Broadcom Will Acquire Renesas Electronics Tech and 2 More Heavily Traded Stocks to Follow
Broadcom Corp. (NASDAQ:BRCM): Current price $25.92
On Wednesday, Broadcom said that it will purchase Renesas Electronics Corp.’s LTE tech for $164 million in order to accelerate the launch date of its next generation of products next year. Long-term evolution is a manner of delivering high-speed data for mobile phones. The buyer said that it expects the transaction with the Japanese chipmaker to add to its adjusted earnings per share by 2015, but the acquisition will cut into adjusted earnings per share by 12 cents in the fourth quarter and by 10 to 15 cents in 2014. The parties’ boards have already okayed the deal and it should close early in fourth quarter.
Astex Pharmaceuticals Inc. (NASDAQ:ASTX): Current price $8.27
Shares of the manufacturer of an experimental leukemia therapy, moved up the most in 17 years, following a report that the Japanese drug maker Otsuka Holdings Co. will acquire Astex for an estimated $900 million. Astex shares rose by 29 percent to $8.59 at 1:44 p.m. Eastern Time, giving the company a market value of $817 million. The Nikkei reported Wednesday that Otsuka will purchase Astex so as to increase its repertoire of cancer drugs.
Frontier Communications Corp. (NASDAQ:FTR): Current price $4.45
Frontier has received two contract ratifications with the Communications Workers of America Locals, representing roughly 200 Frontier employees in Pennsylvania. CWA-represented employees in Frontier’s Pennsylvania operations ratified one agreement on August 8 and another on August 19. The firm and union bargaining committees cooperated to address questions, which were priorities for both parties. The intense rivalry in the telecommunications business, the problematic economic times, and the importance of recruiting and retaining the best employees using competitive wages and benefits.