Streetbeat News

Acquisitions Mergers

PRTA

Prothena Corporation shares are trading lower, possibly due to a pullback after the stock gained on Monday following reports of a potential sale of the company.

Portfolio Pulse from Benzinga Newsdesk

October 17, 2023 | 4:32 pm

KKR

KKR owes $2.5 billion to Goldman Sachs' clients due to a provision in a 2021 deal when KKR bought Global Atlantic from Goldman. KKR bought 63% of the company, with the rest going to Goldman's clients. The provision allows these minority shareholders to force KKR to list their shares in Global Atlantic or find another way to buy them out. The price tag for this is increasing, with KKR's stake valued at $4.4 billion, making the minority stake worth $2.5 billion. KKR may have to issue 42 million shares, about 5% of its existing share count, to cover this.

Portfolio Pulse from Benzinga Newsdesk

October 17, 2023 | 4:29 pm

LIVE

LL

Bleecker Street Research has issued a report on LL Flooring Holdings (LL) and Live Ventures (LIVE), stating that the unsolicited offer by LIVE to acquire LL should be treated as 'dead on arrival'. LIVE, with a market cap of just over $80 million, offered to acquire LL for an all-cash price of $194.4 million, a 106% premium over LL's current equity valuation. The report highlights several issues, including LIVE's ongoing legal issues with the SEC, its lack of sufficient cash or credit facilities to complete the offer, and LL's deteriorating financial situation. Bleecker Street Capital is short shares of LL Flooring.

Portfolio Pulse from Benzinga Newsdesk

October 17, 2023 | 4:15 pm

WH

Choice Hotels has proposed to acquire Wyndham Hotels & Resorts for $90.00 per share, payable in a mix of cash and stock. However, Wyndham rejected the proposal.

Portfolio Pulse from Benzinga Newsdesk

October 17, 2023 | 4:13 pm

CHH

WH

Wyndham Hotels & Resorts (NYSE:WH) has rejected an unsolicited stock-and-cash proposal from Choice Hotels International, Inc. (NYSE:CHH) to acquire all outstanding shares of Wyndham. The proposal, valued at $90 per share, was deemed not in the best interest of shareholders due to significant business and execution risks, potential franchisee churn, and excessive leverage levels at the combined company. Wyndham's Board also expressed concerns about the value of Choice's stock and the long-term risks to Wyndham's business and shareholders.

Portfolio Pulse from Benzinga Newsdesk

October 17, 2023 | 3:57 pm

OLK

SXT

VFC

WH

Despite a general downward trend in U.S. stocks, several companies recorded gains. Olink Holding AB's shares rose 65.8% after Thermo Fisher Scientific announced plans to acquire the company. Wyndham Hotels & Resorts, Inc. gained 11.2% following a proposal from Choice Hotels to acquire the company for $90.00 per share. Engaged Capital has built a significant stake in V.F. Corporation, leading to a 13.4% rise in its shares. Sensient Technologies Corporation's stock jumped 6.7% after Baird upgraded the stock from Neutral to Outperform.

Portfolio Pulse from Lisa Levin

October 17, 2023 | 3:40 pm

AMD

APO

FJTSF

INTC

KKR

MSBHF

Mitsubishi Corp. is reportedly considering bidding for Fujitsu Ltd.'s chip packaging unit Shinko Electric Industries. Other potential bidders include Apollo Global Management, KKR & Co., Bain Capital, and Japan Investment Corp. Fujitsu's 50% stake in Shinko Electric is worth around $2.6 billion. Shinko is a major supplier to chip companies such as Intel Corporation and Advanced Micro Devices. The sale may face national economic security issues.

Portfolio Pulse from Nabaparna Bhattacharya

October 17, 2023 | 3:08 pm

RADCQ

Rite Aid Corporation has received approval from the U.S. Bankruptcy Court for its 'First Day' motions related to its voluntary Chapter 11 petitions. The court granted interim approval to access up to $3.45 billion in debtor-in-possession financing. Rite Aid also reached an agreement with MedImpact Healthcare Systems to acquire Rite Aid's Elixir Solutions business. The proposed transaction is subject to higher and better offers, court approval, and other customary conditions.

Portfolio Pulse from Benzinga Newsdesk

October 17, 2023 | 3:07 pm

CHH

WH

Wyndham Hotels & Resorts has rejected a takeover offer from Choice Hotels International, according to executives. The details of the offer were not disclosed.

Portfolio Pulse from Benzinga Newsdesk

October 17, 2023 | 2:58 pm

CHH

Choice Hotels has made an offer to acquire Wyndham Hotels & Resorts, causing its shares to trade lower.

Portfolio Pulse from Benzinga Newsdesk

October 17, 2023 | 2:52 pm