Google and 16 Stocks Making Deal Buzz This Week
Here’s your Cheat Sheet to this week’s top mergers and acquisition news:
Google Inc. (NASDAQ:GOOG): Current price $903.11
Google has acquired Bump, a mobile application that was one of the early hit mobile apps but never developed into a large entity. The app was created to allow people to share contact information by just bumping their phones together, and the firm also evolved to permit the sharing of things such as photos through bumps. Subsequently, it debuted a second app named Flock for group photo sharing. Financials of the transaction were not reported.
Google has offered remedies to the U.K.’s Office of Fair Trading as part of its purchase of the social media mapping app Waze. According to the initial remedies published on the regulator’s website, Google offered to separate the Waze business, brand, and sales from its own business. The concessions remain provisional while the office determines if it has jurisdiction over the acquisition. Google is going through global scrutiny from regulators as it expands its product lineup and ventures into new areas like mobile tech.
Accenture Plc (NYSE:ACN): Current price $77.01
Accenture will purchase a majority interest in the mortgage-processing tech firm Vivere Brasil Serviços e Soluções S.A, which is partly owned by BTG Pactual. The move is designed to boost Accenture’s mortgage-processing tech and services capabilities, so as to help Brazilian banks enhance their efficiencies and capacity for processing loans in the country’s quickly expanding mortgage market.
After the acquisition closes, Accenture will hold majority ownership and also have management responsibility for Vivere Brasil. Through its investment in Vivere Brasil, Accenture will expand its mortgage-services capabilities in Brazil, in which the mortgage industry is developing quickly.
Rockwood Holdings Inc. (NYSE:ROC): Current price $67.95
Knowledgeable sources told Reuters Monday that Rockwood is in advanced discussions to divest its titanium dioxide unit and other pigments divisions to Huntsman Corp. One of the sources reported that a deal could be signed within the next few days. In the talks, the units are being valued at between $1 billion and 1.2 billion including debt.
Harsco Corp. (NYSE:HSC): Current price $25.47
The diversified worldwide industrial firm Harsco Corp. said on Monday that it will divest its Infrastructure division into a joint venture with Clayton, Dubilier & Rice, through a transaction that will unite that division with Brand Energy & Infrastructure Services, Inc., which CD&R is simultaneously purchasing from First Reserve.
The combined entity, which will go forward under the name Brand Energy & Infrastructure Services, will be a single-source supplier of specialized industrial services to the global energy and infrastructure sectors. At the close, Harsco will receive cash proceeds of about $300 million and a 29 percent equity stake in the combined firm, which has an enterprise value of around $2.5 billion.
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Splunk Inc. (NASDAQ:SPLK): Current price $61.98
The software platform for real-time operational intelligence announced that it will purchase BugSense Inc., which is an analytics solution for machine data generated by mobile devices. Acquiring BugSense will improve the ability of Splunk customers to analyze machine data directly from mobile devices and then correlate it with other machine-generated data in order to gain operational intelligence. Financials of the acquisition were not reported, but the transaction will be funded with cash from Splunk’s balance sheet, subject to the usual closing conditions. It should close during the buyer’s fiscal third quarter 2014.
Clovis Oncology Inc. (NASDAQ:CLVS): Current price $74.56
Knowledgeable sources say that Clovis is examining strategic options, among which include a sale of the firm. Shares are up nearly 8 percent on Tuesday. Clovis is collaborating with advisers that include Credit Suisse AG to help it find a buyer, according to the sources, who elaborated that the process remains in the early stages and that Clovis is not yet in exclusive talks with any potential suitor. A spokeswoman for Clovis did not respond to phone calls and emails asking for comment on the potential sale. Credit Suisse spokesman Jack Grone declined to comment.
Huntsman Corp. (NYSE:HUN): Current price $19.63
On Tuesday, Huntsman and Rockwood Holdings, Inc. announced that the former will buy Rockwood’s Performance Additives and Titanium Dioxide units. Under the terms, Huntsman will pay roughly $1.1 billion in cash and assume unfunded pension liabilities calculated at $225 million as of June 30. The purchase price of $1.1 billion in cash is aside from the assumption of unfunded pension liabilities. The acquisition should be immediately accretive to Huntsman earnings per share.
Solera Holdings, Inc. (NYSE:SLH) Current price $53.20
Solera on Tuesday said that it has purchased the entirety of the equity interests of Servicios Informaticos Serinfo S.A. in Chile. Serinfo is Chile’s top supplier of dealership and bodyshop management systems, and its platform permits customers to improve operations and communicate effectively with all stakeholders in the purchase and care of vehicles, including the vehicle owner. Solera is a worldwide provider of software and services to the automobile insurance claims processing industry.
