(BFW) Smith & Nephew Gets FDA Warning Letter on Fla. Plant Inspection

Smith & Nephew Gets FDA Warning Letter on Fla. Plant Inspection
2014-07-08 13:23:27.81 GMT


By Catherine Larkin
     July 8 (Bloomberg) --
Link to June 11 letter: {NSN N8EAG2BE07IB <go>}

Link to Company News:{SN/ LN <Equity> CN <GO>}

For Related News and Information:
First Word scrolling panel: {FIRST<GO>}
First Word newswire: {NH BFW<GO>}

To contact the editor responsible for this story:
Catherine Larkin at +1-312-443-5968 or
clarkin4@bloomberg.net

>>> US Gapping down

Gapping down
In reaction to disappointing earnings/guidance: IPCI -10.3%, ACTS -5.5%, ACLS -3.1%.

Select financial related names showing weakness: NBG -3.5%, ING -2.4%, LYG -2.3%, UBS -1.5%, BCS -1.3%, DB -1.3%, SAN -0.9%, CS -0.9%, HSBC -0.9%, .

Select Airline related stocks trading lower following Air France lowered guidance: DAL -1.5%, JBLU -1.4%, LUV -1.1%.

Other news: ZGNX -8.5% (following FDA granting priority review designation for Purdue Pharma's once-daily hydrocodone Bitartrate Extended-Release tablets formulated with abuse-deterrent properties news), CAMT -6.2% (pulling back from yesterday's advance), USU -5.5% (Court approves USEC disclosure statement; Chapter 11 process moves forward; Voting on Plan of Reorganization begins soon), SDRL -3.5% (launches $1 billion 2019 convertible bond concurrently with a voluntary incentive payment offer to convert the existing $650 million 3.375% convertible bond due 2017), BLUE -3% (commenced an underwritten public offering of $100 million of its common stock, PSTI -2.6% (initiates South Korean Arm of multinational Phase II Intermittent Claudication trial ), CGEN-2.3% (still checking), TAT -1.3% (co announced that net sales for the second quarter of 2014 are expected to be slightly lower than net production), TSLA -0.9% (target of trademark infringement case, according to reports out overnight).

Analyst comments: TFM -6.2% (downgraded to Sell from Neutral at Goldman), CSC -0.6% (initiated with a Underweight at Morgan Stanley).

>>> US Gapping up

Gapping up
In reaction to earnings/guidance: PHG +3.6%, ASX +0.6%.

M&A news: MIC +6.1% (to acquire the 50% of International-Matex Tank Terminals it does not currently own.for $910.0 mln in cash and $115.0 mln in stock; co to raises Q2 dividend 1.3% to $0.95.), SHPG +0.8% (AbbVie (ABBV) raises bid for Shire; Fourth Proposal represents indicative value of GBP51.151 as of July 7, 2014), .

Select metals/mining stocks trading higher: MUX +2.5%, HMY +2.4%, AUY +1.9%, AU +1.8%, PAAS +1.3%, GDX +0.9%.

Other news: NURO +28.6% (FDA clears NURO wearable technology for OTC use in treatment of chronic pain), CERE +14.3% (licenses DNA browser software to Bayer (BAYRY) CropScience), APP +5.7% (Standard General disclosed 0.9% stake in 13D with letter agreement), DNDN +5.2% (extending late gains in premarket trade), BODY +3.9% (683 Capital Management disclosed 18.9% active stake in 13D filing), PHH +3.3% (completed divestiture of its Fleet Management Services Business; co intends to repurchase up to $450 mln in stock, redeem its 9.25% Sr. Notes due 2016; deploy up to $200 mln to re-engineer mortgage business; invest up to $150 mln in select growth initiatives), GTAT +3.3% (early strength following yesterday's 12% selloff), FSC +2.3% (announces a 10% increase to its monthly dividend), KOOL +2.2% (provides regulatory update on its proposed U.S. Pivotal Critical Limb Ischemia Clinical Trial), TTM +2% (strong India mkts overnight), DRYS +1.6% (announces Ocean Rig UDW (ORIG) proposed offering by its wholly owned subsidiaries of $500.0 mln senior secured notes due 2022), LOV +1.5% (named Michael McConnell Chairman), CEL+1.4% (announces results of its debenture offering in Israel).

