4:44 pm Dycom beats by $0.10, beats on revs; guides Q2 EPS in-line, revs in-line (DY) : Reports Q1 (Oct) earnings of $0.59 per share, $0.10 better than the Capital IQ Consensus Estimate of $0.49; revenues fell 0.4% year/year to $510.4 mln vs the $500.11 mln consensus.
- Co issues in-line guidance for Q2, sees EPS of $0.07-0.14, excluding non-recurring items, vs. $0.09 Capital IQ Consensus Estimate; sees Q2 revs of $410-430 mln vs. $412.00 mln Capital IQ Consensus Estimate.
4:44 pm Perrigo announced the pricing of the registered public offering by Perrigo Finance plc of $1.6 bln Senior Notes (PRGO) : The notes consist of $500 million aggregate principal amount of 3.50% Senior Notes due 2021, $700 million aggregate principal amount of 3.90% Senior Notes due 2024 and $400 million aggregate principal amount of 4.90% Senior Notes due 2044
4:41 pm Johnson & Johnson company Janssen Research & Development submits NDA for YONDELIS (trabectedin) to the FDA for the treatment of patients with advanced soft tissue sarcoma (JNJ) : Janssen Research & Development, a Johnson & Johnson (JNJ) company, has submitted a New Drug Application ("NDA") for YONDELIS (trabectedin) to the FDA for the treatment of patients with advanced soft tissue sarcoma (STS), including liposarcoma and leiomyosarcoma subtypes, who have received prior chemotherapy including an anthracycline.
- Janssen also announced plans to amend the protocol for the Phase 3 randomized, open-label study ET743-SAR-3007, on which the NDA submission is based. The protocol will be revised to offer patients who were randomized to the dacarbazine comparator arm the option of receiving trabectedin treatment at their physician's discretion. This trial is evaluating the safety and efficacy of trabectedin versus dacarbazine for the treatment of advanced liposarcoma and leiomyosarcoma, the most common types of STS in adults, in more than 500 patients previously treated with an anthracycline and ifosfamide, or an anthracycline followed by one additional line of chemotherapy. Results of the study will be presented at a future date.
- In related news, Janssen will be revising the current U.S. trabectedin expanded access program (:EAP), ET743-SAR-3002, to allow entry of eligible patients with liposarcoma and leiomyosarcoma.
4:32 pm Pacific Coast Oil Trust announced a cash distribution to the holders of its units of beneficial interest of $0.07291 per unit, payable on December 12, 2014; 17% lower than the previous month ($0.07291 per unit vs. $0.08808 per unit) (ROYT) : The reduction is principally due to lower average realized oil prices, partially offset by lower capital expenditures from the Developed Properties. Average realized prices for the Developed and Remaining Properties were $74.00 per Boe, as compared to $84.32 per Boe in September, or 12% lower.
4:31 pm Unisys announces appointment of Paul Weaver as interim Chairman and appointment of CFO Janet Haugen as interim CEO (UIS) :
- Co announced that its Board of Directors has made significant progress in its previously announced search for a successor to Chairman and CEO Ed Coleman, whose departure was recently announced by the company.
- In the interim, effective December 2, 2014, the Board has appointed Weaver as interim Chairman and named Chief Financial Officer Janet Haugen as interim CEO.
4:31 pm Pegasystems authorized expansion of current share repurchase program; $15 mln in repurchases between December 31, 2014 and December 31, 2015 has been approved (PEGA) : This expansion is effective as of November 18, 2014. For the current fiscal year through November 18, 2014, the Company repurchased 687,758 shares under the Current Repurchase Program, for an average price of $20.13 per share.
4:30 pm Plains All American Pipeline announces plans to expand Cactus Pipeline takeaway capacity (PAA) : Co announces plans to provide additional pumps to increase the takeaway capacity of the Cactus Pipeline in response to higher regional production forecasts and shipper demand. Installation of booster stations along the pipeline, which runs from McCamey to Gardendale, Texas, will result in an increase in throughput from ~250,000 barrels per day (bpd) to ~330,000 bpd. The Cactus Pipeline is expected to be in service in April 2015; the expansion will be completed in Q4 of 2015.
4:21 pm Aegean Marine Petrol misses by $0.01, beats on revs; increased dividend 100% to $0.02/qtr (ANW) : Reports Q3 (Sep) earnings of $0.20 per share, excluding non-recurring items, $0.01 worse than the Capital IQ Consensus Estimate of $0.21; revenues rose 13.0% year/year to $1.81 bln vs the $1.73 bln consensus.
- Dividend increased 100% to 2 cents/qtr
- Authorized a new $20 million share repurchase program.
- EBITDA adjusted for the sale of non-core assets was $22.7 million.
4:20 pm Revolution Lighting announced that it is offering shares of its common stock in an underwritten public offering (RVLT) : The co intends to use the net proceeds from the proposed offering for general corporate purposes, including working capital and the financing of possible acquisitions.
4:16 pm Sotherly Hotels announces repayment of $19 mln secured Bridge Financing (SOHO) : Co announced the repayment of the $19.0 million secured Bridge Financing with Richmond Hill Capital Partners, LP and Essex Equity Joint Investment Vehicle, LLC which carried a 12.0% yield-to-maturity and had a maturity date of March 26, 2015. The Company used a portion of the net proceeds from the previously announced offering by the Company's operating partnership of its 7.0% senior unsecured notes to fund the repayment.
4:15 pm Douglas Dynamics announces acquisition of Henderson for $95 mln in cash (PLOW) : Co announced it has entered into a definitive agreement to acquire Henderson for $95 mln in cash, subject to working capital, cash and other adjustments.
- The transaction is also subject to customary regulatory approvals and closing conditions and is expected to close before the end of the calendar year.
- Henderson's diverse product portfolio includes ice control equipment, snow plows, dump bodies, muni-bodies, and replacement parts.
- Henderson generated $76 mln in net sales over the trailing twelve months ending September 30, 2014.
- Douglas Dynamics plans to fund the acquisition through a combination of cash and the amendment of its existing term loan agreement.
- The co plans to seek the consent of the lenders under its existing term loan agreement to extend the maturity date of the agreement from 2018 to 2021.
4:15 pm Wet Seal announced that it has assembled a team to identify and analyze potential strategic and financial alternatives (WTSL) : The company has hired Houlihan Lokey as an investment banker and has also retained William Langsdorf as a senior advisor to the finance team. Houlihan Lokey Capital and Mr. Langsdorf will work with FTI Consulting, Inc, which was previously retained as the company's strategic advisor, to assist in the process.
- The company has not set a timetable for completion of this process, which began months ago, and does not intend to disclose further developments with respect to this process unless and until its Board of Directors approves, in the future, the taking of specific action or otherwise concludes the review of alternatives.
4:11 pm News Corp. acquired a 25% stake in the parent co of PropTiger.com, a digital real estate marketing platform in India, for $30 mln (NWSA) : Co announces it has acquired a 25% stake in the parent co of PropTiger.com, a leading digital real estate marketing platform in India, for $30 mln. At least 10,000 properties, with a combined value of over $1 bln, have already been bought by Indian homebuyers through PropTiger.com. It is estimated that India will be a $158 bln residential real estate market by 2020.
4:11 pm Casey's to revise financial results due to error in ethanol excise tax reporting; aggregate impact of the unrecorded excise taxes for the period from Jan 1, 2012 through Jul 31, 2014, fully diluted EPS is ~4.5 cents in each of the affected quarters (CASY) : Co announces it will revise its financial statements for fiscal years 2012-2014 and Q1 of FY15, due to an inadvertent accounting and reporting error that occurred during these periods. The revision is related to the treatment of the excise tax on ethanol following a change in the law governing ethanol blending credits, which was discovered by the Co during a routine IRS examination. CASY's voluntarily reported this error, has been cooperating fully with the IRS, and has paid $30.4 mln in taxes due as well as $1.1 mln in interest to resolve this matter.
- The aggregate impact of the unrecorded excise taxes for the period from Jan 1, 2012 through July 31, 2014, including accrued interest, is ~$31.5 mln. Over that period, the impact to CASY's fully diluted earnings per share is ~4.5 cents in each of the affected quarters.
- The revision is not expected to affect CASY's continued quarterly dividend payments of $0.20 per share, increased from $0.18 per share in June 2014. Additionally, CASY's long term growth plans remain on track, and the Co remains committed to achieving its financial goals for FY15.
4:10 pm Gladstone Commercial announces expansion of its credit facility to $75.0 mln from $60.0 mln (GOOD) :
- The Company also increased the total maximum commitment by $25.0 million to $100.0 million.
4:10 pm Roberts Realty Investors announces receipt of notice of noncompliance from the NYSE MKT Stock Exchange (RPI) :
4:10 pm Workday beats by $0.06, beats on revs; guides JanQ revs in-line (WDAY) : Reports Q3 (Oct) loss of $0.03 per share, excluding non-recurring items, $0.06 better than the Capital IQ Consensus Estimate of ($0.09); revenues rose 68.2% year/year to $215.1 mln vs the $205.4 mln consensus. Co issues in-line guidance for Q4 (Jan), sees Q4 revs of $219-222 mln vs. $219.8 mln Capital IQ Consensus Estimate.
- "We had a strong third quarter and saw increasing customer demand globally."
- "We also welcomed a record number of customers to our eighth annual customer conference, Workday Rising, where we announced our newest suite of applications, Workday Insight Applications..."
- Non-GAAP operating margin was (1.4)% vs (15.6)% in the year ago period.
