Mondays have been full of mergers and acquisitions activity this year, and today was no different. So, let’s quickly recap some of the biggest deals. 📝
Sunoco is buying NuStar Energy in a deal valued at $7.3 billion, including debt. The equity portion of the deal comes up to $2.99 billion, with NuStar’s shareholders each receiving 0.40 shares of Sunoco for each share they held, representing a roughly 32% premium. The oil distribution giant is acquiring the fuels storage and pipeline operator to diversify its core business beyond motor fuel distribution. ⛽
Entertainment giant Sony is walking away from its $10 billion merger with India’s Zee Entertainment. The company had been trying to merge its television and streaming operations in India with a local giant but said closing conditions were not satisfied despite two years of work. The two parties could not agree on extending the January 21 deadline, terminating plans that would have created an Indian media giant by bringing together linear TV networks, digital assets, production operations, and program libraries. ❌
While legacy Media giants are having trouble inking deals, YouTube superstar MrBeast is having no trouble at all. Reports are he is close to landing a $100 million deal with Prime Video for his first streaming TV show. The catch is that the MrBeast Show will premiere its first episode on his YouTube channel before airing on the Prime Video platform. For now, there aren’t many details about the show, but some say it will be based on competition of some form. 📺
Retailer Macy’s reportedly rejected a $5.8 billion takeover bid from investment firms Arkhouse Management and Brigade Capital Management, citing the lack of a “viable financing plan.” The two companies offered $21 per share of stock they don’t already own, but analysts and management expressed concerns about the suitors’ plans for the company. Speculation was they planned to sell off the real estate and spin off the retailer’s online business, essentially leaving the historic department store as a shell of its former self. For now, Macy’s will continue to cut headcount and costs where it can as it tries to develop a more sustainable retail model. 🏬
Lastly, La Francaise des Jeux (FDJ) agreed to acquire Kindred Group for nearly $2.7 billion, creating one of Europe’s largest online gambling companies. FDJ is France’s exclusive lottery and offline sports betting operator, also offering online sports betting and gambling. It says the deal will accelerate its ambitious international expansion plans, diversify its revenue sources, and give it greater scale to compete against larger operators. Last November, it also acquired Ireland’s national lottery operator for $350 million. 🎰