>>> US After Hours Summary: SSNI +22.6%, NPTN +21.7%, SEDG +15.4%, AMD

After Hours Summary: SSNI +22.6%, NPTN +21.7%, SEDG +15.4%, AMDA -31%, KEYW -21.5%, PLNR -15.2% following earnings/guidance

After Hours Gainers:

Companies trading higher in after hours in reaction to earnings: SSNI +22.6%, NPTN +21.7%, SEDG +15.4%, IMPV +12.4%, PLPM +9.7%, WPRT +8.7%, HNSN +8.3%, DATA +8.1%, STMP +7.1%, RBA +6.3%, BKD +5.3%, SAAS +5.3%, CALA +5%, OUTR +5%, ENOC +4.5%, MOH +3.9%, RLYP +3.5%, GSAT +3.5%, RYI +3.3%, ACET +3%, NUAN +2.6%, CYBR +2.5%, SWIR +2.2%, CPXX +2%, PGH +2%, ACAD +1.9%, AIRM +1.9%, XOMA +1.8%, ALSK +1.8%, FUEL +1.7%

Companies trading higher in after hours in reaction to news: NVGN +21.3% (move being attributed to press release regarding the presentation of positive pre-clinical date for TRXE-009 for the treatment of brain cancer), SCMP +6.1% (announced that the FDA has granted Fast Track Designation for Cobiprostone, for the prevention of oral mucositis), AMRN +5.1% (disclosed it filed a lawsuit against the FDA to permit the sharing of 'truthful and non-misleading information' with healthcare professionals in the
US that would be considered off-label), MCRL +2.2% (to be acquired by Microchip Technology (MCHP) for $14 per share), SWIR +2.2% (to acquire connectivity services provider Accel; co also reported earnings), NOK +1.3% (seeing reports that Uber has joined in bidding for co's maps unit; bidding up to $3 bln), BIIB +1.1% (announced Board authorization for a $5 bln share repurchase program, in addition to its existing 1.3 mln share authorization), SYT +0.8% (seeing reports that co may be acquired by Monsanto (MON))

After Hours Losers:

Companies trading lower in after hours in reaction to earnings: AMDA -31%, KEYW -21.5%, PLNR -15.2%, BIOS -15%, FLDM -14.8%, TWOU -14.2%, BEBE -12.3%, SFM -8.6%, DXPE -8.5%, AVNW -7.9%, AVID -7.4%, MDVN -6.3%, UBNT -5.9%, AL -5.5%, SPPI -4.9%, MNST -4.8%, PSIX -4.8%, JAZZ -3.7%, BBOX -3.4%, NOG -3.3%, GALE -2.2%, NVDA -2%, EGY -1.9%, UEPS -1.8%, WAIR -1.6%, FRPT -1.4%, MACK -1.3%, FATE -1.3%, ESPR -1.2%, MCHP -0.9%

Companies trading lower in after hours in reaction to news: LJPC
-6.6% (announced it will discontinue development of its polysaccharide-based galectin-3 inhibitors, GCS-100 and LJPC-1010),
CNCE -5.2% (co and Jazz Pharmaceuticals (JAZZ) reported results from their Phase 1 clinical study of JZP-386; studies do not support advancing into a later-stage clinical trial of JZP-386 at this time), CEMP -1.7% (filed mixed securities shelf offering), SMLP -0.3% (priced public offering of 6.5 mln common units at $30.75 per unit) 

(BFW) *SYNGENTA SAID TO HIRE GOLDMAN FOR POSSIBLE MONSANTO DEAL: RTRS


BFW 05/07 19:55 *SYNGENTA SAID TO HIRE GOLDMAN FOR POSSIBLE MONSANTO DEAL: RTRS
Syngenta Said to Hire Goldman for Possible Monsanto Deal: Rtrs
2015-05-07 19:58:44.246 GMT


By Beth Mellor
(Bloomberg) -- Monsanto hires Morgan Stanley to advise on
potential Syngenta deal, Reuters reports, citing people
familiar.
* BASF, Dow Chemical seen as potential suitors for all or
parts of Syngenta, Reuters says
* MON up as much as 2.3%; SYT up as much as 7%
* NOTE: May 1: Monsanto Is Said to Approach Syngenta Again
About a Takeover: Link