4:10 pm NII Holdings (NIHDQ) announces Restructuring Agreement (NIHD) : Company and twelve of its wholly-owned subsidiaries, which previously sought bankruptcy protection, have reached an agreement with their major stakeholders, including their two largest creditors and the official committee of unsecured creditors, on the material terms of a reorganization plan to be implemented in their chapter 11 cases pending in the U.S. Bankruptcy Court following negotiations between and among the Company and such stakeholders.
- strengthen Company's balance sheet by converting $4.35 billion of the Company's unsecured notes into equity interests in the reorganized Company;
- enhance the reorganized Company's liquidity by providing $500 million of new capital through a fully backstopped $250 million rights offering of the reorganized Company's stock that will be made available on a pro rata basis to holders of the Company's senior notes and an additional $250 million of exit financing in the form of debt;
- implement a global settlement of all claims related to certain complex intercompany and inter-creditor disputes.
4:10 pm Brocade beats by $0.01, reports revs in-line (BRCD) : Reports Q4 (Oct) earnings of $0.24 per share, excluding non-recurring items, $0.01 better than the Capital IQ Consensus Estimate of $0.23; revenues rose 1.0% year/year to $564.4 mln vs the $562.66 mln consensus.
- Co reported Non-GAAP gross margin of 67.7% vs 67.2% last year.
- Q4 2014 SAN product revenue was $325 million, flat year-over-year and quarter-over-quarter. The SAN year-over-year product revenue performance reflects improvement in director and switch product sales offset by lower server product sales.
4:10 pm Closing Market Summary: S&P 500 Logs Third Consecutive Gain (:WRAPX) : The major averages kicked off the holiday-shortened week with an advance that was paced by the Russell 2000 (+1.2%). The small-cap index was followed by the Nasdaq Composite (+0.9%) while the Dow (+0.04%) and S&P 500 (+0.3%) ended closer to their flat lines.
Stocks rallied out of the gate with upbeat action overseas contributing to the early strength. Equities in China and Hong Kong spiked in reaction to Friday's PBoC rate cut while European markets were boosted by increased expectations of a forthcoming sovereign QE program from the European Central Bank. To that point, Credit Suisse said it expects the ECB to announce plans for sovereign asset purchases in December.
ECB member and German Bundesbank President Jens Weidmann pushed back against the easing expectations, reminding that monetary policy alone is unable to create growth and requires corresponding measures from the fiscal side.
Despite Mr. Weidmann's comments, the market's expectation for more QE manifested itself through increased demand for Italian and Spanish debt. Italian and Spanish 10-yr yields both fell five basis points to their respective 2.15% and 1.97%.
Unsurprisingly, heightened easing expectations led to strength in European bank shares with Banco Santander (SAN 8.75, +0.25) and Deutsche Bank (DB 31.80, +0.87) spiking 2.9% and 2.8%, respectively. As for the broader financial sector (+0.6%), the cyclical group led at the start, but ceded the top spot to the consumer discretionary sector (+0.9%).
The discretionary space enjoyed broad support from homebuilders, retailers, and media names. The iShares Dow Jones US Home Construction ETF (ITB 26.08, +0.22) gained 0.9% and the SPDR S&P Retail ETF (XRT 93.90, +1.22) advanced 1.3%. Time Warner Cable (TWX 81.43, +1.38) stood out among broadcasters with a 1.7% spike.
Elsewhere among influential sectors, technology (+0.7%) and health care (+0.5%) outperformed, helping the market resist the pressure from energy (-0.7%), materials (-0.5%), and consumer staples (-0.1%).
The tech sector, and Nasdaq Composite, rallied behind the shares of Apple (AAPL 118.62, +2.16), which surged 1.9%. Chipmakers also provided support with the PHLX Semiconductor Index climbing 1.0%. Furthermore, the Nasdaq drew strength from biotechnology as the iShares Nasdaq Biotechnology ETF (IBB 300.15, +5.14) jumped 1.7%.
On the downside, the energy sector spent the day in a steady retreat. Meanwhile, crude oil held an overnight gain, but gave that back and then some to end lower by 1.0% at $75.75/bbl.
Treasuries registered modest gains after erasing their overnight losses. The 10-yr yield slipped one basis point to 2.30%.
Tomorrow, the second estimate of Q3 GDP (Briefing.com consensus 3.2%) will be reported at 8:30 ET while September Case-Shiller 20-city Index (consensus 4.6%) and FHFA Housing Price Index will both be released at 9:00 ET. The day's data will be topped off with the 10:00 ET release of the Consumer Confidence report for November (expected 96.0).
- Nasdaq Composite +13.9% YTD
- S&P 500 +12.0% YTD
- Dow Jones Industrial Average +7.5% YTD
- Russell 2000 +1.1% YTD
4:09 pm Duke Realty announced that it has called for redemption all of its 597,579 outstanding 6.50% Series K Cumulative Redeemable Preferred Shares and all of the 5,975,789 Depositary Shares representing such Series K Preferred Shares (DRE) : Holders of the Series K Depositary Shares will receive $0.108333 per share in accrued dividends, for an aggregate redemption price of $25.108333 per Series K Depositary Share. Dividends on the Series K Preferred Shares represented by the Series K Depositary Shares will cease to accrue after the redemption date, and holders will have no rights other than the right to receive the redemption price, without interest, upon surrender of their shares.
4:07 pm ChinaCache announced that it has formed a strategic partnership with Aspera (IBM company) to provide best-performance high-speed data transmission services for large files (CCIH) : ChinaCache will combine its high quality CDN network service with Aspera's FASP transmission technology to ensure high-speed transmission of large data files around the globe, with the added benefits of safety, controllability, cost-effectiveness and flexibility.
4:06 pm Dixie Group announced the formation of Masland Hospitality (DXYN) : The product portfolio will include large scale public space patterns utilizing CYP technology, a complete guest room offering, modular carpet and the most extensive area rug capabilities in the industry.
- In addition, The Dixie Group announces they are proceeding with the termination of its agreements with Desso BV as a result of a change in control of Desso.
4:06 pm Palo Alto Networks beats by $0.03, beats on revs; guides Q2 EPS in-line, revs above consensus (PANW) : Reports Q1 (Oct) earnings of $0.15 per share, excluding non-recurring items, $0.03 better than the Capital IQ Consensus Estimate of $0.12; revenues rose 50.0% year/year to $192.3 mln vs the $181.73 mln consensus.
- Co issues in-line EPS guidance for Q2, sees EPS of $0.16-0.17, excluding non-recurring items, vs. $0.16 Capital IQ Consensus Estimate; sees Q2 revs of $200-204 mln vs. $197.74 mln Capital IQ Consensus Estimate.
4:06 pm Nuance Communications beats by $0.05, beats on revs (NUAN) : Reports Q4 (Sep) earnings of $0.33 per share, excluding non-recurring items, $0.05 better than the Capital IQ Consensus of $0.28; non-GAAP revenues rose 6.1% year/year to $520.3 mln vs the $510.79 mln consensus.
- FY 14 bookings were $2,441.9 million, up 27.4% from $1,916.5 million in FY 13. FY 14 bookings exceeded our updated guidance range of $2.35 billion to $2.40 billion.
4:06 pm Tiptree Financial to acquire Reliance First Capital LLC for a combination of cash and Class A common stock of TIPT (TIPT) :
4:05 pm Cepheid receives FDA clearance for Xpert Flu/RSV XC; redundant targets extend coverage for detection of seasonal and emerging novel viruses (CPHD) : Co announced it has received clearance from the FDA to market its Xpert Flu/RSV XC, an on-demand molecular test for accurate and reliable determination of Flu A, Flu B, and differentiation of RSV infection.
- Xpert Flu/RSV XC runs on Cepheid's GeneXpert System, the world's leading molecular diagnostic platform with more than 7,500 systems installed worldwide.
4:05 pm Covidien announced FDA 510(k) clearance for its Fortrex over-the-wire percutaneous transluminal angioplasty balloon catheter (COV) :
4:05 pm Amira Nature Foods beats by $0.02, beats on revs; reaffirms FY15 revs guidance (ANFI) : Reports Q2 (Sep) earnings of $0.29 per share, excluding non-recurring items, $0.02 better than the Capital IQ Consensus Estimate of $0.27; revenues rose 30.9% year/year to $141.4 mln vs the $132.37 mln consensus.
- Adjusted EBITDA increased 39.4% to $19.7 million compared to $14.2 million
- Adjusted EBITDA margin increased to 14.0% percent of sales compared to 13.1%
4:05 pm Sungy Mobile beats by $0.14, beats on revs; guides Q4 revs below consensus (GOMO) : Reports Q3 (Sep) earnings of RMB 0.59 per share, RMB 0.14 better than the Capital IQ Consensus Estimate of RMB 0.45; revenues rose 7.3% year/year to RMB 97.3 mln vs the RMB 92.29 mln consensus.
- Total average monthly active users (MAU.V) of GO series products increased by 11.5% year over year to 97 million in the third quarter 2014 from 87 million in the prior year period.
- Guidance: Co issues downside guidance for Q4, sees Q4 revs of RMB 75-80 vs. RMB 97.37 mln Capital IQ Consensus Estimate.
4:04 pm Violin Memory beats by $0.01, beats on revs; will guide Q4 on CC at 17:00 ET (VMEM) : Reports Q3 (Oct) loss of $0.19 per share, excluding non-recurring items, $0.01 better than the Capital IQ Consensus Estimate of ($0.20); revenues fell 23.3% year/year to $21.7 mln vs the $20.23 mln consensus.