Analyst comments: TXMD +22.8% (initiated with a Outperform at FBR Capital), CGI +7% (upgraded to Buy from Hold at Stifel), GRPN +6.2% (upgraded to Buy from Neutral at B. Riley & Co), MRD +3.7% (initiated with an Overweight at Barclays, initiated with a Strong Buy at Raymond James, among others), ABY +3.7% (initiated with a Outperform at RBC Capital Mkts and Buy at Citigroup),GES +2.6% (upgraded to Overweight from Neutral at Piper Jaffray), ECYT +2.3% (assumed with a Buy at Brean Capital), SIMO +1.5% (target raised to $28 at Needham), XRX +0.9% (initiated with a Overweight at Morgan Stanley), WMB +0.7% (added to US Focus list at Credit Suisse), RIO +0.6% (upgraded to Overweight from Equal Weight at Barclays), VALE +0.4% (upgraded to Equal Weight from Underweight at Barclays)

>>> AbbVie Raises Offer 11% to £51.15/shr (£22.44 in cash and 0.8568 in stock) f


AbbVie Raises Offer 11% to £51.15/shr (£22.44 in cash and 0.8568 in stock) from £46.26/shr prior 

Following the announcement on June 25, 2014, where AbbVie outlined its strong strategic rationale and commitment regarding a combination with Shire, AbbVie and its financial adviser have met with, or spoken to, a large number of Shire shareholders, who collectively represent a majority of Shire's outstanding shares. The majority of these shareholders are longer-term holders of Shire, including the majority of Shire's largest shareholders. Today, AbbVie is pleased to outline its revised proposal of £22.44 in cash and 0.8568 ordinary shares of New AbbVie for each Shire share. The Fourth Proposal represents an indicative value of £51.151 as of July 7, 2014. 

The indicative value of the proposal represents an increase of approximately 11 percent and approximately a £3 billion increase to the indicative offer value of £46.26[5] per share; an increase of £2.00 and approximately 10 percent in cash per Shire share; a premium of 75 percent to Shire's closing share price of £29.25 on April 17, 2014 and approximately £13 billion of incremental aggregate value for Shire's shareholders; a premium of 48 percent to Shire's closing share price of £34.67 on May 2, 2014 (the last practicable date prior to AbbVie's initial proposal) and approximately £10 billion of incremental aggregate value for Shire's shareholders; and an implied Enterprise Value / Last Twelve Months' EBITDA (as reported by Shire) multiple of approximately 25x. 

In addition, this revised indicative proposal increases the ownership that will be held by Shire shareholders to approximately 24 percent of a new holding company of the combined group. For reasons that AbbVie outlined in previous announcements, presentations and press releases from June 25, 2014, AbbVie continues to believe that AbbVie's attractive stock has meaningful upside potential independent of a transaction, and New AbbVie's share price would be well-positioned to appreciate and re-rate. 

AbbVie Chairman and CEO Richard Gonzalez: "This transaction is a combination of two leading companies with leadership positions in specialty pharmaceuticals that would create a global market leader with unique characteristics and a compelling investment thesis. AbbVie will bring greater financial strength and R&D experience to this combination that will enable both companies to reach their full potential for their shareholders and patients in need across the globe. AbbVie has made a compelling offer to Shire that creates immediate and long-term value to shareholders of both companies. We think its shareholders should strongly encourage the Shire board to engage in constructive dialogue with AbbVie."'

>>> US Early premarket gappers

Early premarket gappers
Gapping up: NURO +27%, MIC +5.4%, GRPN +4.5%, BODY +3.9%, PHH +3.7%, FSC +2.2%, XONE +1.8%, LOV +1.5%, GPRO +1.5%, CEL +1.4%, AU +1.2%, AAPL +0.6%, ASX +0.6%, PETM +0.5%

Gapping down: GENE -12.3%, CAMT -6.8%, SDRL -4.2%, ANR -3.9%, ACLS -3.1%, BLUE -3%, PSTI -3%, ING -2.1%, IPCI -2.1%, LYG -1.9%, IGLD -1.8%, TAT -1.3%, SAN -1.3%, BCS -1.3%, DB -1.2%, CGEN -1%, CS -0.9%, HSBC -0.8%

(BFW) Dassault Systemes May Slow Acquisition Speed of Past Months: CEO

Dassault Systemes May Slow Acquisition Speed of Past Months: CEO
2014-07-08 09:03:33.884 GMT