Link to Company News:{MON US <Equity> CN <GO>}
Link to Company News:{SYNN VX <Equity> CN <GO>}
Link to Company News:{BAS GR <Equity> CN <GO>}
Link to Company News:{DOW US <Equity> CN <GO>}

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

To contact the reporter on this story:
Beth Mellor in New York at +1-212-617-3078 or
bmellor@bloomberg.net

To contact the editor responsible for this story:
Arie Shapira at +1-212-617-1488 or
ashapira3@bloomberg.net

(BN) Abbott’s Mylan Billions Open Door for Bigger Purchases: Real M&A


Abbott’s Mylan Billions Open Door for Bigger Purchases: Real M&A
2015-05-07 21:55:27.873 GMT


(For a Real M&A column news alert: {SALT REALMNA <GO>}.)

By Brooke Sutherland and Michelle Fay Cortez
(Bloomberg) -- Mylan NV’s three-way deal drama is putting
the spotlight on a fourth player: Abbott Laboratories.
Abbott is the largest holder of Mylan after swapping its
established-markets drug business for Mylan stock in February.
Since then, Mylan shares have surged more than 20 percent as the
drugmaker pursues Perrigo Co. and fends off advances from Teva
Pharmaceutical Industries Ltd.
Mylan’s rise has added billions to the value of Abbott’s
stake, leaving it at about $5 billion even after Abbott sold
some of the shares, according to data compiled by Bloomberg.
That gives Chief Executive Officer Miles White a bigger bankroll
to spend on the acquisitions, big and small, that he’s looking
for.
Investors “might get a little noisier about what the next
steps are several quarters out if they don’t start to see how
that money is being spent,” Jeff Windau, a St. Louis-based
analyst at Edward Jones & Co., said by phone. “You’re going to
see potentially more questions to management.”
Since splitting with AbbVie Inc. in 2013, Abbott has shied
away from big purchases. Meantime, its former sister has pursued
two blockbuster deals valued at more than $70 billion combined.
Abbott instead has focused on rounding out its generic-drug
offerings in emerging markets and adding new technology for the
$69 billion company’s device and diagnostics businesses.
Abbott doesn’t need acquisitions to fuel growth in the same
way that AbbVie does as a drug developer facing the expiration
of its biggest product Humira, so Abbott may continue to steer
away from big takeovers, said Jeff Vancavage, a fund manager at
Abbott shareholder Eagle Asset Management Inc. Still, Abbott’s
growing resources mean investors are going to be looking for
more than $100 million deals.

Sweet Spot

A purchase of $2 billion to $4 billion may be in the sweet
spot, said George Strietmann of Bahl & Gaynor Investment Counsel
Inc. A takeover that ranked on the high end of that range would
be Abbott’s biggest yet since splitting with AbbVie.
“They certainly have room to do a fairly good-sized
acquisition,” Strietmann, a principal and fund manager at Bahl
& Gaynor, which oversees about $14 billion, including shares of
Abbott, said in a phone interview. “I would expect them to
continue doing more fine-tuning of their businesses.”

Deal Capacity

On an April 22 call with analysts, CEO White said “I
wouldn’t want you to think you’re only going to see ‘little’ out
of me” and he can’t rule out bigger additions. Abbott still
holds about 70 million of the 110 million shares it received
from Mylan, data compiled by Bloomberg show. Abbott has the
ability to do an acquisition of up to about $25 billion, said
Jonathan Palmer of Bloomberg Intelligence.
If White wanted to be bold, he could transform Abbott into
a cardiovascular powerhouse with an acquisition of St. Jude
Medical Inc., said Jeff Jonas, a fund manager at Gabelli. St.
Jude has a market value of $20 billion. Edwards Lifesciences
Corp., a $13 billion company, is another big acquisition target
that would build out Abbott’s cardiovascular business, said Igor
Golalic of Diamond Hill Capital Management.
“The one I dream about is for them to buy St. Jude,”
Jonas said. “There are a ton of synergies and you could make it
work.”
Both St. Jude and Edwards Lifesciences are probably too
pricey right now for Abbott, even if they would be ideal fits,
said Jonas and Golalic. Diamond Hill owns Abbott shares among
the $16 billion in assets that it oversees.
Scott Stoffel, a spokesman for Abbott Park, Illinois-based
Abbott, declined to comment. A representative for St. Paul,
Minnesota-based St. Jude also declined to comment, while a
representative for Irvine, California-based Edwards Lifesciences
didn’t return a phone call or e-mail seeking comment.