- Third quarter fiscal 2015 non-GAAP gross margin was 54%, compared to 55% reported in the second quarter of fiscal 2015, and 55% recorded in the third quarter of fiscal 2014.
- The Company will provide fourth quarter guidance during today's conference call. Call begins at 17:00 ET.
4:02 pm Stericycle appoints Brent Arnold as COO effective Jan 1, 2015; Richard Kogler to remain Senior VP International (SRCL) : Co announces its BoD has unanimously selected Brent Arnold, currently EVP and President, Stericycle USA/Canada, to succeed Richard Kogler as COO effective Jan 1, 2015. Mr. Kogler will continue in his role as COO through the transition to Mr. Arnold, and thereafter, will continue at Stericycle as SVP, International.
4:02 pm Medgenics announced that it intends to offer and sell shares of its common stock in an underwritten public offering (MDGN) : Net proceeds will be used for the following purposes: clinical development of TARGTEPO for three renal anemia and two hematological indications, clinical development of TARGTGLP-2 for short bowel syndrome, research and development activities with Children's Hospital of Philadelphia under the recently announced collaboration agreement, advancement of additional preclinical programs, and general corporate purposes.
4:02 pm Agree Realty announces the acquisition of 22 net lease properties for ~$19.5 mln (ADC) :
- The transactions were completed at a weighted-average cap rate of 8.02% and with a weighted-average remaining lease term of approximately 15.1 years.
4:01 pm Salix Pharma announces plan to augment BoD (SLXP) : Co announces it has engaged Russell Reynolds Associates to conduct a comprehensive search to assist the Co in identifying experienced, highly qualified individuals to serve as independent members of the Co's BoD. Salix currently anticipates that it will complete its search and increase the size of its Board by adding new independent directors in the Q1 of 2015.
4:00 pm MFS Financial increases quarterly dividend to $0.10 from $0.08/share (MFSF) :
3:56 pm CDW announced that its wholly owned subsidiaries CDW LLC and CDW Finance Corporation have priced an offering of $575 mln in aggregate principal amount of 5.50% senior notes due 2024 (CDW) : The Issuers intend to use the proceeds from the Notes Offering, together with cash on hand, to fund the redemption of $541.4 million aggregate principal amount of their outstanding Senior Notes due 2019 and to pay related fees and expenses.
3:46 pm Nasdaq Comp +39 edges above Friday's peak to set fresh multi-year high (:TECHX) :
3:30 pm Energy price action (:COMDX) :
- Crude oil fell $0.78 to $75.75/barrel
- Natural gas fell 14 cents to $4..14/MMBtu
- Heating oil fell 3 cents to $2.03/gallon
- RBOB remained unchanged at $2.40/gallon
3:29 pm Earnings Calendar (:SUMRX) : Today after the close look for the following companies to report:
- ANW, BRCD, NUAN, DY, QIHU, CPRT, WDAY, PANW, ANFI, KANG, VMEM
- TECD, HRL, CPB, VAL, SIG, TIF, BECN, BWS, PLL, CHS, CBRL, DSW, YGE, FRED, EV, DANG, LG, AMWD, MOV, DAKT, CTRN, XCRA, DSX, NJR
3:28 pm Performance Sports earlier announced that it has received notification that the NOCSAE will announce today that the Cascade R model lacrosse helmet no longer complies with NOCSAE standard ND041 and that Cascade's certification of compliance on that helmet model only is now invalid (PSG) : The Company is working with the National Operating Committee on Standards for Athletic Equipment to clarify the concerns and appropriately address the issue. The Company's first priority is always to its loyal Cascade customers. However, it is important to note that the Cascade R model has passed applicable NOCSAE standards at two separate, independent, NOCSAE-accredited test labs commissioned by the Company
- On a pro forma basis giving effect to PSG's acquisition of Easton Baseball/Softball in April 2014, total lacrosse revenues represent less than 5% of PSG's overall revenues.
3:11 pm Index Changes Reminder: Western Refining (WNR) to replace Bally Technologies (:BYI) in S&P MidCap 400 (:INDXCH) :
3:07 pm Lagging Dow -12 slips back near session low at 17793 -- S&P +3.3 nearing midday range low, Nasdaq Comp +33 pauses after nearing Friday's peak (:TECHX) :
2:24 pm Agricultural price action (:COMDX) :
- Corn fell 4 to $3.67/bushel
- Wheat fell 5 cents to $5.42/bushel
- Soybeans rose 13 cents to $10.35/bushel
- Ethanol rose 2 cents to $2.08/gallon
- Sugar #11 fell 0.09 cents to 16.00 cents/gallon
2:18 pm Nasdaq Comp +35 establishes another new session high of 4749 slightly under last week's multi-year high of 4751 (:TECHX) : The S&P +5 remains near mid-range with the lagging Dow +5 lifting roughly 20 points off its low.
2:14 pm Dollar Dips in Quiet Trade: 10Y: +03/32..2.305%..USD/JPY: 118.27..EUR/USD: 1.2435 (:SUMRX) :
- The Dollar Index continues to hold small losses as action probes the 88.15 level. Click here to see a daily Dollar Index chart.
- The Index has spent the entire U.S. session stuck in a 20 cent range as trade holds below the breakeven line.
- EURUSD is +50 pips @ 1.2440 as action presses session highs. The single currency has been able to hold 27-month lows as German Ifo Business Climate topped estimates, and saw follow through buying as Bundesbank head Jens Weidmann once again spoke out against sovereign QE purchases by the ECB. The 1.2400 level remains key.
- GBPUSD is +40 pips @ 1.5695 as trade flirts with the upper end of the range that has been in place for nearly two weeks. A lack of news and data out of the UK has kept trade closely tracking the euro. Britain's BBA Mortgage Approvals and the latest Inflation Report Hearings are due out tomorrow.
- USDCHF is -25 pips @ .9670 as trade pulls back from 16-month highs. The pair saw little reaction to the in-line employment data, and remains tightly tied to the euro.
- USDJPY is +60 pips @ 118.35 as action holds just off seven-year highs. The pair has been an afterthought during today's session as Japanese banks were closed in observance of Labor Thanksgiving Day. Bank of Japan Governor Haruhiko Kuroda will speak in Nagoya after the latest policy minutes are released.
- AUDUSD is -60 pips @ .8605 as trade slides back onto key support. The hard currency tested the .8700 level in early trade, but has been unable to hold above the important .8650 area. A breakdown of .8550 will have the pair at levels last seen in July 2010.
- USDCAD is +65 pips @ 1.1295 as action bounces off key support. Trade opened on the key 1.1200 area and the 50 dma, but has managed to hold the level. Canadian data set for tomorrow is limited to retail sales.
2:10 pm Technical Analysis: Choppy, confined performance for major averages (:SUMRX) : The stock indices opened the week on a firmly positive note but the action turned more mixed thereafter. The strong carryover momentum, gains overseas and increased expectations for sovereign QE in Europe was cited for the bullish start. Despite the solid push and QE chatter none of the indices were able to take out last Friday's high on the early move as the underlying sector action turned mixed. A lagging performance in Energy, Telecom and some Industrials weighed on the Dow with it back near the flat line to slightly weaker after mid-morning. The S&P has remained in a very narrow range at a slightly higher level while the Nasdaq Comp is hovering near its high just under Friday multi-year peak.
The top performers on a percentage basis have been led by: Biotech IBB, Semi XSD, Retail XRT, Disk Drive, Computer-Hardware, Networking IGN, Discretionary XLY, Home Const ITB, Rail, Transports IYT, Finance XLF. Groups on the defensive include: Gold Miners GDX, Natural GAs, Mining XME, Copper JJC, Energy XLE, OIl Service OIH, Coal KOL, Crude Oil USO, Ag/Chem MOO, Utility XLE, Steel SLX, Materials XLE, Telecom IYZ.
Although the market has thus far proven unable to build on the recent gains, the low volume, tightly confined (five point S&P range) mixed performance continues to imply very little sell side interest. For this afternoon a posture above the 2065/2064 area for the S&P keeps a constructive price pattern in place. The initial resistance zone of note is at 2070/2073 which marks an extension objective, Friday's high and a trendline/Regression Channel target area.
1:48 pm Metals price action (:COMDX) :
- Gold fell $2.10 to $1195.60/oz
- Silver fell 2 cents to $16.38/oz
- Copper fell 3 cents to $3.00/lb
1:17 pm Newmont Mining prepays $100 mln of $575 mln term loan maturing in 2019 (NEM) : Proceeds recently received as a result of the government of Suriname exercising its option to participate in a fully-funded, 25 percent equity ownership stake in the Merian Gold Project were included in the $100 million prepayment.
12:58 pm Top performing Nasdaq Comp +25 slips back off high, Dow -15 sets new low, S&P +2.6 hovering just above its low (:TECHX) :
12:57 pm Midday Market Summary: Influential Sectors Lead (:WRAPX) : The major averages display midday gains with the Russell 2000 (+0.7%) in the lead. The Nasdaq Composite (+0.6%) follows right behind while the Dow(-0.1%) and S&P 500 (+0.2%) hover closer to their flat lines.
Equity indices spiked out the gate amid upbeat action overseas. Markets in China and Hong Kong rallied in reaction to Friday's rate cut by the PBoC while equities in Europe were boosted by increased expectations of a forthcoming sovereign QE program from the European Central Bank. To that point, Credit Suisse expects the ECB to announce plans for sovereign asset purchases in December.
