Benzinga's M&A Chatter for Thursday July 31, 2014
The following are the M&A deals, rumors and chatter circulating on Wall Street for Thursday July 31, 2014:
Iliad Makes Offer for T-Mobile
French telecom company, Iliad (OTC: ILIAY) confrimed Thursday, it has submitted to the Board of Directors of T-Mobile US (NYSE: TMUS), an indicative offer for T-Mobile US of $15 billion in cash for 56.6% of T-Mobile US, at $33.00 per share.The offer has the full support of company founder Xavier Niel and was unanimously approved by Iliad's Board of Directors.
Iliad says it values the remaining 43.4% of T-Mobile US at $40.5 per share, based on $10 billion of synergies to the benefit of the T-Mobile US shareholders, resulting in an overall value of $36.20 per share.
T-Mobile, in an 8-K filing, confirmed that it has received a proposal from Iliad and said it will have "no further comment at this time."
A spokesperson for Sprint (NYSE: S) declined comment on the Iliad offer. Softbank (OTC: SFTBY), which controls Sprint, and T-Mobile and its parent, Deutsche Telekom (OTC: DTEKY), have reportedly been in talks to merge Sprint and T-Mobile. Bloomberg reported Thursday, that Deutsche Telekom views Iliad's bid as inferior to the offer from Sprint.
T-Mobile shares closed Thursday at $32.94, a gain of 6.5%, while Sprint shares fell more than 5%, to close at $7.35.
Nordstrom Buying Trunk Club
Nordstrom (NYSE: JWN) announced Thursday, it has agreed to acquire Trunk Club, a personalized clothing service for men. Terms were not disclosed.
Nordstrom closed closed Thursday at $62.93, a loss of more than 1%.
IBM Acquires CrossIdeas
IBM (NYSE: IBM) announced Thursday, it has acquired privately-held security software provider, CrossIdeas. Financial terms were not disclosed.
IBM closed Thursday at $191.67, a loss of more than 1%.
Analyst Says Cisco Could Acquire Jive Software
The Analyst Note:
Shares of Jive Software (NASDAQ: JIVE) moved higher Thursday, on a note from Rosenblatt, that Cisco (NASDAQ: CSCO) could acquire Jive, if the partnership the companies announced in May is successful. Cisco announced it would discontinue its WebEx Social product and resell Jive's ESS instead. Roenblatt believes a takeover of Jive by Cisco would be the likely outcome of a successful partnership.
Jive hit a high Thursday of $8.50 and ended the day at $7.92, a loss of almost 2%.
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