Perrigo Possibility

Another possibility would be to go up against Mylan in the
pursuit of Perrigo. Abbott would be a better acquirer of the $30
billion company, Kyle Bass, founder of Hayman Capital
Management, said at the SkyBridge Alternatives Conference in Las
Vegas on Thursday. Abbott is one of the few large pharmaceutical
companies that doesn’t have name-brand products that would
compete with Perrigo’s store labels, Jefferies Group said last
year.
Abbott’s acquisition strategy isn’t a matter of intent, but
of timing, CEO White said in April. Market valuations and
targets’ willingness to engage on a deal come into play, he
said.
Whatever its next target, Abbott should make the most of
the surge in Mylan shares and cash in its stake, said Vancavage
of Eagle Asset, which oversees about $32 billion.
“They said from the beginning that they weren’t going to
be long-term shareholders in Mylan and with this type of
opportunity, it’s kind of hard to pass up,” the investor said
by phone. “You don’t want to be left holding the bag.”

Buyback Option

If Abbott can’t find an acquisition, it will likely make a
large share repurchase, said Palmer of Bloomberg Intelligence.
Sitting on the cash isn’t an option.
“The cash pile will just get so big that the optics of it
would be a negative in investors’ eyes if they don’t do
something with it,” he said in a phone interview. “The CEO has
been very vocal about wanting to do deals. They already did the
big spin here with AbbVie so I think his track record speaks to
being pretty willing to pull the trigger.”

For Related News and Information:
Mylan’s Three-Way Deal Dance Is a Win for Shareholders: Real M&A
Mylan Deal Is Abbott’s Gain as Drugmaker’s Stake Grows and Grows
Abbott’s Asset Sale Provides Ammunition for Perrigo: Real M&A
Bass Recommends Perrigo, Says Abbott Better Acquirer Than Mylan
Top deal news: DTOP <GO>
Real M&A columns: NI REALMNA <GO>

To contact the reporters on this story:
Brooke Sutherland in New York at +1-212-617-0448 or
bsutherland7@bloomberg.net;
Michelle Fay Cortez in Minneapolis at +1-612-991-8887 or
mcortez@bloomberg.net
To contact the editors responsible for this story:
Beth Williams at +1-212-617-2307 or
bewilliams@bloomberg.net;
Crayton Harrison at +1-212-617-6145 or
tharrison5@bloomberg.net
Elizabeth Wollman

>>> US Close Dow+0,46% S&P+0,38% Nasdaq+0,53% Russell+0,51%


Closing Market Summary: Stocks Snap Two-Day Skid

The stock market snapped its two-day skid with a Thursday advance that lifted the S&P 500 (+0.4%) into the neighborhood of its 50-day moving average (2,089). The benchmark index narrowed its week-to-date loss to 1.0% while the Nasdaq Composite (+0.5%) outperformed, but remains down 1.2% for the week.

Equity indices vacillated near their flat lines during the opening hour and followed their shaky start with a broad-based rally. However, the cash market masked the fact that S&P 500 futures were down more than 15 points overnight. That weakness coincided with selling in the Treasury market, which abated once the benchmark 10-yr yield kissed the 2.30% level. To be fair, the overnight selloff in Treasuries did not take place in a vacuum as Germany's 10-yr bund endured a sharp plunge that briefly sent its yield as high as 0.79%. German bunds were able to retrace the entire move, returning to 0.59% while U.S. Treasuries did that and then some. The 10-yr note rallied throughout the session, dropping its yield six basis points to 2.18% and back below the 200-day moving average (2.19%).

