>>> US Gapping down

Gapping down
In reaction to disappointing earnings/guidance
:

  • KMT -17%, KWR -3.6% (guidance update) LII -0.6%

M&A news:

  • IPHS -9.8% (to be acquired by One Rock Capital Partners for $32.00/share in cash; deal includes 30-day "go-shop" period)

Select pharma related names showing weakness on reports that opioid trial is expected to commence Monday:

  • TEVA -3.6%, MCK -1.6%, CAH -1%, ABC -0.7%

Other news:

  • SNN -8.1% (CEO steps down)
  • PUMP -2.4% (reports the SEC is investigating PUMP regarding financial disclosures)
  • GSK -0.5% (agrees to divest rabies and tick-borne encephalitis vaccines to Bavarian Nordic; co will receive an upfront payment of approximately EUR 301 mln)

Analyst comments:

  • BA -2.1% (downgraded to Neutral from Buy at UBS; downgraded to Neutral from Outperform at Credit Suisse)
  • IBM -0.7% (downgraded to Neutral from Buy at UBS)