M&A Weekly Recap: CBS Outdoors, Oracle Continues GOBBLING Up Assets
CBS (NYSE:CBS) will entertain bids for its outdoor billboard business, following being approached by banking interests who are looking for buyers, says a Bloomberg report. However, the price could be the fly in the ointment, as the Wall Street Journal says that CBS wants $6 billion, and that potential acquirers think the unit’s value is more like $4 billion. JCDecaux is among the list of prospective suitors.
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Oracle (NASDAQ:ORCL) purchases Collective Intellect, which develops cloud-based tools that enable companies to monitor and respond to Facebook/Twitter conversations. This acquisition closely follows Oracle’s deal to snap up the social media marketing company Vitrue, which was a day after it at least looked at the latter’s rival Buddy Media, which Salesforce.com (NYSE:CRM) finally bought.
On the heels of its purchase of Meebo and KikScore, Google (NASDAQ:GOOG) acquires Quickoffice, which produces a popular productivity suite for iOS and Android devices. If Google integrates its latest purchase with Android, the deal could reinforce the latter’s position in the enterprise market, in which the iPhone (NASDAQ:AAPL) is coming off better. All this precedes the expected intro in November of iPad and Android versions of Microsoft Office (NASDAQ:MSFT).
Shares of the genealogy major Ancestry.com (NASDAQ:ACOM) move way up Wednesday, following a Bloomberg report that the firm is mulling selling itself, and has recruited the aid of the technology banker Frank Quattrone to find suitors. Sources are upbeat that private equity companies will exhibit some interest in Ancestry, even in the face of its diminished valuation due to worries about its falling subscriber growth. Analyst Susan Etlinger opines that an offer might come from Google (NASDAQ:GOOG) or Facebook (NASDAQ:FB).
News Corp. (NASDAQ:NWSA) acquires Disney’s (NYSE:DIS) investment in Asian joint venture ESPN Star Sports. The transaction (financials undisclosed) will entail a new name for the Asian sports network, while Disney intends to use other branded ESPN networks that it operates, to broadcast sports in Asia.
Molson Coors’ (NYSE:TAP) purchase of the east European brewer StarBev from CVC, has been okayed by the European Union. The price of the transaction amounts to €2.65 billion ($3.3 billion), and the EU says that it neither triggers antitrust issues, nor does it substantially affect the market. The buyout conforms to the ongoing pattern of top beverage firms acquiring emerging-market plays in a growth search.
SRI Surgical Express (NASDAQ:STRC) will be acquired by United Kingdom firm Synergy Health for $3.70 per share in a tender offer. The transaction should close by July 16th.
Black Diamond (NASDAQ:BDE) intends to purchase POC Sweden in a transaction that could reach $56 million if incentive payments should be included. Benefits of the acquisition to Black Diamond include new lines of protective sports gear.
American Greetings (NYSE:AM) snaps up the bankrupt U.K. retailer Clinton Cards, in an arrangement that will involve some 397 outlets which bring $315 million in yearly revenue. For a price tag of $37 million, AM will not only acquire the company, for which it has been the largest supplier and a lender, but it will also save 4,500 jobs. The situation for Clinton became untenable when it entered administration, as it couldn’t repay a £35 million ($54.1 million) loan to American Greetings.
Chesapeake Energy’s (NYSE:CHK) assets in Chesapeake Midstream Partners (NYSE:CHKM) will be sold to Global Infrastructure Partners in three separate acquisitions for cash proceeds that should amount to more than $4 billion, and will allow the seller to decrease its previously budgeted capital expenditures by some $3 billion during the next three years. Following the transaction, CHKM affirms its earnings before interest, taxes and amortization guidance of $475 million for its fiscal year 2012, with expansion capital expenditures of $660 million and maintenance capital expenditures of $74 million.
Transportation information firm China TransInfo Technology (NASDAQ:CTFO) shares move up significantly on word that it has agreed to be acquired by TransCloud Co. at $5.80 per share in cash.
Unconfirmed chatter that Nokia (NYSE:NOK) might be on Samsung’s shopping list, send shares of the former up on Friday.
Shares of Walker & Dunlop (NYSE:WD) move up, following its acquisition of CWCapital for approximately $220 million. Both the buyer and the seller are commercial lenders that specialize in the apartment sector; this deal will set W&D as the second biggest multi-family lender in the U.S., where that sector is flying high.
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