Market Overview

Wall Street's M&A Chatter From June 26: CST Brands, Rite Aid-Walgreens, Sinovac


The following are the M&A deals, rumors and chatter circulating on Wall Street for Monday, June 26, 2017.

Report Says FTC to Approve Walgreens-Rite Merger

The Rumor:

Rite Aid Corporation (NYSE: RAD) shares rose 30 percent Monday as CTFN reported that its proposed merger with Walgreens Boots Alliance Inc (NASDAQ: WBA) will likely be approved by the Federal Trade Commission, with a vote expected this week. Walgreens had said they would give the FTC until July 7 to decide on the merger.

Fred's, Inc. (NASDAQ: FRED) has agreed to acquire 1,200 Rite Aid stores in order to satisfy regulatory concerns.

Spokespersons for Rite Aid and Walgreens Boots declined comment to Benzinga when asked about today's rumor.

Rite Aid closed at $4.05, and traded at the high of $4.23 after hours. Fred's closed at $12.61, up 23 percent, while Walgreens shares rose 1.5 percent to close at $77.53.

Sinovac Biotech Enters into Going-Private Transaction

The Going-Private Transaction:

Sinovac Biotech Ltd (NASDAQ: SVA) announced it has entered into a definitive amalgamation agreement with parent Sinovac (Cayman) Limited and Sinovac Amalgamation Sub Limited, a wholly owned subsidiary of Parent, pursuant to which Sinovac will be acquired by Parent in a transaction valued at approximately $401.8 million or $7.00 per share. The amalgamation is currently expected to close during H2 of 2017, subject to approval by an affirmative vote of holders of at least two-thirds of the Shares present and voting in person or by proxy as a single class at a meeting of the Company's shareholders,

Sinovac Biotech closed at $22.01, up $0.46.

Alimentation Couche-Tard Reports Received Competition Clearance In US For CST Brands Deal

The Clearance:

Alimentation Couche-Tard Inc. announced it has obtained clearance from the FTC for the acquisition of CST Brands Inc (NYSE: CST). Couche-Tard has agreed to sell 70 sites to Empire Petroleum Partners, LLC in the U.S. and expects the divestiture transaction to close at the end of August or in early September, 2017.

Closing of the acquisition of CST is expected to occur on June 28, 2017. CST stockholders will receive $48.53 in cash per share, for a total enterprise value of approximately US$4.4 billion, including the assumption of net debt.

CST closed at $48.54, up $0.18.

Posted-In: M&A News Rumors


Related Articles (FRED + CST)

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