However, ECB member and German Bundesbank President Jens Weidmann pushed back against the increased QE expectations, reminding that monetary policy alone is unable to create growth and requires corresponding fiscal measures.
Despite Mr. Weidmann's comments, the market's expectation for more QE has manifested through increased demand for Italian and Spanish debt. Spain's 10-yr yield is lower by five basis points at 1.97% and Italy's benchmark yield has also given up five basis points to 2.15%.
Fittingly, the prospects of more easing have boosted European banks like Banco Santander (SAN 8.76, +0.27), Credit Suisse (CS 26.84, +0.45), and Deutsche Bank (DB 31.67, +0.74). The three names are up between 1.7% and 3.1%, while the financial sector (+0.4%) trades a bit ahead of the market after starting the day in the lead.
Similar to financials, the S&P 500 has stepped back from its high, but the index remains supported by other heavily-weighted sectors like consumer discretionary (+0.7%), technology (+0.7%), and health care (+0.3%).
In the health care sector, Prosena Holding (RNA 18.65, +7.21) has soared 63.0% after agreeing to be acquired by Biomarin Pharmaceuticals (BMRN 87.25, +1.42) for $17.75 per share, which represents a 55.0% premium to Friday's closing price. Biotechnology has also played a part in the outperformance with the iShares Nasdaq Biotechnology ETF (IBB 299.22, +4.21) up 1.4%.
On the downside, commodity-linked energy (-0.8%) and materials (-0.4%) have spent the first half in the red with the energy sector unable to rally even as crude oil trades little changed at $76.61/bbl.
Treasuries slipped overnight and have held inside narrow ranges since the opening bell. The 10-yr yield is higher by one basis point at 2.32%.
12:45 pm L-3 Communications announced that its National Security Solutions business has been awarded a five-year contract with an expected value of $218 mln (LLL) : Under the contract, L-3 will provide services that include wired and wireless Local Area Networks and Wide Area Networks, as well as the associated equipment, security devices and cable infrastructure needed to enable the secure, reliable and timely transmission of data.
12:34 pm Nasdaq Comp +31 continues to outperform, notches new session high of 4745 -- Dow -7 remains in lower end of range, S&P +4 drifts near mid-range (:TECHX) : The multi-year high set Friday is at 4751. Relative sector strength has been noted in Semi SMH, Networking IGN, Technology XLK along with Restaurant and Discretionary XLY.
12:33 pm Richardson Elec announced it will be launching its new Healthcare Division (RELL) : The co's newly formed strategic business unit will be focused on high quality replacement parts for the diagnostic imaging equipment market.
12:24 pm Stratasys subsidiary MakerBot and Staples (SPLS) announced that MakerBot Replicator 3D Printers and MakerBot Digitizer Desktop 3D Scanners are now available in 50 select Staples retail stores across 18 states (SSYS) : MakerBot is Staples' exclusive provider in-store of 3D printing hardware, with premium in-store experiences to showcase the entire MakerBot 3D Ecosystem. This partnership makes Staples the exclusive office supply company to offer MakerBot 3D printing and scanning products in the store.
12:16 pm Avianca Holdings announced that its subsidiary companies transported 2,278,973 passengers in October, up 9.6% compared to October 2013 (AVH) : Capacity, measured in ASKs (available seat kilometers), increased 8.2%, while passenger traffic, measured in RPKs (revenue passenger kilometers), increased 6.7%. The load factor for the month was 79.2%.
12:02 pm 3D Systems announced 3DSPRINT, a new desktop and cloud-based platform that changes the way people share, view and print 3D data; also Capture Mini (DDD) : 3DSPRINT is a free platform for all users and will offer premium enterprise features for enhanced productivity and workflow control. 3DS plans to preview the platform at EuroMold 2014, including live demos and exclusive invitations for users to experience it.
Co also announced the release of its Capture Mini scan-based design and inspection system - a smaller, more accurate version of its previously released Geomagic Capture system.
12:01 pm U.S. Steel announced that the company will relocate its corporate headquarters to the former Civic Arena site in Pittsburgh's lower Hill District (X) : The announcement of the new headquarters location in Pittsburgh is another step in the company's Carnegie Way transformation journey. To be completed in 2017, the new 250,000 square foot headquarters will promote collaboration and best practices for U. S. Steel employees in the advanced work environment. Additionally, by housing employees from a number of locations under one roof, the new headquarters location will provide significant cost savings for the company.
12:00 pm Notable movers of interest (:SCANX) : The following are some of today's most notable movers of interest, categorized by market capitalization (large cap over $10 billion and mid cap between $2-10 billion) and ranked by % change (all stocks over 100K average daily volume).
Large Cap Gainers
- SNN (35.88 +3.64%): Rumors circulating that Stryker (SYK) may purse a bid of up to $15 bln for the co.
- ENDP (72.7 +3.56%): Acquired the rights to Natesto Testosterone Nasal Gel for $25 mln upfront.
- LRCX (80.93 +2.9%): Heard target raised earlier to $91 from $85 at Goldman; reiterated Buy.
- POT (34.73 -5.19%): Potash related names showing weakness after Uralkali (URALL) CEO indicated that his company may restart half of Solikamsk-2 mine operations, according to reports (MOS also lower).
- BPL (80.68 -2.3%): Filed for $1 bln offering of limited partnership units.
- ASML (103.56 -2.01%): Outlined long-term growth opportunities at Investor Day; goal is to reach EUR10 bln in sales by 2020.
- DDD (37.46 +6.57%): Announced a definitive agreement to acquire Cimatron (CIMT) for ~$97 mln in cash.
- RCPT (127.7 +7.14%): Target raised to $186 from $130 at Leerink Partners; reiterate Outperform.
- HLS (39.84 +4.16%): Announced it has entered into a definitive agreement to acquire privately held EHHI Holdings for ~$750 mln.
- CBI (54.16 -5.13%): Downgraded to Sell from Neutral at Goldman; tgt lowered to $46 from $61.
- JEC (47.51 -3.2%): Announced the retirement of President/CEO Craig Martin at year-end; Downgraded to Sell from Neutral at Goldman; tgt lowered to $40 from $46.
- ULTA (123.52 -3.03%): Downgraded to Neutral from Buy at Goldman.
11:53 am Minor new high Nasdaq Comp +26 while Dow -2.5 and S&P +3 continue to hover in low end of their ranges (:TECHX) :
11:51 am European Markets Closing Prices (:SUMRX) : European markets are now closed; stock markets across Europe performed as follows:
- UK's FTSE:-0.3%
- Germany's DAX:+0.5%
- France's CAC:+0.5%
- Spain's IBEX:+1.2%
- Portugal's PSI:+0.2%
- Italy's MIB Index:-0.1%
- Irish Ovrl Index:+0.6%
- Greece ASE General Index: -0.5%
11:50 am Lam Research providing leadership for Semi, one of the top performing sectors thus far (LRCX) : LRCX has pushed to a new session high of 81.15, its multi-year peak from early Nov is at 81.28
11:43 am Stocks/ETFs that traded to new 52 week highs/lows this session - New highs (170) outpacing new lows (56) (:SCANX) : Stocks that traded to 52 week highs: AAPL, AAWW, ABBV, AINC, AIV, ALKS, AMGN, AMP, AMT, ANAC, AON, APD, AUXL, AVNR, BAP, BDL, BERY, BFR, BKW, BLK, BRK.A, BRK.B, BSET, BURL, CACI, CASY, CBAN, CDW, CELG, CFFN, CLDT, COV, CPIX, CRMT, CSCO, CSX, CTLT, CTRN, CVS, CVTI, CWAY, CYBR, DDC, DFT, DGX, DIN, DISH, DLPH, DLTR, DPLO, DYAX, EEFT, ELLI, EQR, FFIV, GD, GGG, GGP, GPN, GTT, HCN, HDB, HDS, HIG, HNH, HON, HTLD, IBCA, IBN, IDTI, INCY, INFY, JLL, JWN, KLAC, KNX, LBRDA, LBRDK, LBY, LEN, LEN.B, LII, LM, LNC, LOW, LQ, LSTR, LWAY, M, MAG, MCK, MCRL, MIK, MLI, MMC, MRGE, MRH, MSTR, MU, NAVG, NAVI, NEWM, NKTR, NOC, NTES, NVEE, NXPI, PAM, PANW, PAYC, PEI, PEP, PETM, PGRE, PHM, PPS, PRAH, PTP, PTSI, QTM, RCL, RCPT, RDCM, RMAX, RNA, ROST, RT, RTN, RUK, SBAC, SEE, SIG, SIRO, SNE, SPLP, SPR, SRT, STOR, STRT, SWFT, SWKS, SYMC, TBK, TCX, TFSL, TFX, THG, THI, TMO, TQNT, TSEM, TTWO, TXN, TXT, UEIC, UNP, USB, USCR, VR, VTR, VWR, WAB, WBB, WFC, WOOF, WY, XL, XRAY, Y, ZAYO
Stocks that traded to 52 week lows: AKER, APDN, BIND, BLRX, CEL, CRNT, CSUN, DAKP, DCTH, DSCO, ELLO, EMITF, ENVA, EVGN, FMD, FORD, FRPT, GNBC, HSON, IVAN, JYNT, KMDA, LPTN, LXFR, MCP, MZOR, NCQ, NDRM, NSPH, NSPR, NTP, OCIP, ORPN, OTIV, OXFD, PED, PICO, PRSS, PSTI, RENN, REPH, RLOG, RTK, RVLT, SARA, SDLP, SHOS, SSNI, SWSH, SZYM, TATT, VIEW, VLTC, WAIR, WHZ, XOOM
ETFs that traded to 52 week highs: IYF, IYG, IYJ, IYR, PPA, RTH, SMH, SOXX, URE, UYG, XBI, XLF, XLI
ETFs that traded to 52 week lows: FXY
11:17 am Dow -4 slips to new session low, S&P +3.7 in lower end of range, Nasdaq Comp +24 in tight range slightly under its intraday peak (:TECHX) : Relative sector weakness in recent trade has been noted in Finance XLF, Bank KBE, Staples XLP, Silver SLV, Gold GLD, Industrial XLI.
