What’s Moving These Hot Stocks: Arena Pharmaceuticals, Sprint, Cost Plus
Arena Pharmaceuticals, Inc. (NASDAQ:ARNA) shares jump in early trading following their 25 percent rise on Tuesday, which was sparked by briefing documents that imply that sufficient new data was given to the FDA, to alleviate worries about the risk of tumors and heart problems with its lorcaserin obesity drug. BMO respondes by upgrading shares and raising its price target to $7 from $1.
Sprint Nextel Corp. (NYSE:S): Carl Icahn last week divested around $250 million in LightSquared debt, but no one was certain as to who bought it, say certain sources. But the Wall Street Journal now reports that inside sources are of the opinion that a small hedge fund with connections to satellite mogul Charlie Ergen engaged in the eal.
Cost Plus Inc. (NASDAQ:CPWM) and Bed Bath & Beyond Inc. (NASDAQ:BBBY) report jointly that they have reached a definitive agreement under which the former will be bought by the latter, in an all cash tender offer of $22 per all outstanding shares of Cost Plus Inc. common stock. A merger will follow, and any shareholders who have not tendered, will receive the same consideration. Both companies’ boards approved the terms unanimously, and Bed Bath & Beyond Inc. has also reached terms with Red Mountain Capital Partners LLC and Stephens Investment Holdings LLC, which are the two largest investors of Cost Plus, Inc. pursuant to which each shareholder has committed to tender all of their shares, which in total amount to a 26 percent interest in Cost Plus, Inc.
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