4 Merger and Acquisitions Stock Stories for a Monday Appraisal

ConocoPhillips (NYSE:COP): Current price $57.65

Oando Energy Resources, which is concentrated upon Nigeria, faces a funding shortfall as it tries to conclude a planned $1.79 billion purchase of ConocoPhillips’s Nigerian assets, according to a financial statement on the company’s website. International majors such as Royal Dutch Shell and Total have in recent years attempted to divest off some of their older Nigerian assets, with ambitious local players proving to be eager buyers. Grabbing ConocoPhillips’s Nigerian fields in December seemed to be a major play for Oando, the Toronto-listed subsidiary of a Nigerian energy company, but borrowing more money to finance the deal might negatively impact its finances, it warned, putting a damper on its ability to see through the purchase. Oando has already raised several loans to fund a $435 million deposit to the energy giant, and reported that it plans to issue a mix of shares and debt to complete the takeover, even as its accounts indicated it lost $284 million in 2012.

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COP

DISH Network (NASDAQ: DISH): Current price $35.41

It was reported on Friday afternoon that Chief Executive Charlie Ergen might have informally approached Deutsche Telekom in regards to a possible merger with T-Mobile USA. The proposal was made sometime before April 10, the day Deutsche Telekom sweetened its offer for MetroPCS (NYSE:PCS). For a while, Ergen has attempted to get DISH in the wireless game, aiming to work with Sprint on previous occasions and also trying to get FCC approval of certain spectrum bands which could carry wireless signals. For its part, Deutsche Telekom replied that it might consider DISH’s proposal after T-Mobile/MetroPCS deal closes and also affirming that a separate deal with Sprint can not be done.

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DISH

Schlumberger Limited  (NYSE:SLB): Current price $72.30

On Friday, Forest Oil Corp.  said that it signed a deal with the oilfield services giant Schlumberger through which to develop 27,000 net acres of Forest Oil’s Eagle Ford assets. Through the terms, Schlumberger will pay a $90 million drilling carry, financing Forest’s drilling expenses, in return for a 50-percent interest in Forest’s Eagle Ford acreage. The deal implies a value of roughly $3,300 an acre, according to analysts at Jefferies in a note to clients Friday, who also said that the figure compares with over $20,000 an acre in recent Eagle Ford deals by other firms. Schlumberger also gets to pay in kind, which probably will mean less than $90 million.

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SLB

Envestnet (NYSE: ENV): Current price $18.20

The company will acquire substantially all of the assets of the Wealth Management Solutions (NYSE:WMS) unit of Prudential Investments. Envestnet has agreed to purchase practically all of the assets of Prudential WMS for a cash price of $10 million upon closing, along with contingent consideration of up to an amount of $23 million in cash to be paid over three years. The transaction is expected to close by early third quarter. The buyer, Envestnet, is a leading provider of unified wealth management technology and services to investment advisors.

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ENV

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