11:01 am Northrop Grumman announced it has successfully conducted the integrated baseline review of the production, deployment and initial sustainment phase for the Enhanced Polar System Control and Planning Segment (NOC) : The U.S. Air Force's EPS provides space-enabled, secure communications capabilities to polar users in support of national objectives. EPS CAPS receives telemetry and supplies configuration commands, mission and cryptographic planning for the EPS payload.
10:55 am Currency Commentary: DXY Pulling Back from Multi-year Highs (:SUMRX) :
- The Dollar Index is giving up some early gains. The DXY rallied to fresh multi-year highs as expectations for further easing in both China and Europe led to bids in the dollar. The DXY ran to 88.44 before rolling over and giving up some gains. The Index is now testing the 88 level as expectations for ECB are reigned in and the Markit Services PMI preliminary number missed expectations. It is a holiday shortened work week which will likely lead to volume drying up over the course of the week. But there are some notable reports with Wednesday seeing a massive amount of economic data. Reports to watch include: Tue- Q3 GDP revision, Housing Prices, and Consumer Confidence; Wed- Durable Orders, Claims, Income & Spending, and New Home Sales.
- The euro is marching higher after tumbling to 1.2361 in early trade. Providing support to the single currency are headlines from German Bundesbank President Jens Weidmann in which he is trying to temper easing monetary policy expectations. ECB President Mario Draghi gave another one of his 'what ever it takes' speeches on Friday and now Mr. Weidmann is attempting to point out the legal difficulties associated with bond buying. The ECB is certainly setting itself up for falling short of expectations on December 4 when it meets again. But an EU Leaders meeting in Mid-December is still on the calendar and will have investors looking for some sort of stimulus to drive the troubled growth and pricing in the region. Inflation and employment data from the region is due out at the end of the week.
- The pound is trading just shy of 1.57. The pound is still in a firm downward trend but is showing some signs of holding the 1.56 level. Tomorrow inflation hearings will be held. Given the recent cautious commentary around pricing this should be a bearish event for sterling. So it will be interesting to see if the 1.56 level holds up under dovish commentary.
- The yen remains extremely weak as it trades in the 118 level. Market focus will be on Bank of Japan Governor Kuroda who will be speaking tonight at 8pm ET. Mr. Kuroda will also be hold a news conference four hours after he speaks (BONDX, FOREX).
10:31 am US Cellular announced that the Samsung Galaxy Tab S 10.5 will be available tomorrow online and in stores (USM) :
10:24 am Anchor Bancorp announced the termination of the Supervisory Directive that the Bank had entered into with the Washington Department of Financial Institutions on September 4, 2012 (ANCB) : The termination of the Supervisory Directive was effective on November 20, 2014.
10:17 am Relative sector weakness as stock indices chop within early ranges (:TECHX) : The overall action has remained favorable with the Nasdaq Comp +26 recently setting a new high but the S&P +5 and Dow +21 have not yet confirmed. Sectors underperforming in recent trade include: Pharma PPH, Oil Service OIH, Utility XLU, Steel SLX, Telecom IYZ, Coal KOL.
10:13 am Nektar Therapeutics: The FDA has granted qualified infectious disease product designation to two Bayer investigational agents, Amikacin Inhale and Ciprofloxacin Dry Powder for Inhalation (NKTR) : Amikacin Inhale is being developed by Bayer HealthCare in collaboration with Nektar Therapeutics
10:02 am General Dynamics Ordnance and Tactical Systems and Smith & Wesson Holding Corp. (SWHC) are partnering to pursue the U.S. Army's Modular Handgun System solicitation to replace the M9 standard Army sidearm (GD) : The strategic partnership's Modular Handgun System will be based on the Smith & Wesson M&P Polymer Pistol platform. Designed with a reinforced polymer chassis, superior ergonomics, ambidextrous controls, and proven safety features, the M&P is used by U.S. and law enforcement agencies worldwide.
10:01 am Minor new highs for Nasdaq 100/Comp and small-caps -- Dow +12, S&P +3.5, Nasdaq Comp +22 (:TECHX) :
10:01 am Comtech Telecom announced that its subsidiary, Comtech EF Data Corp., received a $3.5 mln order for satellite communications ground equipment in October 2014 (CMTL) : This upgrade and expansion, which is 4G/LTE enabled, will leverage Comtech EF Data's multi-layered optimization approach, teaming the CDM-625A Advanced Satellite Modem with the Memotec RAN Optimization CXU Series to achieve the maximum net efficiency possible on the MNO's links.
9:55 am Dow +3.3 slips back near unchanged -- S&P +3, Nasdaq Comp +20 (:TECHX) :
9:52 am JDS Uniphase: ISS has recommended that shareholders vote 'AGAINST' Martin Kaplan, a Director of JDSU since 1997 and the Chairman of the Company's Governance Committee (JDSU) : Tom Sandell, CEO of Sandell Asset Management, said: "This conclusion and recommendation from ISS supports our belief that the actions taken by JDSU were designed to disenfranchise shareholders and silence shareholder voice. This decision should send a powerful message to the entire Board of Directors at JDS Uniphase that their actions will not go un-challenged. We look forward to continuing to engage in dialogue with shareholders in advance of the Annual Meeting."
9:41 am Opening Market Summary: Cyclical Sectors Lead Opening Rally (:WRAPX) : The major averages climbed out of the gate with the small-cap Russell 2000 (+0.5%) in the lead. For its part, the S&P 500 trades higher by 0.3% with seven sectors showing early gains.
The financial sector (+0.8%) began the session in the lead while other cyclical sectors like consumer discretionary (+0.5%) and industrials (+0.5%) also displayed early strength. However, the technology sector (+0.2%) has yet to catch up to the broader market.
Meanwhile on the countercyclical side, the health care sector (+0.4%) has been boosted by M&A activity after Prosena Holding (RNA 18.42, +6.98) agreed to be acquired by Biomarin Pharmaceuticals (BMRN 84.00, -1.83) for $17.75 per share. Biotechnology has also contributed to the early strength with the iShares Nasdaq Biotechnology ETF (IBB 298.00, +2.99) up 1.0%.
9:37 am JPMorgan Chase near early month gap top at 61.29 (JPM) : The next zone of interest above is in the 61.60/61.70 area prior to its Sep and Nov/all time highs at 61.85/61.93.
9:35 am Modest but broad based gains in early action with small-caps outperforming -- Dow +42, S&P +6, Nasdaq Comp +16 (:TECHX) : Top performing sectors thus far include: Home Const ITB, Biotech IBB, Finance XLF, Rail, Paper, Bank KBE, Reg Bank KRE, Transports IYT.
9:23 am On The Wires (:WIRES) :
- DeVry University (DV) announced a new partnership with Kelly Services (KELYA). Together, DeVry and Kelly Services will do their part to help close the skills gap and infuse employment opportunities particularly within the science, technology, engineering and math career fields.
- OpenLink and Tableau Software (DATA) announced a partnership to bring data analytics to the Energy Trading and Risk Management market.
- GE's (GE) Digital Energy business announced that orders for its Encompass and RevenueSense 600-volt current transformers were up 41% from when the products launched in June of this year. Both products enable a utility to maximize billing revenue by ensuring more precise meter readings.
- Zoetis (ZTS) announced the appointment of Roman Trawicki as President of its Global Manufacturing and Supply organization. Mr. Trawicki will oversee the company's global manufacturing and supply network that produces more than 300 animal health product lines for the company.
- Verizon Wireless (VZ) announced the opening of its largest wireless destination store in the country in Houston, TX today.
- T-Mobile (TMUS) announced a major evolution of its Un-carrier 6.0 program, with the addition of 14 new streaming services, more than doubling the number of providers currently in the program. Today's additions include names like Google Play Music, Xbox Music and SoundCloud as well as a diverse range of specialty services.
9:17 am Orbital Sciences announced that NASA has awarded the company a contract for its Pegasus rocket to launch the space agency's Ionospheric Connection Explorer scientific satellite into low Earth orbit (ORB) : The launch of ICON aboard Pegasus will take place in mid-2017 from the Reagan Test Site at Kwajalein Island near the equator in the mid-Pacific Ocean area. "Our Pegasus team is now working on two upcoming missions, including ICON and the CYGNSS launch that is scheduled for late 2016."
9:17 am Amgen announced the termination of all AMGN sponsored clinical studies of rilotumumab in advanced gastric cancer, including the Phase 3 Rilomet-1 and Rilomet-2 studies (AMGN) :
- Co announced the termination of all Amgen-sponsored clinical studies of rilotumumab in advanced gastric cancer, including the Phase 3 RILOMET-1 and RILOMET-2 studies. Amgen's decision is based on a planned safety review by the RILOMET-1 independent data monitoring committee that found an increase in the number of deaths in the rilotumumab and chemotherapy treatment arm when compared to the chemotherapy treatment only arm.
