Streetbeat News

Acquisitions Mergers

IRBT

iRobot shares are trading lower following concerns from the European Commission that Amazon's planned acquisition of the company may restrict competition.

Portfolio Pulse from Benzinga Newsdesk

November 27, 2023 | 6:08 pm

VWAGY

Volkswagen AG (OTC:VWAGY) is implementing a €10 billion cost-saving plan, which includes staff reductions, to improve efficiency during its transition to electric vehicle production. The company is negotiating with its works council on this cost-cutting initiative. Volkswagen aims to become more competitive by addressing high costs and redundant structures. The workforce reduction will primarily be through partial or early retirement, but the majority of savings will come from other areas. VWAGY shares dropped by 0.77% to $12.85.

Portfolio Pulse from Shivani Kumaresan

November 27, 2023 | 6:07 pm

AMZN

IRBT

VGK

The European Commission has expressed concerns that Amazon's acquisition of iRobot could restrict competition in the market for robot vacuum cleaners, particularly in the European Economic Area and/or national markets.

Portfolio Pulse from Benzinga Newsdesk

November 27, 2023 | 6:03 pm

AVGO

VMW

China's approval of Broadcom's acquisition of VMware has sent AVGO stock to new 52-week highs, reaching $999.87. The $61 billion deal is expected to offer 'sizable synergy potential' and be accretive to Broadcom's EPS and gross margins. Broadcom is set to report Q4 earnings on Dec. 7, with the market anticipating insights on the acquisition. KeyBanc analyst John Vinh has raised the price target for AVGO to $1,200 and maintains an overweight rating due to the complementary nature of VMware to Broadcom's portfolio.

Portfolio Pulse from Surbhi Jain

November 27, 2023 | 5:31 pm

CHH

WH

Choice Hotels International, Inc. (CHH) is actively pursuing an $8 billion acquisition of Wyndham Hotels & Resorts, Inc. (WH), having bought shares in the open market to gain a shareholder position. Choice plans to nominate directors to Wyndham's board and is preparing a tender offer for Wyndham's shares. Wyndham has been resistant but is open to discussions if its concerns are addressed. Choice previously made a public offer of $90 per share after a private $80-per-share bid was rejected. CHH's stock dropped by 0.83% to $113.19.

Portfolio Pulse from Shivani Kumaresan

November 27, 2023 | 5:09 pm

BP

COP

CVX

XOM

BP's shares have dropped nearly 17% since their 2023 peak, underperforming compared to ConocoPhillips and Exxon Mobil. RBC Capital Markets believes BP is undervalued and has raised its price target, citing reasons such as BP's commitment to shareholder returns, its profitable trading division, and a significant restructuring program. Chevron's shares have also fallen sharply, exacerbated by a $53 billion acquisition of Hess, making both BP and Chevron potentially attractive at current valuations.

Portfolio Pulse from Neil Dennis

November 27, 2023 | 4:22 pm

LHX

L3Harris Technologies Inc (NYSE:LHX) has agreed to sell its Commercial Aviation Solutions (CAS) business to an affiliate of TJC L.P. for $800 million, comprising $700 million in cash and $100 million in earnout. The sale is part of L3Harris' strategy to focus on national security and technology and is expected to close in the first half of 2024, pending regulatory approval. Proceeds will be used to repay debt. LHX shares dropped by 0.76% to $189.55.

Portfolio Pulse from Shivani Kumaresan

November 27, 2023 | 3:45 pm

GNE

Genie Energy Ltd. (NYSE:GNE) has expanded its renewable energy portfolio through its subsidiary Sunlight Energy Investments by acquiring 12 operational solar arrays with a collective generation capacity of 9.4 MW-DC. These arrays, located in Ohio and Michigan, are under long-term fixed-price PPAs and are expected to be immediately accretive to Genie Energy's bottom line. The acquisition also includes the first right of refusal for future projects by the developer. GNE shares saw a slight increase of 0.95% to $25.57.

Portfolio Pulse from Akanksha Bakshi

November 27, 2023 | 3:17 pm

KKR

KKR & Co. (NYSE:KKR) has acquired Potter Global Technologies, a manufacturer of fire and life safety equipment. The financial terms of the deal were not disclosed. Potter, based in St. Louis, Missouri, serves various markets including education and healthcare. KKR plans to implement an employee ownership program at Potter, allowing all employees to benefit from ownership. As of September 30, 2023, KKR reported a book value per adjusted share of $29.68 and had $28 billion in cash and investments. The acquisition is part of KKR's Ascendant Strategy to invest in North American mid-market companies. KKR shares saw a slight decline of 0.59% to $68.79 following the announcement.

Portfolio Pulse from Akanksha Bakshi

November 27, 2023 | 2:50 pm

NVOS

Novo Integrated Sciences Inc. (NVOS) has entered into a Purchase and Sale Agreement with Blake Alsbrook on November 21. The agreement details have not been disclosed, but such agreements typically involve the acquisition or sale of assets, intellectual property, or business units.

Portfolio Pulse from Bill Haddad

November 27, 2023 | 2:30 pm