Yesterday, 7:29 PM
Yesterday, 11:50 AM
Wed, Dec. 7, 3:11 PM
- In lockstep with the contentious nature of their potential marriage, Alere (ALR -7.6%) issues its own statement responding to would-be-acquirer Abbott's (ABT -0.3%) announcement that it filed suit to terminate the deal.
- Alere says Abbott's lawsuit is "entirely without merit" and that "none of the issues it has raised provides it with any grounds to avoid closing the merger."
- The company declares that it has fully complied with its contractual obligations under the merger agreement and is "highly confident" that the deal will go through. As a punctuation mark, it adds that it will take "all actions necessary" to protect its shareholders and compel Abbott to complete the transaction.
Wed, Dec. 7, 11:43 AM
- Abbott (ABT -1.5%) files a complaint in a Delaware court seeking to terminate its planned $5.8B acquisition of point-of-care diagnostics outfit Alere (ALR -0.4%). The deal has been on the rocks amidst criminal and civil investigations into its business practices and revelations about inappropriate revenue recognition.
- Abbott spokesman Scott Stoffel says, "Alere is no longer the company Abbott agreed to buy 10 months ago. These numerous negative developments are unprecedented and are not isolated incidents brought on by chance. We have attempted to secure details and information to assess these issues for months and Alere has blocked every attempt. This damage to Alere's business can only be the result of a systematic failure of internal controls which, combined with the lack of transparency, led us to file this complaint."
- The deal was announced almost a year ago.
- Previously: Abbott Labs buys Alere for $5.8B; shares up 46% premarket (Feb. 1)
Wed, Nov. 30, 7:43 AM
- Abbott's (NYSE:ABT) i-STAT Alinity System, a hand-held blood testing platform, receives CE Mark certification. The portable device can perform a range of diagnostic tests in 2 - 10 minutes using only a few drops of blood.
- The product is now commercially available in Europe and other countries that recognize CE Mark.
Tue, Nov. 29, 3:12 AM
- Texas has reported its first home-grown case of Zika virus - making it the second U.S. state with mosquitoes spreading the disease.
- It's a long-feared development but not a surprising one. Like Florida, South Texas is home to the Aedes aegypti mosquitoes that spread Zika and also hosts many travelers to and from countries where the virus has been spreading.
- Related tickers: SNY, ABT, INO, AEMD, XON, CEMI, BCRX, TMO, OSUR, OTCQB:GOVX
Wed, Nov. 23, 9:41 AM
Tue, Nov. 22, 3:37 PM
- With $4.5B of short interest, Exxon Mobil (NYSE:XOM) leads the way, followed by IBM at $3.7B. Rounding out the top ten: AT&T (NYSE:T), Caterpillar (NYSE:CAT), Chevron (NYSE:CVX), Boeing (NYSE:BA), GE, Procter & Gamble (NYSE:PG), Abbot Labs (NYSE:ABT) and Disney (NYSE:DIS).
- Most interesting from that list are Cat, Boeing, and Abbot Labs as their market caps are significantly smaller than the other seven.
- Of the top 50 short positions, there are two names in which the short interest rises to as high as 10% of the market cap: Freeport-McMoRan (NYSE:FCX) and Digital Realty Trust (NYSE:DLR).
- Previously: Goldman's list of stock longs mattering most to hedge funds (Nov. 22)
Tue, Nov. 22, 12:12 PM| Tue, Nov. 22, 12:12 PM | 19 Comments
Mon, Nov. 14, 11:13 AM
Wed, Nov. 9, 3:03 AM
- Healthcare stocks, the weakest sector this year, may become winners, as Obamacare reforms are set to be "repealed and replaced" and major legislation Clinton proposed is unlikely to be imposed on drugmakers.
- While Trump hasn't set out a comprehensive alternative to the Affordable Care Act (which may see 22M Americans lose current coverage), he said he'll encourage competition between markets in different states.
- Insurance stocks: UNH, AET, ANTM, CI, HUM, WCG, CNC, MOH, GTS, HQY
- Drugmakers premarket: MYL +5.8%, NVS +3.4%, SNY +2.9%, AZN +2.4%, GSK +1.9%, PFE +1.8%, CELG +1%, ABBV, MRK, BMY, LLY, JNJ, ABT, ACET, ZTS, BIIB, REGN
Mon, Nov. 7, 7:34 AM
- The Japanese Ministry of Health, Labor and Welfare approves Abbott's (NYSE:ABT) Absorb fully dissolving heart stent, the first such medical device commercially available there.
- According to the company, a government survey found that ~1.7M Japanese have heart disease resulting in ~72K deaths each year.
- Absorb was approved in the U.S. in July.
- Read now Abbott's Vascular Tech Is Big In Japan
Fri, Nov. 4, 11:40 AM
- Alere (ALR -12.3%) Q3 results ($M): Total Revenues: 582.4 (-3.5%); Product & Services Revenue: 579.9 (-3.4%).
- Cardiometabolic: 188.7 (-9.7%); Infectious Disease: 183.4 (+11.3%); Toxicology: 155.9 (-4.1%); Consumer Diagnostics: 19.3 (+3.2%).
- Net Income: 16.5 (+314%); Non-GAAP EBITDA: 63.6 (-53.1%); EPS: 0.19 (+290.0%).
- Consensus view was non-GAAP EPS of $0.54 on revenues of $605.5M, although only GAAP EPS is provided in the press release.
- Related ticker: (ABT +2.1%)
Fri, Nov. 4, 9:01 AM
- Abbott's (NYSE:ABT) pending takeover of Alere (NYSE:ALR) remains rocky and contentious. Yesterday, it filed a breach-of-contract lawsuit against the point-of-care diagnostics firm in an effort to obtain documentation and other information as stipulated under their merger agreement. The information relates to its business practices that are under U.S. criminal and civil investigations under federal anti-corruption and anti-kickback laws.
- Abbott spokesperson Scott Stoffel says his company's intent is to gain access to the information before the transaction is completed so it can understand the issues and address them promptly, not to ask the court to back out of the deal. He adds that his organization has been unsuccessful in obtaining the information despite months of effort.
- Alere sued Abbott in late August accusing it of dragging its feet in securing antitrust approval for the merger. The drop dead date is April 30, 2017. Last month, the companies agreed to use a mediator to resolve their differences. Earlier this year, Abbott reportedly offering Alere $50M to terminate the marriage but it refused.
Wed, Oct. 26, 5:01 PM| Wed, Oct. 26, 5:01 PM
Fri, Oct. 21, 10:48 AM
- Unsurprisingly, Alere (ALR +0.7%) stockholders voted overwhelmingly in favor of a merger with Abbott (ABT -1.1%) in a special meeting. Over 98% of the votes cast (representing 77% of the company's outstanding shares) backed the $56/share transaction. Yesterday's close was $44.10.
- The companies announced the deal in January but it became a bit wobbly when a rash of problems arose at Alere including dodgy billing practices, inappropriate revenue recognition and a government inquiry into its marketing and billing practices. The firms have agreed to engage a mediator to settle their differences.
- Read now: Merger Arbitrage - Alere And Abbott