- Protocol-defined futility criteria would likely have been met at the planned interim analysis, scheduled for March 2015. Detailed results of RILOMET-1 will be submitted for presentation and publication.
9:16 am Net Element announced that its indirect Russian subsidiary, OOO TOT Money, has entered into a financing agreement with Bank Otkritie Financial Corp (NETE) : Co announces its indirect Russian subsidiary, OOO TOT Money, has entered into a financing agreement with Bank Otkritie Financial, one of Russia's largest private listed banks. This financing is complementary to the Co's Alfa-Bank factoring facility and provides additional flexibility and capacity to expand our presence in Russia's transactional services market. In conjunction with the Alfa-Bank factoring agreement, TOT Money will have approximately $15 mln of available credit to help fund its growth.
9:12 am S&P futures vs fair value: +5.80. Nasdaq futures vs fair value: +12.00. (:WRAPX) : The stock market is on track for a modestly higher open with futures on the S&P 500 trading six points above fair value. Index futures were little changed at the start of the night, but climbed to highs after markets in Europe opened for action. Similar to U.S. futures, European indices trade near their best levels of the day amid speculation that Friday's comments from ECB President Mario Draghi will lead to more action from the central bank. On that note, Credit Suisse expects the ECB to deploy a sovereign QE program in December. This has boosted demand for Italian and Spanish debt with Spain's 10-yr yield lower by five basis points at 1.97% and Italy's 10-yr also down five basis points at 2.15%.
Domestically, pre-market action has been subdued with just a few movers of note. On the M&A front, Prosena Holding (RNA 18.63, +7.19) has surged 62.9% after agreeing to be acquired by Biomarin Pharmaceuticals (BMRN 83.00, -2.83) for $17.75 per share, which represents a 55.0% premium to Friday's closing price.
Investors did not receive any economic data of note.
Treasuries hover in the red with the 10-yr yield higher by two basis points at 2.33%.
9:10 am Allegheny Tech announced it has received an additional order for its nickel-based alloy plate to be used in a large oil & gas pipeline project (ATI) : The co previously announced that it had booked initial orders for this project. Shipments are scheduled to begin in late fourth quarter 2014 and continue through the first half of 2015.
- "Total expected revenue of approximately $145 million from these orders represents the largest participation in a project in ATI's history."
9:04 am Firsthand Tech. Value Fund announced a cash distribution to shareholders of $2.86156 per share payable on December 11, 2014 to shareholders of record as of December 5, 2014 (SVVC) : The entire amount of this distribution represents long-term capital gains, primarily from our successful investment in Twitter (TWTR). This is the second distribution to stockholders in the past 60 days and is expected to be the final distribution in 2014.
8:59 am Bristol-Myers and Five Prime Therapeutics (FPRX) announced that they have entered into an exclusive clinical collaboration agreement to evaluate the safety, tolerability and preliminary efficacy of combining Opdivo with FPA008 (BMY) : Co announces they have entered into an exclusive clinical collaboration agreement to evaluate the safety, tolerability and preliminary efficacy of combining Opdivo, BMY's investigational PD-1 immune checkpoint inhibitor, with FPA008, Five Prime's (FPRX) monoclonal antibody that inhibits colony stimulating factor-1 receptor. The Phase 1a/1b study will evaluate the combination of Opdivo and FPA008 as a potential treatment option for patients with non-small cell lung cancer, melanoma, head and neck cancer, pancreatic cancer, colorectal cancer and malignant glioma.
- Under the terms of this agreement, BMY will make a one-time payment of $30 mln to FPRX and will be responsible for study costs. FPRX will conduct the clinical trial, which is expected to begin in 2015. The agreement provides for exclusivity with respect to the development, with a collaborative partner, of combination regimens of anti-PD-1/PDL1 antagonists together with an anti-CSF1R antagonist
8:58 am S&P futures vs fair value: +7.00. Nasdaq futures vs fair value: +15.00. (:WRAPX) : The S&P 500 futures trade seven points above fair value.
Markets rallied across Asia, supported by the People's Bank of China rate cut that followed Friday's close. Elsewhere, Japan's Nikkei was shuttered in observance of Labour Thanksgiving Day. Surveys in Japan indicate Prime Minister Shinzo Abe's LDP party is expected to receive 37% of the vote even though more than 60% disapprove of the dissolution of the lower house.
- Economic data was limited:
- New Zealand's Visitor Arrivals increased 3.3% month-over-month (previous 1.1%)
- Singapore's CPI eased to 0.1% year-over-year from 0.6% (consensus 0.6%)
- Hong Kong's Hang Seng rallied 2.0% to a one-week high. Real estate stocks surged as China Overseas Land & Investment and China Resources Land jumped 11.0% and 10.4%, respectively.
- China's Shanghai Composite advanced 1.9% to its best levels since September 2011. Real estate developed Poly Real Estate and brokerage firm GF securities both gained the limit, 10%.
- India's Sensex gained 0.6%, putting in another record high. IT service providers were bid as Infosys, Tata Consultancy Services, and Wipro added between 1.3% and 3.1%.
- In economic data:
- Germany's Ifo Business Climate Index rose to 104.7 from 103.2 (expected 103.0) as Current Assessment increased to 110.0 from 108.4 (consensus 108.0) and Business Expectations improved to 99.7 from 98.3 (expected 95.5)
- Italy's non-EU trade surplus expanded to EUR4.04 billion from EUR1.53 billion
- Great Britain's FTSE is lower by 0.1% amid significant weakness in the shares of Petrofac. The energy company has plunged 25.4% in reaction to a profit warning. Financials outperform with Barclays and Royal Bank of Scotland both up near 1.0%.
- Germany's DAX is higher by 0.7% with bank shares in the lead amid increased expectations of a sovereign QE. Deutsche Bank has spiked 3.4% and Commerzbank trades up 1.3%.
- In France, the CAC has added 0.8%. BNP Paribas, Credit Agricole, and Societe Generale lead with gains between 2.4% and 3.6%. Sanofi is the weakest performer, down 0.5%.
- Spain's IBEX outperforms with an increase of 1.6%. Banco Popular, Bankinter, Banco Sabadell, and Bankia lead with gains between 2.3% and 3.0%.
8:51 am Chembio Diagnostics announced that it has entered into a follow-on, milestone-based development agreement with a private contracting organization acting on behalf of the CDC, for a multiplex POC influenza immunity test utilizing it's patented Dual Path Platform technology (CEMI) : The prior development work for a DPP Influenza Immunity Assay was completed by Chembio between 2010 and 2013, pursuant to previous contracts with the same organization. The current project is being funded by the same organization and contemplates a timeline of three months to optimize the multiplex POC DPP Influenza Immunity Assay to determine a person's influenza immunity status in the field or in an outpatient setting, while incorporating certain additional subunits of influenza virus proteins.
8:49 am Perrigo announced that Perrigo Finance plc commenced a registered public offering of three series of Senior Notes (PRGO) : The Notes will be fully and unconditionally guaranteed on a senior unsecured basis by the Company. The exact terms and timing of the offering will depend upon market conditions and other factors. Perrigo intends to use the net proceeds of the offering, together with the proceeds of other financing sources, to fund the cash consideration for its proposed acquisition of Omega Pharma Invest NV and to repay or refinance certain indebtedness of Perrigo and/or Omega.
8:46 am On The Wires (:WIRES) :
- Rambus (RMBS) announced that its Cryptography Research division has licensed select security-related technologies to Cisco Systems (CSCO). The agreement enables Cisco to integrate relevant security technologies into Cisco products to provide protection against unauthorized access and mitigate security threats. Specific terms of the agreement are confidential.
- Barnes & Noble (BKS) announced it will offer 500,000 signed editions from more than 100 of today's biggest authors, with a selection of 100 being available in every Barnes & Noble store nationwide beginning on Black Friday, while supplies last.
- Mellanox Technologies (MLNX) announced the Center for Biological and Sequence Analysis at the Ris Campus of Denmark Technical University has selected Mellanox's end-to-end FDR 56Gb/s InfiniBand solution for the center's new supercomputer.
- Capstone Turbine Corporation (CPST) announced that it received another order from the health care industry for a C1000 microturbine to upgrade the Memorial Sloan Kettering Cancer Center in New York City, New York.
- MedAssets (MDAS) announced that UNC Health Care, a not-for-profit health system based in Chapel Hill, NC, has renewed its agreement with the company to build upon its long-standing relationship with MedAssets in driving down costs and optimizing clinical, operational and financial performance.
- Spartan Chassis, a business unit of Spartan Motors (SPAR), announced that its Defense and Government operating group has been awarded a subcontract from defense contractor BAE Systems (BAESY) to support the production of 22 International Light Armored Vehicles. The subcontract is the second delivery order against a three year Indefinite Delivery, Indefinite Quantity contract and validates the diversified growth and operational strengths of the Spartan Defense and Government business unit.
8:34 am STAG Industrial announced an agreement in principle for the pricing of a $200 mln private placement of senior unsecured notes (STAG) : Co announces an agreement in principle for the pricing of a $200 mln private placement of senior unsecured notes, consisting of $100 mln with a 10-year term and $100 mln with a 12-year term, to be issued by the Co's operating partnership.
- The Co expects all $100 mln of 10-year notes, bearing interest at a fixed annual rate of 4.32%, to be issued on or around Feb 20, 2015.
- he Co expects $80 mln of 12-year notes, bearing interest at a fixed annual rate of 4.42%, to be issued on or around Dec 30, 2014, and the remaining $20 mln of 12-year notes, bearing interest at the same rate, to be issued on or around Feb 20, 2015.