By Claudia Rach
     July 8 (Bloomberg) -- Dassault won’t continue with almost
one acquisition every month as in the past 16 months, even
though co. always active as aims to fulfill its vision, CEO
Bernard Charles says in interview.
  * CEO reiterates co.’s philosophy of no hostile takeovers, not
    acquiring to buy market share
    * NOTE: Dassault acquisitions include Accelrys, Realtime
      Technology, Safe Technology, Apriso, Simpoe, Archivideo,
      FE-Design, SFE, SquareClock in addition to several
      start-ups in past 2 years, according to co.
  * CEO sees further consolidation in IT services, consulting
    sector
  * Confirms Dassault’s sales growth of double digit this year,
    says is confident to reach 2014 targets
    * NOTE: Co. targets 2014 non-IFRS rev. of EU2.28b to
      EU2.30b (+14% to +15%)
      * Sees 2014 non-IFRS EPS of EU3.45 to EU3.50
      * Sees 2014 non-IFRS operating margin of 29.5%-30%
    * Restates view that world economy isn’t necessarily back
      to fast growth this year
  * Next catalyst: Co. scheduled to report 2Q results July 24
  * NOTE: Stock up 6.3% YTD vs SX8P down 2.1%
  * NOTE: 24 analyst ratings 38% buy, 38% hold, 25% sell; avg.
    PT EU97

For Related News and Information:
First Word scrolling panel: FIRST<GO>
First Word newswire: NH BFW<GO>

To contact the reporter on this story:
Claudia Rach in Berlin at +49-30-70010-6219 or
crach1@bloomberg.net
To contact the editor responsible for this story:
James Ludden at +44-20-7673-2645 or
jludden@bloomberg.net

NY Post : Deal saves American Apparel; control goes to NY hedge fund

American Apparel has reached a preliminary agreement to transfer control of the board to a hedge fund following the company’s ouster of controversial founder Dov Charney, The Post has learned.
Standard General LP, a New York investment firm that has formed a 43-percent shareholder bloc with the ousted CEO, has agreed to financially guarantee the retailer against thea threat of a liquidity crunch under the terms of the Monday deal, insiders said.
The parties are looking to announce a finalized deal as soon as Tuesday, according to a source.
A key concern of the board in negotiations has been the future role of Charney, who was toppled June 18 by a five-member board committee that cited an investigation alleging misconduct.
Despite the Monday agreement, Charney’s future with the company he founded 25 years ago remains very much in the air — and will remain so at least until the outcome of the board probe, according to a source briefed on the agreement.
Earlier Monday, insiders said lender Lion Capital accelerated a demand for immediate repayment of a $10 million loan that was thrown into default last month by Charney’s ouster.
Under a deal struck Monday afternoon, Standard General has agreed to refinance the loan and could pay it off as soon as this week if necessary, according to one source.
Either way, the threat of bankruptcy has been averted under the terms of the agreement, sources said.
“The Lion loan is a non-issue,” a source close to the negotiations said Monday.
American Apparel officials couldn’t immediately be reached for comment. Standard General officials declined to comment.
As reported by The Post, American Apparel’s board met late Sunday to discuss the preliminary deal. The board signed off on it Monday afternoon, according to sources close to the situation.
Meanwhile, insiders said Standard General is in talks with turnaround consulting firms Alvarez & Marsal and Alix Partners to support the company’s finance department.
As with Charney, it hasn’t yet been determined what role, if any, will be played at the future company by interim CEO John Luttrell, who until Charney’s ouster was the company’s longtime financial chief.
As reported Sunday by The Post, the preliminary agreement will reshuffle American Apparel’s board, but the board it will remain a seven-member board, according to a source briefed on the plans.
A slate of new directors is under negotiation, and nominees include at least one woman, according to a source close to the situation.
Co-chairmen Allan Mayer and David Danziger, who led last month’s surprise ouster of Charney, will remain as directors under the deal, according to sources close to the talks.
Meanwhile, Charney, who was stripped of his chairman role on June 18 , but who still remains on the board, will be replaced under the agreement along with American Apparel’s other four directors, the sources said.
Three of the five empty seats will be filled by directors chosen by Stadard General, and the remaining two will be mutually agreed upon by Standard General and American Apparel, according to the sources.