Apple and China Mobile Step Closer to a Deal and 3 More Hot Stocks
Apple Inc. (NASDAQ:AAPL): Despite being awarded the license needed to operate on China Mobile’s (NYSE:CHL) network — leading the two companies closer to a deal — shares of Apple are off nearly 5 percent in the wake of Tuesday’s iPhone 5S and 5C release. The latter, supposedly the more affordable alternative to its pricy sibling, is still an expensive unit, drawing concerns over its viability in emerging markets. The phone, without a contract, sells for around $730, just $130 shy of its metal-clad counterpart.
AT&T Inc. (NYSE:T): AT&T has officially completed its purchase of spectrum from Verizon Wireless for $1.9 billion, and will use the new assets for its 4G LTE network. The carrier expects to complete the deployment of the infrastructure by summer 2014; the new block of spectrum covers 42 million people in 18 states. In addition to the $1.9 billion, Verizon also received spectrum in California, Phoenix and Portland.
News Corp. (NASDAQ:NWSA): Southeastern Asset Management purchased an 11.9 percent block of News Corp.’s voting rights, representative of a 4.1 percent economic interest. Based on Tuesday’s closing price of $16.72, the stake is worth around $397 million. It is the second-largest holding, tailing only Rupert Murdoch himself; Murdoch holds a 39 percent share of the voting stock. Southeastern, known for its value investing, says it has no plans to influence News Corp.
US Airways (NYSE:LCC): US Airways and AMR Corp. (AAMRQ.PK) are seeking an extension on their merger, as the current merger termination date is slated for December 17. The two airlines said Tuesday that they will continue to work closely with the creditors committee on all key matters, including the Department of Justice litigation. “We remain confident in our case and are eager to get to court in order to make the case for the new American Airlines … as soon as possible,” the companies said in a statement.