- Co and McKesson (MCK) announced the signing of an expanded agreement to include the sourcing and distribution of branded, specialty and generic pharmaceuticals.
- The new five year agreement, which extends through December 2019, creates efficiencies for both companies by leveraging the strength of Omnicare as the nation's largest institutional pharmacy and a leading specialty pharmaceutical services provider and McKesson as a global leader in pharmaceutical sourcing and supply chain management.
- Omnicare noted that it believes the benefits of its new sourcing strategy will be a key driver in enabling it to generate a low double-digit adjusted cash EPS growth rate in 2015.
8:33 am Streamline Health announces new $10 mln credit facility with Wells Fargo Bank (STRM) : Co announces it has finalized the terms of a new credit facility with Wells Fargo Bank. The new facility consists of a fixed rate $10 mln senior term loan with an interest rate of approximately 6.5% and a $5 mln revolving line of credit.
8:32 am Digital Realty Trust board of directors has appointed A. William Stein as Chief Executive Officer and to the board of directors, effective immediately (DLR) : DLR announced today that its board of directors has appointed A. William Stein as Chief Executive Officer and to the board of directors, effective immediately.
- Mr. Stein has been serving as interim CEO since March 2014 and has served as the company's Chief Financial Officer since July 2004, as well as its Chief Investment Officer from 2004 until April 2014.
8:32 am European Markets Update: FTSE -0.1%, DAX +0.7%, CAC +0.7%, IBEX +1.5% (:SUMRX) : Major European indices trade mostly higher with Spain's IBEX (+1.5%) in the lead. Friday's comments from European Central Bank President Mario Draghi about tackling low inflation stoked up expectations for increased easing efforts from the central bank. To that point, Credit Suisse expects the ECB to deploy a sovereign QE program in December. Spain's 10-yr yield has given up six basis points to 1.96% and Italy's benchmark yield is lower by five basis points at 2.15%.
- In economic data:
- Germany's Ifo Business Climate Index rose to 104.7 from 103.2 (expected 103.0) as Current Assessment increased to 110.0 from 108.4 (consensus 108.0) and Business Expectations improved to 99.7 from 98.3 (expected 95.5)
- Italy's non-EU trade surplus expanded to EUR4.04 billion from EUR1.53 billion
- Great Britain's FTSE is lower by 0.1% amid significant weakness in the shares of Petrofac. The energy company has plunged 25.4% in reaction to a profit warning. Financials outperform with Barclays and Royal Bank of Scotland both up near 1.0%.
- Germany's DAX is higher by 0.7% with bank shares in the lead amid increased expectations of a sovereign QE. Deutsche Bank has spiked 3.4% and Commerzbank trades up 1.3%.
- In France, the CAC has added 0.7%. BNP Paribas, Credit Agricole, and Societe Generale lead with gains between 2.4% and 3.6%. Sanofi is the weakest performer, down 0.5%.
- Spain's IBEX outperforms with an increase of 1.5%. Banco Popular, Bankinter, Banco Sabadell, and Bankia lead with gains between 2.3% and 3.0%.
8:32 am PerkinElmer Enters into Definitive Agreement to Acquire Perten Instruments; Perten is expected to have a minimal impact on co's 2014 non-GAAP EPS results. PKI currently expects the transaction to be ~$0.04 accretive to its 2015 non-GAAP EPS results (PKI) : ...
- ALLETE Clean Energy acquired the rights to develop a wind farm. The project will then be sold to Montana-Dakota for ~$200 million. Montana-Dakota will own and operate the project for use by its utility customers. Construction of the project is expected to be completed in December 2015. The purchase is subject to regulatory approvals.
- In addition to developing this new project with Montana-Dakota, ACE operates wind generation facilities in Minnesota, Iowa, and Oregon. ACE also has an option agreement to acquire from AES Corp. (AES) the 101MW Armenia Mountain, Penn., wind farm in mid-2015.
8:32 am Amtrust Financial to acquire CorePointe Insurance Company, expected to be immediately accretive (AFSI) : AmTrust Financial Services announced that it has entered into a definitive agreement, pending regulatory approval, to acquire for cash, CorePointe Insurance Co, a wholly-owned subsidiary of CorePointe Group. The transaction is expected to be immediately accretive.
- The majority of CorePointe's insurance products and services are distributed through MGAs with whom CorePointe has had a long-standing relationship. In 2013, CorePointe profitably generated $53.7 million in net earned premium.
8:31 am Forward Pharma A/S receives issue notification for Erosion Matrix Patent in the U.S. (FWP) : Co announces they received an issue notification from the United States Patent and Trademark Office regarding its patent application 13/143,498 covering its erosion matrix formulation of dimethyl fumarate. FWP's lead drug, FP187, is an erosion matrix formulation that will be covered by the issued patent.
8:31 am Altisource Portfolio Solutions acquires Owners.com for $20 mln (ASPS) : Co announces it has acquired the Owners.com business to expand Altisource's growing position in the residential real estate industry. The acquisition adds a flat-fee MLS service to Altisource's offerings, enabling the co to serve the fast-growing category of limited service home sellers. Owners.com will operate alongside Altisource's online real estate auction marketplace, Hubzu.com. Altisource purchased the company for $20 mln at closing and up to an additional $7 mln in potential consideration based on revenue earned.
8:31 am Speed Commerce acquires e-commerce services provider Fifth Gear; Total consideration included $55 million in cash paid at closing (SPDC) :
- Co has completed the acquisition of Fifth Gear, a single-source provider of order management, fulfillment and customer care services.
- Total consideration included $55 million in cash paid at closing with an additional contingent payment to be made in the form of common shares of Speed Commerce stock, if earned.
- For the 12 months ended September 30, 2014, Fifth Gear's net revenue exceeded $50 million. As a result of the acquisition, the organic growth of existing clients and the addition of new client opportunities, the company expects revenues for its fiscal year ending March 31, 2016 ranging between $180 million to $220 million; Current Capital IQ consensus is $177 mln.
- The company anticipates Adjusted EBITDA margins for fiscal 2016 in the range of 10%-13%.
8:31 am Phillips 66 and Energy Transfer (ETP) announce Open Season for Nederland to St. James Crude Oil Pipeline (PSX) : Co announces the launch of a binding open season to assess interest in committed service under local tariffs for crude oil pipeline transportation originating at Nederland, Texas, for deliveries to various crude oil terminals and refineries in the vicinity of Lake Charles and St. James, Louisiana. The binding open season will commence at 12 p.m. CST on Dec. 1, 2014.
8:30 am CDW announced that its wholly owned subsidiaries CDW LLC and CDW Finance Corporation intend to offer, $575 mln in aggregate principal amount of senior notes due 2024 (CDW) : The Issuers intend to use the proceeds from the Notes Offering, together with cash on hand, to fund the redemption of $541.4 million aggregate principal amount of their outstanding Senior Notes due 2019 and to pay related fees and expenses.
8:27 am S&P futures vs fair value: +6.00. Nasdaq futures vs fair value: +12.00. (:WRAPX) : Equity futures remain near their best levels of the morning with the S&P 500 futures six points above fair value. The current indication suggests the benchmark index will begin the week on a modestly higher note after registering five consecutive weekly gains that sent the index higher by 9.4%.
This week is expected to be relatively quiet with Thanksgiving taking place on Thursday and an abbreviated session on Friday that will end at 13:00 ET.
Treasuries are near their lows with the 10-yr yield up two basis points at 2.33%.
8:25 am Diana Containerships beats by $0.02 (DCIX) : Reports Q3 (Sep) earnings of $0.02 per share, $0.02 better than the Capital IQ Consensus Estimate of $0.00; revenues rose 17.2% year/year to $13.0 mln vs the $12.4 mln consensus.
- Co reported Q3 time charter equivalent rate of $17,177/day, higher than last year's quarter of $14,022/day
- Time charter revenues rose mainly due to increased average time charter rates achieved, despite the decrease in ownership days in the third quarter of 2014 compared to the same period of 2013, resulting from the disposal of two vessels in Dec 2013 and Feb 2014, which was partly offset by the addition to the Co's fleet of three vessels from August 2013 to Sept 2014.
8:24 am ACE Limited declared a quarterly dividend equal to $0.65; also announced authorization of a share repurchase of $1.5 bln (ACE) : The dividend is payable on January 5, 2015, to shareholders of record at the close of business on December 17, 2014.
- The board also announced authorization of a share repurchase of $1.5 bln for calendar year 2015 to replace the current authorization when it expires December 31, 2014.
8:20 am Outerwall announced Redbox daily rental price increases in US starting December 2, the daily rental rate for DVDs will increase from $1.20 to $1.50, and Blu-ray Disc from $1.50 to $2.00 (OUTR) : Beginning January 6, 2015, the daily rental rate for video games will increase from $2.00 to $3.00. Outerwall selected the price points after several months of market testing.
- Due to the timing in the quarter, Outerwall is not revising its fourth quarter 2014 guidance. While the company expects an adverse impact on Redbox rental volume as a result of the national rollout of the price changes, Outerwall believes the price increases, coupled with Redbox's network optimization initiatives, will help offset future declines in the physical rental market.
8:17 am On The Wires (:WIRES) :
- First Hawaiian Bank announced the grand opening of its new Waiakea branch and, with it, introduced a new approach to personalized service through NCR Interactive Services. The advanced software from NCR Corporation (NCR) will allow FHB customers to conduct typical teller transactions on an advanced financial services kiosk.
