4 Merger and Acquisitions Stock Stories For Midweek Due Diligence

Dell (NASDAQ:DELL): Closing price $13.31

A Dell special committee has advised Michael Dell to up his $24.4 billion bid for Dell as the company sees further pressure. Billionaire investor Carl Icahn revealed he committed more than $3 billion in support of an alternative proposal. A source said to Reuters the committee told Dell’s founder and chief executive a few days ago that he should hike his offer if he wants it to win out. The special committee was formed to independently determine the best option for Dell shareholders.

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DELL

Avon Products (NYSE: AVP) :Closing price $20.94

On Sunday, Avon acted to divest its Silpada jewelry unit to Rhinestone Holdings at a price of $85 million plus an earn-out of as much as $15 million if Silpada attains specific earnings targets over two years. Rhinestone is a newly created entity owned by the founders of Silpada. Earlier this year, Avon said it was reviewing strategic alternatives for Silpada, and as of June 30 will account for and report Silpada as discontinued operations. Avon expects to record a charge of about $80 million pre-tax (approximately $50 million net tax), reflecting the estimated loss on sale in the second quarter. The transaction should close July 3.

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AVP

Liberty Global (NASDAQ:LBTYA): Closing price $76.99

Inside sources believe billionaire John Malone’s Liberty Global will probably not raise its bid for Kabel Deutschland Holding after Vodafone Group agreed to acquire the German cable giant. Liberty extended a preliminary offer for Kabel Deutschland in June and recognized that its offer could face antitrust obstacles, Bloomberg sources said.

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LBIYA

Emulex Corporation (NYSE:ELX): Closing Price $7.62

Emulex’s shares have fallen by more than a quarter of their value since averting a takeover offer four years ago, and the firm is now rethinking a sale to help it retrieve some investor losses. Emulex recruited Goldman Sachs to identify potential buyers, according to Bloomberg sources who believe Emulex could come up to $9 per share by taking the investor Altai Capital Management’s advice to sell itself.

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ELX

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