Among the companies with shares expected to actively trade in
Monday's session are Citigroup Inc. (C), Riverbed Technology Inc.
(RVBD) and Abbvie Inc. (ABBV).
Citigroup said its second-quarter profit plunged 96% from a year
earlier, as the bank took a large charge tied to a $7 billion deal
the Justice Department to settle allegations it sold shoddy
mortgages before the financial crisis. But shares rose 3.9% to
$48.82 in premarket trading as the company's results solidly beat
the estimates of analysts polled by Thomson Reuters, while
investors continued to show relief the bank had struck a deal with
the Justice Department.
Riverbed Technology said it lowered its revenue guidance for the
company's second quarter as sales fell short of company targets,
especially in North America. Shares fell 4.8% to $19.38
premarket.
U.S. drug giant Abbvie is close to clinching a deal to buy
Dublin-based Shire PLC (SHPG, SHP.LN) for more than $53 billion, in
what would be one of the largest so-called inversion deals through
which U.S. companies are seeking a lower corporate tax burden.
Shire American depositary shares rose 1.7% to $253.17, while Abbvie
shares slipped 2.7% to $53.50 premarket.
Abbott Laboratories (ABT) said it will sell a portion of its
generics pharmaceuticals business to Mylan Inc. (MYL) in an
all-stock transaction valued at $5.3 billion, another health-care
deal driven in part by tax advantages. Mylan shares rose 4.1% to
$52.25, while Abbott shares rose 1.9% to $42.10 premarket.
A U.S. Food and Drug Administration office has approved Salix
Pharmaceuticals Ltd.'s (SLXP) appeal to gain approval for expanded
usage of a constipation drug it licensed from Progenics
Pharmaceuticals Inc. (PGNX), the companies said. Shares of
Progenics climbed 12% to $4.75 premarket.
Harmonic Inc. (HLIT) lowered its guidance for the second quarter
as the video infrastructure services company said it has seen
decreased demand in its video business. Shares fell 13% to $6.21
premarket.
Watchlist:
Quebec-based drug company Duchesnay Inc. has sued Actavis PLC
(ACT), seeking to block a generic version of morning-sickness drug
Diclegis.
Alcoa Inc. (AA) filed a shelf registration to offer up to $5
billion in mixed securities from time to time. The New York-based
aluminum company didn't disclose any other information, including
the timing or underwriters of any possible future offerings in a
filing on Friday with the Securities and Exchange Commission.
Allergan Inc. (AGN) raised doubts about Valeant Pharmaceuticals
International Inc.'s (VRX) commitment to improving its
transparency, as it reiterated its opposition to a $53 billion
hostile takeover bid from Valeant and activist investor William
Ackman.
ConAgra Foods Inc. (CAG) acquired Chinese potato processor
TaiMei Potato Industry Ltd. for $93 million, as part of its ongoing
effort to expand its international footprint.
Ebay Inc. (EBAY) and Sotheby's (BID) said they are building an
online platform that will enable users to view and acquire art,
antiques and collectibles online, as first reported by the New York
Times. The partnership comes as more collectors are buying high-end
items online and from mobile devices.
Exterran Partners L.P. (EXLP) will acquire natural-gas
compression assets from MidCon Compression L.L.C., a subsidiary of
Chesapeake Energy Corp. (CHK), for about $135 million.
Kindred Healthcare Inc. (KND) boosted its offer to about $589
million to buy a smaller stake in Gentiva Health Services Inc.
(GTIV), as it tries to draw the home health-care company to the
negotiating table.
Lexmark International Inc. (LXK) again increased its offer for
Sweden's ReadSoft AB, returning fire in its bidding war with Hyland
Software U.K.
Vulcan Materials Co. (VMC) said its board named J. Thomas Hill
as the company's new chief executive, succeeding Douglas James.
Weatherford International PLC (WFT) agreed to sell its land rig
operations in Russia and Venezuela to Russia's state-controlled oil
giant Rosneft for $500 million in cash, as the oil-field services
company continues to slim down and focus on its core
businesses.
Yahoo Inc. (YHOO) acquired video-streaming startup RayV Inc.
Financial terms weren't disclosed.
Barron's Watchlist:
Johnson Controls Inc.'s (JCI) joint venture with a unit of SAIC
Motor, China's enormous state-owned car market, gives added
credibility to the company's vow to manage its capital more
aggressively, a commitment that could have a very favorable
long-term effect on its share price, according to a recent report
in Barron's. The deal gets Johnson Controls out of the day-to-day
slough of operating in a low margin, slow-growth business and gives
it a 30% stake in a SAIC division. The joint venture will have
about $7.5 billion in annual revenues, margins of roughly 6%, and
top-line growth of 8% once it gets underway in 2015. Johnson
Controls shares rose 1% to $51.22 premarket.
French wireless carrier Orange (ORAN, ORA.FR), formerly known as
France Telecom, has seen its American depositary shares climb 60%
since its name change and could see more growth, according to
Barron's. Despite various challenges, including falling revenue and
the French government's 27% stake in the company, the shares look
likely to continue their roll, and could return 30% over the next
year. Competitive pressures are easing and industry pricing is
stabilizing. The shares still look cheap and Orange could generate
about $4.5 billion in annual free cash in the next five years. ADSs
edged up 1.1% to $15.57 premarket.
Write to Anna Prior at anna.prior@wsj.com and Maria Armental at
maria.armental@wsj.com
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