In all likelihood, the Treasury market will be in focus once again tomorrow once the Nonfarm Payrolls report for April crosses the wires at 8:30 ET (consensus 218K).

Nine sectors finished the day in positive territory with heavily-weighted sectors like technology (+0.7%), financials (+0.7%), industrials (+0.6%), and health care (+0.5%) driving the advance.

The top-weighted technology sector gathered strength throughout the session while high-beta chipmakers outperformed from the get-go. The PHLX Semiconductor Index advanced 1.1% thanks to gains in about 90% of its components. SunEdison (SUNE 27.96, +3.13) and Atmel (ATML 7.96, +0.42) led the charge after reporting their quarterly results. Atmel jumped 5.6% after reporting a bottom line beat and issuing cautious guidance while SunEdison surged 12.6% following a loss that was not comparable to analyst estimates.

Staying in the technology space, Yelp (YELP 47.01, +8.79) spiked 23.0% after the Wall Street Journal reported the company is looking into a potential sale. The intraday spike helped the stock reclaim the bulk of its earnings-driven loss from late April and return above its 50-day moving average (46.80).

Elsewhere, the financial sector was underpinned by large components like Citigroup (C 53.31, +0.54) and JPMorgan Chase (JPM 64.50, +0.58) with their strength lifting the sector back into the green for the week. The growth-sensitive group will enter the Friday session with a week-to-date gain of 0.2%.

Over on the countercyclical side, the health care sector (+0.5%) finished ahead of its
defensively-oriented
peers thanks to strength in biotechnology. The
iShares Nasdaq Biotechnology ETF (IBB 344.11, +3.39) advanced 1.0%, but could not climb above its opening high.

On the downside, the energy sector (-1.1%) spent the day in negative territory as crude oil struggled amid dollar strength. WTI crude slumped 3.2% to $58.98/bbl while the Dollar Index (94.60, +0.51) gained 0.6%.

Today's participation was in-line with recent averages as more than 785 million shares changed hands at the NYSE floor.

Economic data included Initial Claims, Challenger Job Cuts, and Consumer Credit:
  • The initial claims level increased to 265,000 for the week ending May 2 from an unrevised 262,000 for the week ending April 25 while the consensus expected an increase to 280,000 
    • There is no doubt that businesses have actively cut down on their layoff activity. The four-week moving average for initial claims declined to 279,500 from 283,750. For comparison, it was only a little more than a month ago in March wherein the four-week moving average was stable over 300,000 
    • In the entire history of the data set, the four-week moving average has been below 280,000 only a handful of times. The last time was in May 2000 
  • The April Challenger Job Cuts report indicated that planned layoffs increased 52.8% year-over-year to follow the prior 6.4% increase 
  • Total outstanding consumer credit increased by $20.50 billion in March after increasing a downwardly revised $14.80 billion (from $15.50 billion) in February while the consensus expected an increase of $16.00 billion 
    • That was the biggest increase in consumer credit since a gain of $21.50 billion in July 2014 
Tomorrow, the Nonfarm payrolls report for April (consensus 218K) will be released at 8:30 ET while March Wholesale Inventories will be reported at 10:00 ET (consensus 0.3%).
  • Nasdaq Composite +4.4% YTD 
  • Russell 2000 +1.7% YTD 
  • S&P 500 +1.4% YTD 
  • Dow Jones Industrial Average +0.6% YTD

(BFW) Bass’s Hayman Said to Go Long on Perrigo: Business Insider



http://www.businessinsider.com/kyle-bass-hayman-long-perrigo-2015-5
Bass’s Hayman Said to Go Long on Perrigo: Business Insider
2015-05-07 15:25:46.90 GMT


By Elizabeth Kiesche
(Bloomberg) -- Perrigo said to be Hayman Capital’s second-
largest equity position, Business Insider says.
Link

Link to Company News:{PRGO US <Equity> CN <GO>}
Link to Company News:{3832572Z US <Equity> CN <GO>}

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First Word scrolling panel: {FIRST<GO>}
First Word newswire: {NH BFW<GO>}

To contact the editor responsible for this story:
Elizabeth Kiesche at +1-609-279-3116 or
ekiesche@bloomberg.net

>>> Total rumoured for InterOil bid (Full article)

Total rumoured for InterOil bid

Wednesday, 6 May 2015
FRANCE’S Total could be about to make a play for dominance in the Asian LNG sector by making a bid for Papua New Guinea-focused InterOil.

