Yahoo Finance Merger Monday: Pfizer announces $14 billion mega deal
Wall Street started the week a bit wobbly. Stocks were mostly lower (^DJI, ^GSPC, ^IXIC) in early trading as investors remain cautious ahead of Federal Reserve Chair Janet Yellen’s speech at an annual symposium at Jackson Hole, Wyoming, later this week.
M&A action
Medivation (MDVN) stock surged this morning. The cancer drug maker is being bought by Pfizer (PFE) in a deal valued at about $14 billion. That translates to $81.50 a share in cash. The deal is expected to close by the end of the year and will give Pfizer access to Medivation’s cancer drug pipeline. Pfizer terminated its $150 billion dollar deal to buy Allergan (AGN) earlier this year after the Obama administration issued new rules that would make a tax inversion deal less favorable.
US listed shares of Syngenta (SYT) soared in early trading following news that a US national security panel cleared government-owned ChemChina’s $43 billion takeover of the Swiss pesticides and seeds company. The two companies expect the deal to close by the end of the year. However, the tie-up is still subject to antitrust and other regulatory approval.
Facebook (FB) shares are in focus after Barron’s reported over the weekend that the social media giant’s stock has the potential to rise by more than 20% to $153 a share over the next year given the growing advertising revenue among its platforms.
Valeant (VRX) shares were higher in early trading. The embattled Canadian drug maker has hired Paul Herendeen as its new chief financial officer. Herendeen was previously CFO at animal-health giant Zoetis (ZTS). This comes after Valeant replaced its longtime chief executive Michael Pearson with pharmaceutical veteran Joseph Papa in April.
Trump’s campaign spending
Donald Trump’s struggling campaign spent more money last month, but only half as much as Hillary Clinton. Meanwhile, Trump only started spending on national campaign TV ads in battleground states last week, while Clinton has been running spots for more than two months.
Kobe continues to lead the way
Bryant will unveiled a venture-capital fund. Bryant, along with his partner Jeff Stibel, will invest $100 million over the next five years in tech, media and data companies. The two have already invested in 15 companies since 2013.
It’s a me, Mario
Japan’s Prime Minister, Shinzo Abe, dressed up as Super Mario during the closing ceremony. Tokyo, which will host the 2020 games, put on a two-minute performance. Abe emerged from a pipe and held a glowing red ball.
