Seeking Alpha
Flip Order
  • Tuesday, May 5, 2015

  • 11:47 PM
    • Cogent Communications (NASDAQ:CCOI) joined Netflix today in calling for conditions on the proposed merger of AT&T (NYSE:T) and DirecTV (NASDAQ:DTV).
    • Data carriers like Cogent (along with firms like Netflix) are focused on interchange issues, the fees that a broadband behemoth could collect for accepting Internet traffic -- and their opposition, or the nature of it, could be good news for the deal, says industry analyst Craig Moffett.
    • The reason? The companies could be kingmakers by urging concessions, he says: They helped sink the Comcast-TWC deal, and now with AT&T/DirecTV, “two of the most ardent opponents are tacitly blessing the idea of the merger as long as there are appropriate conditions.”
    • The two say that a combined AT&T/DirecTV with no restrictions will have a bigger incentive to stymie streaming entertainment.
    | 1 Comment
  • 7:17 PM
    • Pacific Rubiales Energy (OTCPK:PEGFF) has received a takeover offer by its biggest shareholder that values it at ~$6B including debt, Bloomberg reports.
    • Mexican conglomerate Alfa and Harbour Energy are said to have made an all-cash offer that values Rubiales at ~C$6/share.
    • Alfa’s interest in the company has been speculated ever since it disclosed a stake last year, which it built to 19% in October, just below the 20% threshold that would require a company to start a takeover bid in most cases under Canadian securities law.
  • 5:28 PM
    • Bloomberg reports Western Union (NYSE:WU) is in talks to buy smaller rival MoneyGram (NASDAQ:MGI).
    • MoneyGram has soared to $10.50 in response; its market cap is now at $560M. Western ($10.9B market cap) is up fractionally.
  • 3:08 PM
    • Bloomberg reports Microsoft (MSFT -1.2%) is "evaluating a bid" for Salesforce (CRM +4.8%) after Salesforce was approached by another potential suitor. Salesforce is reportedly working with two banks to determine a response.
    • Bloomberg cautions Microsoft isn't currently in talks with the cloud CRM software giant, whose market cap stands at $49B. There was plenty of speculation Microsoft was the company that (per Bloomberg) recently approached Salesforce. SAP has denied being interested, and Oracle has suggested it isn't. A source says Microsoft has "long expected it might compete for Salesforce if it was for sale."
    • Salesforce has jumped on the report. If Microsoft pursues a bid, activist ValueAct Capital (has a board seat) might raise objections.
    • The report comes as Microsoft announces a partnership with cloud ERP/HR/e-commerce software vendor NetSuite (N +3%) to integrate NetSuite's apps with Office 365 apps and Azure services, and to make Azure NetSuite's "preferred cloud infrastructure platform." Microsoft struck an Office 365-focused partnership with Salesforce last year. NetSuite has received a lift from Bloomberg's report.
  • 11:26 AM
    • OPKO Health (OPK -1.9%) acquires Waterford, Ireland-based EirGen Pharma, a developer of specialty high potency pharmaceuticals, such as those used for cancer chemotherapy. Financial terms are undisclosed.
  • 10:40 AM
    • Harris (HRS -1.6%) expects to win antitrust approval for its planned acquisition of Exelis(XLS -0.6%) without having to make any asset disposals and still anticipates the $4.6B deal to close in June.
    • The remaining stumbling block is its ownership of intellectual property related to a planned Army radio upgrade, Chief Executive Bill Brown said on a post-earnings call. The company is confident it will resolve the issue.
    • Earlier: More on Harris' FQ3 (May. 05 2015)
    • Earlie: Harris beats by $0.07, misses on revenue (May. 05 2015)
    | Comment!
  • 9:45 AM
    | Comment!
  • 6:52 AM
    • Mondelez International (NASDAQ:MDLZ) and D.E. Master Blenders (OTC:DEMBF) land conditional approval from the European Commission on their proposed merger after agreeing to divest a few brands in certain regions.
    • The newly-created Jacobs Douwe Egberts is expected to strike revenue of more than €5B ($5.56B).
    • Pierre Laubies will be the pure play coffee company's CEO.
    | Comment!
DJIA (DIA) S&P 500 (SPY)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs