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Wall Street's M&A Chatter From May 23: Bioverativ, Sonus, Glencore-Bunge, Royal Dutch Shell-Canadian Natural Resources

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The following are the M&A deals, rumors and chatter circulating on Wall Street for Tuesday, May 23, 2017.

Glencore Has Approached Bunge Related to Potential Deal

The Rumor:

Glencore PLC (OTC: GLNCY) has approached Bunge Ltd (NYSE: BG) regarding a potential takeover, as first reported by the Wall Street Journal. Glencore confirmed in a press releases that its non-consolidated agriculture joint venture, Glencore Agriculture Limited, made an informal approach to Bunge Limited regarding a possible consensual business combination.

Reuters later reported the talks with Glencore focused on a partnership in North America, as opposed Glenvore acquiring Bunge, according to their sources.

Bunge closed at $81.70, up $11.63 or more than 16 percent.

Bioverativ Reports Purchase of True North Therapeutics for Upfront Payment of $400M

The Deal:

Bioverativ Inc (NASDAQ: BIVV) has entered an agreement to acquire privately-held, clinical-stage rare disease biotechnology company, True North Therapeutics for an upfront payment of $400 million plus assumed cash and additional payments of up to $425 million contingent on the achievement of future development, regulatory and sales milestones. The acquisition is to close in mid-2017.

Bioverativ closed at $52.50, down $2.19.

Royal Dutch Shell to Sell Stake in Canadian Natural Resources

The Rumor:

Royal Dutch Shell Plc (ADR) (NYSE: RDS-A) plans to sell its $3 billion stake in Canadian Natural Resources Ltd (USA) (NYSE: CNQ), according to sources as reported by Reuters. Shell acquired the stake in March, when it sold its Canadian oil sands assets.

Shell is looking to hire an investment bank as a financial adviser for the CNQ share sale, the sources said. Shell declined to comment on the report, while Canadian Natural did not immediately comment.

Canadian Natural Resources shares sold off on the news and closed at $30.55, down $0.57.

Sonus, Genband to Merge in Deal With Enterprise Value of $745M

The Deal:

Sonus Networks, Inc. (NASDAQ: SONS) and GENBAND announced that the two companies will combine, with shareholders of each own approximately 50 percent of the combined company. Sonus shareholders will receive one share of common stock in the combined company for each existing Sonus share they own. The transaction values the combined company at an enterprise value of approximately $745 million.

The merger is expected to close in H2 of 2017, subject to Sonus and GENBAND shareholder approval.

Sonus Networks closed at $7.90, up $0.11.

 

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Posted-In: M&A News Rumors