Natural gas should be negatively correlated with the US Dollar Index. A stronger dollar implies more expensive natural gas for consumers in other currencies.
While Renesas has set aside $2.4 billion for acquisitions and is willing to borrow, Innovation Network is looking to sell its 69.2% stake in the company.
Renesas and Infineon, which currently hold the top ranks in the automotive semiconductor space, will lose market share to the NXP-Freescale merged company.
Diversifying revenue streams and achieving scale is a big driver of the SanDisk–Western Digital merger. They offers similar products, and the combination will help them negotiate better with customers.
The KLA-Tencor–Lam Research merger includes a disproportionate effect clause, which means the carve-outs may, in fact, be a MAE if they disproportionately affect KLA-Tencor.
Both KLA-Tencor and Lam Research serve Samsung and Taiwan Semiconductor. Improving service to big customers is a major driver for the KLA-Tencor–Lam Research merger.
If you set up the spread with the SanDisk-Western Digital merger assuming you are getting $85.10 plus 0.0176 shares of WDC, you are expecting a $9 spread.
While the Western Digital-SanDisk merger brings together the third and eighth players, respectively, in storage (which usually isn’t problematic from an antitrust standpoint), regulators can get very granular when they define submarkets.
With the SanDisk-Western Digital merger, the companies expect to generate annual run-rate synergies of $500 million per year within 18 months of closing.
The equity value of the SanDisk-Western Digital merger is about $19 billion using the five-day volume-weighted average price of Western Digital before the deal was announced.
In the KLA-Tencor–Lam Research merger, Lam Research (LRCX) doesn’t have to agree to any divestitures or behavioral restrictions that materially affect the deal, but it does have a $290 million reverse termination fee.
In the press release announcing the Lam Research-KLA-Tencor merger, the companies mention they will serve approximately 42% of the wafer fabrication equipment market immediately upon closing.
The equity value of the KLA-Tencor–Lam Research merger is about $10.6 billion using the closing price of Lam Research on October 20, the day before the deal was announced.
Dell is buying EMC (EMC) for a combination of cash and stock. The total transaction value of the EMC-Dell merger is close to $67 billion if you include cash and assumed debt. Shareholders will receive $24.05 in cash and 0.111 shares of newly-issued VMWare (VMW) tracking stock.
After being pushed by major shareholder Elliott Management to either spin off its holding of VMware (VMW) or sell itself, EMC delivered and negotiated a sale to Dell, which went private in 2013.
Marvell Technology was outperformed by its peers based on the gross profit margin and PBV ratio. ETFs outperformed it based on the price movement and PBV ratio.
Marvell Technology (MRVL) has a market cap of $4.58 billion. Its YTD performance is decreasing due to its revenue falling 15% and 1.78% in 1Q16 and 2Q16.
The MAE clause lays out the conditions under which Southern Company (SO) can back out of its deal with AGL Resources (AGL). For example, an unusually warm winter or cool summer that depresses demand is not an MAE.
The Southern Company (SO) is a utility holding company that holds all the outstanding stock of Alabama Power, Georgia Power, Gulf Power, Mississippi Power, and Southern Power Company.
With the merger between AGL Resources (GAS) and Southern Company (SO), you’re getting about an 8.8% annualized yield. That’s probably a reflection of the turmoil in the equity markets.
There have been several precedents similar to the AGL Resources deal. In this transaction, Southern Company is paying about 2.7x trailing 12-month revenues and 10x trailing 12-month EBITDA.
Huge investment is required at every stage of semiconductor development to make smaller-sized chips in a cost-effective manner without compromising on functionality.
Precision Castparts manufactures complex products for aerospace and power applications that supplies General Electric, United Technologies, and Rolls Royce.
The current ratio measures whether the firm is in a position to pay their obligation or not. The higher the ratio, the better. Skyworks has the highest ratio of 5.70.
Ryland targets the entry-level, move-up, and second move-up buyer. Its prices range from $160,000 to more than $650,000, with 2014’s selling prices averaging $330,000.
Altera (ALTR) designs and sells programmable logic devices, power system-on-chip devices, intellectual property cores, and proprietary development software.
In the Broadcom-Avago merger, you’re getting about an 8.9% annualized yield. That’s probably a reasonable return in a low interest–rate environment and given the risks of the transaction.
Despite semiconductor companies combining to become bigger, Intel continues to lead this market with a 15.4% share in the worldwide semiconductor market in 2014.
In a May 28 press release, Avago Technologies said it will acquire Broadcom for $37 billion. Avago will gain a broad portfolio of chips that Broadcom develops.
Basics of the transaction The Freescale–NXP merger transaction is a cash and stock transaction, which means Freescale shareholders will participate in the upside by holding stock in the merged entity. The equity value of the transaction is roughly $11.8 billion and includes about $4.9 billion in net debt. Terms of the transaction Freescale Semiconductor (FSL) shareholders […]
Pretty much anything that has a material adverse effect on the company will be considered a material adverse change, but there are exceptions to that rule.
