Business

Steve Cohen Ponying Up For Sequel To The Don, Paul and Mitch Show

There are some who look at the patently ridiculous, almost comically mendacious and hilariously inept state of the United States government and think, “Things could perhaps be better.” There are the obvious ones, like George Soros, Tom Steyer and Jim Simons. There’s Ray Dalio, too. Even Trump supporter Jeff Gundlach thinks the things emerging from the Republican-controlled Congress to land on the nominally Republican president’s desk aren’t exactly ideal. Steve Cohen is not among these people. No, the once and future hedge fund king (and once and future Chris Christie moneyman) looks at the nuclear, fiscal and humanitarian brinksmanship that masquerades as “governance” in 21st century America and says, “Yes. Two more years of this at least.” According to campaign finance records, Cohen has...

Opening Bell: 1.29.18

Oil Boom Gives the U.S. a New Edge in Energy and Diplomacy [NYT]With the price of West Texas intermediate crude above $65 a barrel, a level not seen in almost three years, the United States is becoming a dominant producer. It is able to outflank competitors in supplying growing global markets, particularly China and India, while slashing imports from the Middle East and North Africa.This year, the United States is expected to surpass Saudi Arabia and to rival Russia as the world’s leader, with record output of over 10 million barrels a day, according to the International Energy Agency. Freed Saudi billionaire Prince Alwaleed says corruption detention was a ‘misunderstanding’ [CNBC]“There are no charges. There are just some discussions between me and the government. Rest assured this is a c...

Dr Pepper Snapple shares soar 25% on buyout deal with K-Cup maker Keurig

Keurig Green Mountain announced plans Monday to buy Dr Pepper Snapple, in a deal that creates a new beverage giant with $11 billion in sales and combines the Dr Pepper, 7UP and Keurig’s single-serve coffee brands. The deal is the latest backed by Austrian investment firm JAB Holding Company, which has been steadily compiling a lunch and breakfast empire. JAB, which acquired Keurig Green Mountain in 2016, also owns Panera, Caribou Coffee and other breakfast and coffee concepts. The deal forges a path for JAB to be an acquirer and major distributor of drinks in the U.S. In a change of course from its previous acquisitions, JAB is keeping Dr Pepper partially a public company. The new entity will be 87 percent owned by Keurig shareholders and 13 percent owned by Dr Pepper shareholders. W...

K-Cup maker Keurig bets big on beverages, buying Dr Pepper Snapple

Keurig Green Mountain announced plans Monday to buy Dr Pepper Snapple, in a deal that creates a new beverage giant with $11 billion in sales and combines the Dr Pepper, 7UP and Keurig’s single-serve coffee brands. The deal is the latest backed by Austrian investment firm JAB Holding Company, which has been steadily compiling a lunch and breakfast empire. JAB, which acquired Keurig Green Mountain in 2016, also owns Panera, Caribou Coffee and other breakfast and coffee concepts. The deal forges a path for JAB to be an acquirer and major distributor of drinks in the U.S. In a change of course from its previous acquisitions, JAB is keeping Dr Pepper partially a public company. The new entity will be 87 percent owned by Keurig shareholders and 13 percent owned by Dr Pepper shareholders. W...

Keurig to buy Dr Pepper Snapple to form a beverage giant

K-cup maker Keurig Green Mountain will buy soda maker Dr. Pepper Snapple to form a beverage company with $11 billion in annual revenue. Dr. Pepper Snapple shareholders will be paid a special cash dividend of $103.75 per share and will own 13 percent of the combined company, which will be called Keurig Dr. Pepper. Germany’s JAB Holding Company, which owns a controlling stake in Keurig, will own the remaining 87 percent of Keurig Dr. Pepper. JAB said it would make an equity investment of $9 billion to finance the transaction. Shares of Dr. Pepper were up nearly 37 percent in premarket trade at $131. Goldman Sachs served as lead financial adviser to Keurig and Credit Suisse served as financial adviser to Dr. Pepper Snapple for the deal.

France’s Sanofi buys Ablynx for $4.8 billion in biotech mergers and acquisitions boom

French drugmaker Sanofi has agreed to buy Belgian biotech company Ablynx for 3.9 billion euros ($4.8 billion), beating Novo Nordisk and marking its second big deal this month after buying Bioverativ. The deal is a further sign of accelerating mergers and acquisition (M&A) activity in the global biotech sector and comes after Ablynx rejected a 2.6 billion euro offer from Denmark’s Novo Nordisk. Sanofi said on Monday it would pay 45 euros per share in cash for Ablynx, a premium of 21.2 percent over its closing price on Friday – and more than double the price before Novo went public with its initial offer. This month has seen a spike in multibillion-dollar deals in biotech, with U.S.-based Celgene paying $9 billion for cancer specialist Juno Therapeutics, and several experts p...