Antelope-5.

While Total isn’t commenting publicly on market speculation, having Europe’s third biggest oiler making a move on the Canadian midcap makes a lot of sense in the current market.

Total would not only secure 80% of PNG’s giant onshore Elk-Antelope gas-condensate fields, but significant exploration acreage that could lead to an even larger LNG project than is being considered for near Port Moresby.
Elk-Antelope could be as large as nine trillion cubic feet of gas, and InterOil’s internal assessment of its exploration portfolio indicates potential for about 8Tcf of gas equivalent in our Bobcat, Raptor and Triceratops discoveries as a gross, unrisked, contingent resource and about 9Tcf of gas equivalent at Wahoo and Antelope South/Antelope Deep.
Total is also in InterOil’s exploration program.
Shell’s recent $90 billion move by Shell on BG Group was driven by its long-term belief on Asian gas demand, and given Shell just published its worst production performance in 17 years it needs a win.
Shell’s move has yet to spark a new round of industry consolidation, but most market watchers believe that it is only a matter of time.
Elk-Antelope is almost development ready, and PNG has proven it can deliver a successful LNG project on time and budget despite significant geographical hurdles, while Total has shown a lot of interest in PNG in recently years, teaming up with Oil Search and drilling the first offshore wells in decades in addition to its move on Elk-Antelope.
ExxonMobil’s $19 billion PNG LNG project started up just over one year ago, and has exceeded expectations, and should produce nine trillion cubic feet of gas over 30 years, and it and its partners, primarily Oil Search, and looking at a third and fourth train.
Oil Search also owns a 23% stake in Elk-Antelope.
Total has another option beyond InterOil. It could take over Talisman Energy’s PNG unit.
For several years Talisman has been focused on a gas aggregation strategy with strategic partners Santos and Mitsubishi Corporation targeting 2-4tcf of gas in the Western Province.
In 2015, Talisman plans to continue supporting its gas aggregation strategy through further exploration drilling and the acquisition of additional seismic, however it is about to become part of Spain’s Repsol following a $15 billion takeover.
Talisman’s gas could be an ideal, simple option for an expanding Total, which paid a modest up-front purchase of a stake in Elk-Antelope with more due on reserves, but it will also soon be generating significant cash from its share of the Ichthys oil and gas project in Australia.
As with most majors Total has recently cut back spending and jobs in relation to the oil price drop, but it is also benefitting from the price drop in its refining business, so its bottom line looks healthy.
Lower oil prices reduce its input costs and generate higher profits on fuels such as diesel or gasoline.
At Europe's largest refiner Total, adjusted net operating income from refining and chemicals more than tripled from the first quarter last year to $US1.1 billion, almost matching contributions from upstream of $US1.36 billion, down 56%.
Total's overall profit was down 22% at $US2.6 billion, with strong refining performances meaning the company exceeded expectations.
The situation won’t last. New capacity is coming online in the Middle East, the US intends to increase exports and the price of oil will recover, but until that happens assets are relatively cheap.
Total and Shell are reportedly bringing their refining and trading operations closer together, seeking alternative ways to drive profits. They are boosting their trading teams, and Total restructuring its refining businesses to expand its product line, by converting its unprofitable La Mede plant in southern France to a biodiesel plant and upgrading its Donges refinery on the Atlantic coast to capture growing demand for low-sulphur marine gasoil.
It could be an ideal time for Total to pounce in PNG.
InterOil, which is listed in Singapore, is currently successfully testing the Antelope-5 well, and is about to drill Antelope-6 to assess the flank of its Elk-Antelope Complex.
FID for the Elk-Antelope LNG project is planned for 2017 and would open the door to what could some of the world’s lowest cost LNG and significant liquids production, right on Asia’s doorstep.
InterOil has been open to a takeover in the past.