French carrier Orange (NYSE:ORAN) is offering to acquire Spanish broadband provider Jazztel (OTCPK:JAZTF) for ~€3.4B ($4.4B), or €13/share for a premium of 22% over the stock’s close Friday in Madrid.
Buying Jazztel would give Orange ~1.5M broadband subscribers to help bolster offers of combined broadband, TV and wireless packages; Jazztel's revenue has grown in every quarter since 2008, and this year sales may reach €1.2B, quadrupling from 2007.
Chairman Leopoldo Fernandez Pujals is Jazztel’s biggest shareholder with a ~15% stake.
VimpelCom (NASDAQ:VIP) is close to selling its stake in Canadian wireless carrier Wind Mobile Canada to Toronto-based Globalive Wireless Management for ~C$300M ($270M), with an announcement expected as soon as tomorrow, according to various reports.
A deal would cap VIP's struggle to exit the Canadian market following a lengthy regulatory spat over Canada's foreign investment rules.
A sale also would boost the Canadian government’s effort to create a fourth national wireless carrier to help foster competition and reduce mobile phone rates; the three biggest carriers, Rogers Communications (NYSE:RCI), BCE and Telus (NYSE:TU), together control 90% of the market.
Actua (NASDAQ:ACTA) agrees to acquire FolioDynamix, a cloud-based wealth management technology platform, for $199M.
ACTA says FolioDynamix brings a current net revenue run rate of $30M-plus, with positive earnings and cash flow; the company grew by more than 40% in 2013, and ACTA expects the growth rate to continue in 2014.
Diagnostics maker Alere (ALR +12.9%) bucks biotech's down day by jumping on a 6x surge in volume on reports that former CEO Ron Zwanziger intends to bid $46 per share for the company. His potential offer would value Alere at almost $4B.
Mr. Zwanziger believes the firm is undervalued. He has a point. Alere's sales and earnings are decelerating and its P/S, P/B and P/CF ratios all lag the industry according to msn money.
Barron's Ben Levisohn believes that AstraZeneca (AZN +0.7%) remains a solid target for Pfizer (PFE +0.9%) citing the tax inversion appeal, the ability to free up its ex-U.S. cash and AZN's robust pipeline.
He also believes Actavis (ACT -0.2%) is an equally compelling target due to its lower risk and good fit with Pfizer's Global Established Product unit while offering the tax inversion pathway and access to ex-U.S. cash as well.
A deal between the beer giants would require significant divestiture massaging, possibly including SABMiller shedding its interest in MillerCoors (NYSE:TAP) in the U.S.
What to watch: A-B has to decide before the end of the year if its wants to renew a soft-drink bottling contract with PepsiCo. If the brewer declines, it could be an indication that it has its eyes on SABMiller's deal with Coca-Cola in Africa.
Microsoft (MSFT -0.2%) has reached an agreement to buy Mojang, and the company’s iconic Minecraft franchise for $2.5B.
The acquisition marks the largest purchase ever for chief executive Satya Nadella, who says the purchase "is more than a great game franchise - it is an open world platform, driven by a vibrant community...with new opportunities for that community and for Microsoft."
Microsoft expects the acquisition to be break-even in FY15 on a GAAP basis. The acquisition is expected to close in late 2014.
Nucor (NYSE:NUE) agrees to acquire the Gallatin Steel business from ArcelorMittal (NYSE:MT) and Gerdau (NYSE:GGB) for ~$770M.
NUE says adding the Gallatin flat-rolled products mill in Kentucky, with an annual capacity of ~1.8M tons, will broaden its footprint in the U.S. midwest and will increase its total flat-rolled product annual capacity by 16% to ~13M tons.
NUE expects the deal to be immediately accretive to cash flow and accretive to earnings after working through purchase accounting-valued finished goods inventories.
A provider of content storage management solutions that help companies mitigate, manage, and monetize large-scale media assets, Front Porch Digital helps businesses handle fast-expanding, complex volumes of digital media content like high-def films and shows, medical images and records, and real-time security-monitoring fees.
Terms of Oracle's (NYSE:ORCL) purchase were not disclosed.
After announcing the sale of a $17.5B stake in its retail unit to investors, Sinopec (NYSE:SNP) now says it will use the cash toward optimizing its retail fuel business, boosting its non-fuel sales and paying down debts owed to its parent.
The deal comes as the Chinese government pushes to restructure its state-owned enterprises by bringing in private capital.
The stake will be sold to a group of 25 Chinese and foreign investors.