General Motors (GM) is in a deal to sell a 51% controlling interest in General Motors Acceptance Corp. (GMAC) to a consortium of investors led by Cerberus Capital Management. It expects to receive about $14 billion in cash from the deal over three years.
Lucent Technologies (LU) agreed to be acquired by Alcatel (ALA) in a stock deal, for 0.1952 Alcatel American Depositary Shares per Lucent share. Alcatel shareholders will own about 60% of the combined company and Lucent shareholders will own about 40%.
Shares of Incyte (INCY) fell sharply Monday after the company discontinued development of DFC due to a recently observed increase in frequency of grade 4 hyperlipasemia in HIV patients. It cuts $98 million to $105 million 2006 cash use guidance to between $88 million and $95 million and $92 million to $98 million research and development to between $82 million and $88 million.
Verizon (VZ) is to sell its Caribbean and Latin American telecom operations in three separate deals, including a deal to sell its 28.5% interest in the Venezuelan telecom Cia Anonima Nacional Telefonos de Venezuela (VNT) to an entity jointly owned by the Mexican tycoon Carlos Slim's telecoms America Movil (AMX) and Telefonos de Mexico (TMX).
Ameristar Casinos makes a $2.25 billion bid for Aztar (AZR), at $42.00 cash per Aztar share.
Constellation Brands (STZ) is in a deal to acquire Vincor for C$1.52 billion. It says the deal will be modestly accretive to fiscal year 2007 comparable earnings per share.
Bausch & Lomb (BOL) says it is working with health-care authorities in the U.S. and Asia to investigate an increase in the number of rare fungus infections among contact-lens wearers.
Chiron (CHIR) shares halted. The company enters an amended agreement with Novartis (NVS) providing the company to increase its offer to buy a 56% stake it does not currently own for $48 cash per share.
Valero Energy (VLO) says that a unit of Valero GP Holdings LLC has filed a registration statement with the Securities and Exchange Commission for an initial public offering of about 37% of its units representing limited liability company interests.
Hewlett-Packard (HPQ) and Best Buy (BBY) are to offer Hewlett-Packard's high-definition TVs, including Liquid Crystal Display and plasma models. In late August, Best Buy also will add Hewlett-Packard's MediaSmart TV in select US markets. Best Buy plans to open its first Best Buy-branded store in Shanghai.
Alderwoods Group (AWGI) agrees to be acquired by Service Corp. International in a $856 million deal, at $20 cash per Alderwoods share.
Terex (TEX) sees better-than-expected $1.20 first quarter earnings per share (EPS,) excluding special items and assuming an effective tax rate of 35%. Given management's outlook for the performance of the business for the remainder of the year, it raises 2006 EPS guidance to between $5.85 and $6.35.
Mossimo (MOSS) agrees to be acquired by Iconix in a $119 million deal, at $7.50 per Mossimo share, comprised of $3.25 in Iconix stock, and $4.25 in cash.