhore. Cost reductions and debt repayment have strengthened the balance sheet. A 20-for-1 reverse stock split is planned to comply with Nasdaq listing rules and attract institutional investors.

Portfolio Pulse from Benzinga Newsdesk

December 11, 2023 | 1:18 pm

MOBV

SVMH

SVMHW

SRIVARU Holding Limited has completed a business combination with Mobiv Acquisition Corp and will begin trading on Nasdaq under the ticker symbols SVMH and SVMHW. Mohanraj Ramasamy, a former Tesla executive and founder of SRIVARU, is now CEO of the combined entity. The company aims to capture a significant share of the Indian and global EV markets, leveraging its state-of-the-art technologies and capital-efficient business model. SRIVARU is positioned to benefit from the growing Indian EV market, expected to exceed $36 billion by 2027, and plans to provide detailed business updates soon.

Portfolio Pulse from Benzinga Newsdesk

December 11, 2023 | 1:13 pm

M

Macy's Inc (NYSE:M) shares surged 16% to $20.19 after a report that an investor group made a $5.8 billion buyout offer. The group, including Arkhouse Management and Brigade Capital Management, proposed to take Macy's private at $21 per share, a 32% premium over the recent close. Macy's has struggled against online competition, with its share price falling from $70 in 2015 to $17.39 recently. The stock has a 52-week range of $10.54 to $25.12.

Portfolio Pulse from Henry Khederian

December 11, 2023 | 1:12 pm