Elon Musk’s Boring Company sold $3.5 million worth of flamethrowers

After a successful run selling hats, billionaire Elon Musk’s The Boring Company has expanded its offering to include flamethrowers. Musk announced that his infrastructure firm had started selling flamethrowers Sunday. People were able to pre-order them for $500 each, and could buy an “overpriced” fire extinguisher with a “cool sticker” for $30 as well. The entrepreneur, who is also the CEO of car manufacturing firm Tesla and aerospace firm SpaceX, said Monday that The Boring Company had sold 7,000 flamethrowers. That means The Boring Company has sold at least $3.5 million worth of its new product. Tweet Musk’s idea to start selling flamethrowers began as a joke in December, when he said that if his company sold 50,000 hats, it would start selling flameth...

Chinese flight routes set off military alarms in Taiwan

In self-ruled Taiwan, fears of a military invasion from the world’s second-largest economy are growing. Following Beijing’s increased military drills near the East Asian island, which China considers as part of its own, Taiwanese President Tsai Ing-wen said in a televised broadcast last week that she did not exclude the possibility of a full-blown attack. A recent decision by Bejing to launch new civilian flights over the Taiwan Strait has contributed to those concerns. Early this month, Chinese President Xi Jinping’s administration opened four new routes without official approval from Tsai, who called the move “destabilizing.” Back in 2015, the two countries agreed that Beijing would consult Taipei before commencing new flights in the area. The new routes, wh...

First official Belt and Road bond issued on Shanghai exchange

The first official Belt and Road bond in China’s domestic market has introduced a new financing instrument for the massive infrastructure initiative but offered few advantages for the issuer. Hongshi Holding Group, a privately owned cement maker, printed the $300 million yuan ($47 million) three-year corporate bond on the Shanghai Stock Exchange on January 19. Proceeds are earmarked for the purchase of equipment for a $300 million yuan cement plant in Laos with an expected daily capacity of 5,000 tons. The new Belt and Road bond category has the blessing of the China Securities Regulatory Commission, the regulator of the exchange-traded bond market, and the Shanghai bourse was quick to tout the achievement as a sign of its support for President Xi Jinping’s signature economic i...

Saudi Arabia’s Kingdom Holding shares soar after Prince Alwaleed freed

Shares in Riyadh-listed international investment company Kingdom Holding soared at the opening on Sunday after the company’s owner, Prince Alwaleed bin Talal, was released after being detained for over two months in a corruption probe. The stock immediately jumped its 10 percent daily limit to 10.04 riyals in unusually active trade. Shares in Saudi fashion retailer Fawaz Abdulaziz Alhokair, whose major shareholder Fawaz Alhokair was also detained in the sweeping investigation and released at the weekend, jumped 7.6 percent in the opening minutes. The Saudi stock index was flat, restrained by a 1.9 percent drop by top petrochemical producer Saudi Basic Industries, which fell 2.1 percent after reporting lower-than-expected fourth-quarter earnings.

Steve Wynn’s reputation will likely not recover if sexual harassment charges check out: Ralston

Steve Wynn‘s reputation will likely not recover if sexual harassment allegations check out, said veteran Las Vegas reporter Jon Ralston. “There is no bigger name in the casino business than Steve Wynn,” said Ralston, who has been covering business and politics in Nevada for 30 years and has interviewed Wynn himself multiple times over the years. “His name is synonymous, not just because that casino says ‘Wynn’ on top of it,” Ralston told CNBC Friday night on “Fast Money.” “Steve Wynn is the biggest name in the history of Nevada gaming.” “He is the man behind that [empire] and it’s hard to believe that it would not take a hit if something happens to him,” Ralston said. However, the reporter, who is also the ...

At Least One Pro Sports League Is Being Halfway Honest About Sports Gambling

It’s only January, but it will be hard, from a spelling out the obvious standpoint, to top The Washington Post’s headline on Thursday morning, “If sports gambling is legalized, the NBA wants in on the profits.” The NBA is not stupid. Of all the major professional sports leagues, Adam Silver’s has been the most open about embracing the possibility of a future in which wagering on sports is legal, with visions of just this kind of proposal: using gambling as a revenue stream. That said, the NBA’s logic in this particular story is utterly assailable. Dan Spillane, the NBA’s senior vice president and assistant general counsel, outlined a plan to the New York State Senate’s Racing, Gaming, and Wagering Committee in which the league would get a 1% cut of any bets made on its product. The rationa...