Verizon Communications Inc. (NYSE:VZ): Current price $45.70
Verizon shares are down almost 3.5 percent in New York Tuesday morning in heavy trading, the day after the company agreed to acquire Vodafone Group’s 45-percent interest in Verizon Wireless for $130 billion. Vodafone shares lost 5.5 percent on Tuesday in London, while United States depositary shares were down over 3 percent. The purchase was announced after the close of the European markets Monday when American markets were closed for Labor Day.
Microsoft Corp. (NASDAQ:MSFT): Current price $31.41
During a conference call on Tuesday morning, Microsoft Chief Executive Steve Ballmer said that his company’s $7-billion purchase of Nokia Corp. was made in part to make sure of future access to devices that can run its Windows Phone software.
Ballmer indicated that as Microsoft was evaluating its options to help increase the Windows Phone business, “It made sense for us to go first-party to have our own phone to ensure a Windows Phone presence.” The CEO observed that other options the firm explored “actually looked prohibitively expensive” and said that acquiring Nokia NOK “looks to us to be the best risk-return and upside opportunity for our shareholders.”
Bank of America Corp. (NYSE:BAC): Current price $14.35
On Tuesday, BofA launched an up to $1.5-billion share offering in China Construction Bank Corp, leaving an eight-year investment in China’s number-two lender in a move to reinforce its own balance sheet. The Charlotte-based bank is offering 2 billion Hong Kong-traded shares of CCB in a range of HK$5.63 to HK$5.81 apiece, according to a term sheet of the deal reviewed by Reuters.
The price equals a discount of as much as 5.1 percent to Tuesday’s close of HK$5.93. The divestiture comes after a massive cleanup in Bank of America’s balance sheet of late, worth approximately $60 billion, from the sale of non-core investments while Chief Executive Brian Moynihan endeavors to lift the bank’s capital ratios.