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Smithfield Foods Inc. (NYSE:SFD): Current price $34.12
China’s Shuanghui International is poised to see shareholder approval for its $4.7 billion offer for Smithfield Foods Inc., which represent the largest buyout of an American company by a Chinese company prior to the vote next week. The shareholder vote will drive up the pressure upon activist investor Starboard Value LP, against the transaction, to create an alternative plan for the number one pork producer. The transaction requires the approval of just over 50 percent of Smithfield shareholders by a special meeting set for September 24.
EnerSys (NYSE:ENS): Current price $60.32
On Wednesday, EnerSys reported that it will acquire Purcell Systems, Inc. The purchase price is $115 million and will be financed via existing cash and credit facilities. The closing of the transaction is subject to the usual regulatory and closing conditions. Purcell Systems designs, manufactures, and markets thermally-managed electronic equipment and battery cabinet enclosures for customers worldwide in utility, telecommunication, broadband, rail, and military applications.
L&L Energy, Inc. (NASDAQ: LLEN): Current price $1.26
The U.S.-based firm with a track record of energy (coal) operations in China reported Wednesday a review of activity at its 2013 shareholders general meeting held on Monday in Seattle. Among the items on its agenda, L&L says that it intends to search out acquisition opportunities in Northern China through strategic partnerships and is actively examining possible acquisition targets having the potential to add at least 1 million tons of coal output per year.
International Business Machines Corp. (NYSE: IBM): Current price $190.02
IBM announced Thursday that it purchased Daeja Image Systems Ltd., which provides software that facilitates businesses and information tech professionals in viewing large documents and images. Daeja is a privately held software firm with headquarters in the U.K. Financials terms of the transaction were not disclosed.
BioMarin Pharmaceutical Inc. (NASDAQ:BMRN): Current price $76.95
Putting the kibosh on chatter that Roche Holding AG is raising financing for the purchase of BioMarin, CEO Severin Schwan said his company has no plans to do so in an interview Thursday at Bloomberg’s New York offices. BioMarin jumped by around 10 percent in early trading, then cut back the gains to a bit over 1.5 percent following his comments.
Veeco Instruments Inc. (NASDAQ:VECO): Current price $35.41
Veeco announced Thursday that it will acquire the privately held Synos Technology, Inc., which designs and makes Fast Array Scanning Atomic Layer Deposition systems that allow the output of flexible organic light-emitting diode displays for mobile devices. The initial purchase price comes to $70 million. Synos shareholders will receive additional payments upon the achievement of future performance milestones, with maximum potential consideration for the deal of $185 million. The merger should to close in the fourth quarter.
BP (NYSE:BP): Current price $42.46
On Friday in London, BP has once again attracted takeover chatter, according to The Telegraph. Shares of the FTSE 100 company jumped by as much as 1.8 percent on dealing room speculation that Exxon Mobil was ready to make an offer. Back in 2010, after the Gulf of Mexico disaster, there were often rumors that BP was a takeover target with Exxon cited as the likely predator. Not many dealers were convinced by Thursday’s revived chatter, although BP was up 0.4 percent at 442.05 pence in a weak market.
Vodafone Group plc. (NASDAQ:VOD): Current price $33.58
The United Kingdom telecommunications major Vodafone got the nod on Friday from European antitrust regulators for its proposed takeover offer of 7.7 billion euros, or $10.4 billion, for the cable giant Kabel Deutschland. This step represented the final hurdle for Vodafone, which recently divested its part in Verizon Wireless to its partner, Verizon Communications, for $130 billion so as to purchase Germany’s number one cable operator.
MoneyGram International Inc. (NASDAQ: MGI): Current price $19.76
The world money transfer and payment services firm on Friday announced that it has acquired Advanced ChronoCash Services and will also buy MoneyGlobe Payment Institution S.A., both of which are based in Athens. MoneyGram bought the super agent ACCS through a share purchase arrangement. ACCS has been a MoneyGram agent since 2003 and has now expanded to over 400 locations with a loyal base of retail agents. The purchase establishes a direct retail network for MoneyGram in Greece, permitting a closer relationship with its customers.
Oasis Petroleum Inc. (NYSE:OAS): Current price $45.37
In September, Oasis has reached agreements to add 161,000 acres in the Williston Basin, which includes the Bakken formation, providing it more real estate in the region relative to its $5.2 billion enterprise value than any similar-sized rival, said data compiled by Bloomberg. Now that Oasis is one of the largest landholders in the biggest continuous shale-oil deposit in the United States, Sterne Agee Group Inc. said that it might entice takeover interest.