The First Day Of Deals

Mondays are typically busy on the mergers and acquisitions front (M&A), and today was no different. So, let’s recap the first deals of 2024. 👇

Dish Network merged with EchoStar, a company it once owned, as it looks to chase its dream of becoming the fourth major wireless carrier in the U.S. The merger was announced in August but finalized on the last day of the year as the companies sought the necessary regulatory approvals. 📡

The FCC approved the unusual deal because the combination represents “no substantial change of ownership or control.” The combined company must hit 75 percent coverage by June 2025 to meet its next regulator-set deadline. This merger should shore up Dish’s balance sheet and give it the runway to complete its wireless plans.

Voyager Therapeutics shares rose 7% after Novartis said it would pay $100 million upfront as part of a licensing deal to develop gene therapy candidates. It will provide Novartis a target-exclusive license to access its RNA-based screening platform and advance a gene therapy candidate in the pre-clinical stage for a genetic disorder known as Huntington’s disease (HD). Voyager can also receive up to $1.2 billion in certain milestone payments. 🧬

Next is Baidu scrapping its $3.6 billion deal for JOYY’s Chinese live-streaming unit, casting doubt about the search engine giant’s plans to diversify revenue streams. The company’s affiliate, Moon SPV Ltd, terminated the purchase agreement because certain conditions (i.e., regulatory approvals) were unmet by the end of 2023. Shares of JOYY Inc. fell 15% on the day as it “considers all options” regarding the deal cancellation. ❌

Iberdola’s U.S. unit Avangrid Inc. terminated its planned $8.3 billion acquisition of rival PNM Resources because it failed to secure regulatory approvals before the end of the year. The deal was worth $4.3 billion, excluding debt, and would’ve created a new renewable energy operator with a market value above $20 billion. PNM Resources fell 6% on the day, while Avangrid rose 3%. ✂️

More in   M&A

View All

FTX Goes Shopping Amid Market Turmoil

This article’s GIF essentially represents FTX Founder and CEO Sam Bankman-Fried pulling up to every struggling company right now. 😏

The highly-capitalized crypto exchange has been on a shopping spree amid the market turmoil, providing cash-strapped firms with a lifeline…for a price. 🏷️

Read It

Adobe’s Big Day

Adobe made a splash today as it announced earnings with an extra twist. 🔀

Its adjusted EPS was $3.40 vs. $3.35 expected, while revenues were $0.01 billion shy of expectations at $4.43 billion. Current quarter EPS guidance beat expectations by $0.03, while revenue guidance was $0.08 below expectations. 📉

Read It

Another Day Of M&A

As usual, it was another busy Monday of mergers and acquisitions. Let’s recap the biggest deals. 📝

First, Danish pharmaceutical giant Novo Nordisk’s parent company is buying drug manufacturer Catelent for $16.5 billion to help boost the supply of popular weight loss injection Wegovy and diabetes shot Ozempic. Novo Nordisk will then buy three of Catalent’s manufacturing sites from its parent company for $11 billion, giving it further access to the fill-finish part of its Wegovy product. 🏭

Read It

An M&A Mashup

It was another busy Monday of M&A and fundraising news, so let’s quickly recap. 👇

First up is Macy’s, which saw shares soar 20% on reports that the 165-year-old retailer is considering a buyout offer from Arkhouse Management and Brigade Capital Management. It’s unclear how the company’s board feels about the offer, but clearly, these firms have value in Macy’s real estate. Analysts speculate that the investor group may sell off real estate and spin off its e-commerce business to deliver short-term gains. However, that would come at the expense of the core retail business people know and love it for. 🏬

Read It