- H&R Block (HRB) announced it will help taxpayers prepare for the biggest change to the tax code in nearly two decades -- the Affordable Care Act -- with the launch of free online tools and resources.
- The Western Union Company (WU) and The Western Union Foundation launched a million-dollar global business challenge to help fight the Ebola outbreak, and announced a multi-faceted program in support of community relief efforts.
- IBM (IBM) announced that, available this Wednesday, IBM B2B Commerce transforms the complex B2B buying process by providing customers with a more engaging and simplified experience that ensures they can easily find and purchase the products they need across any channel or device.
- Aruba Networks (ARUN) announced that Nebraska Crossing Outlets in Gretna, Nebraska, has replaced its Ruckus (RKUS) wireless network with Aruba Networks' 802.11ac solution to provide the industry's fastest Wi-Fi to 80 retailers and the four million people the center serves in its 200 mile trade area.
- MicroStrategy Incorporated (MSTR) announced that the MicroStrategy Analytics Platform is now available through the 'KDDI Analytics Suite with MicroStrategy' offering from KDDI Corporation, one of Japan's leading telecommunications providers.
- ANADIGICS (ANAD) announced that the Company is shipping production volumes of its AWL9281 front-end integrated circuit to Huawei for the new Ascend Mate 7.
- Salesforce (CRM) launched the Desk.com App Hub, empowering fast-growing SMBs to leverage customer service to accelerate growth.
- Dell Inc., ViaSat Inc. (VSAT), Microsoft Corp. (MSFT), Intel Corp. (INTC), and API Technologies Corp. (ATNY) through its subsidiary SST, announced the launch of the Secure Venue Tablet, a new mobile computing solution for NATO and its member states. The specialised tablet combines the portability of a tablet and the power of a laptop, along with the ability to secure data up to Top Secret and Secret accredited levels. Orders are being taken now with first shipments expected in January 2015.
- Luoxis Diagnostics, a subsidiary of Ampio Pharmaceuticals (AMPE), announced the presentation of three clinical and preclinical studies showcasing its RedoxSYS Diagnostic System as a broadly applicable and robust research tool capable of measuring oxidation-reduction potential in the body in response to injury, illness, or stress. In all three studies, which were performed in collaboration with Luoxis' academic and pharmaceutical research partners, RedoxSYS was able to assess biologically relevant changes in ORP, allowing it to serve as a simple, rapid biomarker of global oxidative stress.
- Bridgeline Digital (BLIN) announced the release of iAPPS 5.2. The award-winning iAPPS Digital Engagement Platform combines superior features and functionality in web content management, eCommerce, eMarketing, social media management and web analytics on one all-encompassing .NET platform.
- Cardica's (CRDC) Board of Directors is pleased that Broadfin Capital LLC has decided to work constructively with Cardica by ending the proxy contest and has instead decided to support the five nominees on Cardica's slate for election to the Board of Directors. After the 2014 Annual Meeting, Cardica's Board of Directors will be comprised of Cardica's slate of five nominees and Broadfin's director nominees.
- FLY Leasing (FLY) has purchased and leased back three new Airbus (EADSY) A321 aircraft with Asian airline. "We have announced the acquisition of 20 aircraft so far this year, further reducing our fleet age and increasing both our lease terms and lease revenues. We expect to continue this growth trajectory into 2015."
- RF Micro Devices (RFMD) and TriQuint Semiconductor (TQNT) announced the two companies have received all necessary shareholder and regulatory approvals to move forward with their previously announced merger of equals and have set Wednesday, December 31, 2014, as the anticipated closing date for the transaction. Trading in the common stock of the new combined company, Qorvo, Inc., is expected to commence on the NASDAQ Global Select Market on January 2, 2015, under the stock ticker symbol "QRVO."
- Jarden Corporation (JAH) as previously announced, will distribute one additional share of Jarden common stock for every two shares of Jarden common stock owned by stockholders of record as of November 3, 2014. The additional shares will be distributed after market close today. After giving effect to the split, the Company will have approximately 192.4 million shares of common stock outstanding.
8:11 am NPS Pharm announces teduglutide granted orphan drug designation in Japan (NPSP) :
- Co announced that the Japanese Ministry of Health, Labor and Welfare (:MHLW) has granted teduglutide orphan drug designation for the treatment of Short Bowel Syndrome (SBS).
- Also, due to the strong medical need for SBS treatments in Japan, the MHLW's expert committee on Unapproved New Drugs and New Indications with High Medical Needs requested that NPS Pharma Japan K.K. develop teduglutide for adult SBS earlier this year.
- To meet local regulatory requirements, the company is also preparing to initiate a small study in Japanese patients with SBS before the end of this year.
8:07 am International Tower Hill Mines arranged private placement financing of common shares to raise gross proceeds of ~CAD 8.4 mln; will offer 18,245,000 common shares at a price of CAD 0.46/share (THM) :
8:05 am IGI, Inc. announced it has submitted an additional abbreviated new drug application; brings the total number of ANDA submissions in 2014 to 7, with 18 submissions now pending at the FDA (IG) :
8:05 am Karyopharm Therapeutics presents data on oncology pipeline at EORTC-NCI-AACR annual meeting (KPTI) : Co announced the presentation of data describing its oncology product candidates at the 26th EORTC-NCI-AACR Symposium on Molecular Targets and Cancer Therapeutics in Barcelona, Spain held November 18 to 21, 2014.
- Data for its lead product candidate, Selinexor (KPT-330), a first-in-class, oral Selective Inhibitor of Nuclear Export / SINE compound, described its synergistic anti-tumor activity in combination with DNA damage-inducing treatments such as anthracyclines or radiation in a non-small cell lung cancer (:NSCLC) mouse model.
- In addition, a description of a newly developed pharmacodynamic assay designed to evaluate direct Selinexor binding to XPO1 in patients was presented.
8:04 am Catalyst Pharma announces notice of allowance of U.S. Patent Application for the reduction or elimination of visual field defects by treating patients with CPP-115 (CPRX) : Co announces the United States Patent and Trademark Office has issued a Notice of Allowance for U.S. Patent Application Serial Number 13/581,187. The patent application is generally directed to methods reducing visual field defects and intramyelinic edema resulting from the use of a GABA-aminotransferase inhibitor by using CPP-115, a new and novel GABA-AT inactivator, to treat neurological or psychological disorders. This patent covers CPP-115 for neurological and psychological uses until 2032, and perhaps longer with extensions allowed under the Patent Term Restoration Act. This patent is also pending in the EU.
8:03 am Crestwood Midstream Partners and Crestwood Equity Partners (CEQP) announce that Crestwood Equity will sell 100% of the membership interest in Tres Palacios Gas Storage to a newly formed JV (CMLP) : Crestwood Equity Partners (CEQP) and Crestwood Midstream Partners (CMLP) announce that Crestwood Equity has entered into definitive agreements to sell 100% of the membership interest in Tres Palacios Gas Storage to a newly formed joint venture between Crestwood Midstream and an affiliate of Brookfield Infrastructure Group for total cash consideration of $130 mln. Crestwood Midstream will own 50.01% of Tres Palacios Holdings and will be the operator of Tres Palacios and its assets. The transaction is expected to close in early December 2014. As a part of the transaction, Brookfield Infrastructure is entering into 5-year, fixed-fee contracts with Tres Palacios for 15 Bcf of firm storage capacity and 150,000 dekatherms per day of enhanced interruptible wheeling services beginning November 2014. The contracts will provide Tres Palacios with incremental annual firm revenues of approximately $16 mln per year.
8:03 am Radius Health announces Phase II Study results of the Investigational Drug Abaloparatide; Phase II study resulted in statistically significant increases in bone mineral density (RDUS) :
- Co announced that results from a multi-center, multi-national, double-blind placebo controlled Phase 2 trial evaluating the effects of the investigational drug abaloparatide on bone mineral density (:BMD) were published online for early release on November 13, 2014, ahead of print by the Journal of Clinical Endocrinology & Metabolism (:JCEM) [doi:10.1210/jc.2014-3718].
- The investigational drug abaloparatide is a synthetic peptide analog of parathyroid hormone-related protein (PTHrP) currently being developed as an anabolic agent for potential use in the treatment of postmenopausal osteoporosis
8:03 am Government Properties Income Trust announced that it has replaced its existing unsecured revolving credit facility and unsecured term loan with new facilities that provide up to $1.3 bln in borrowing capacity at lower interest rates and with extended maturities (GOV) : Co announces it has replaced its existing unsecured revolving credit facility and unsecured term loan with new facilities that provide GOV with up to $1.3 bln in borrowing capacity at lower interest rates and with extended maturities. The new facilities include a feature under which the maximum borrowing capacity may be increased to up to $2.5 bln on a combined basis under certain circumstances.
8:02 am China Gerui announced that it has regained compliance with listing requirements of The NASDAQ Global Select Market (CHOP) : Co announced that it has regained compliance with listing requirements of The NASDAQ Global Select Market. As previously reported on November 6, 2014, China Gerui's Board of Directors approved a one-for-ten reverse stock split which was intended to increase the per share trading price of the Company's outstanding ordinary shares.
8:02 am Arotech recommences its share buy back program; $960K of the program remains, which may be utilized until August 2015 (ARTX) :
8:01 am Merck submits new drug application to the Japanese Pharmaceuticals and Medical Devices Agency for omarigliptin, an investigational once-weekly DPP-4 inhibitor for Type 2 diabetes (MRK) :
8:00 am On The Wires (:WIRES) :
- Amec Foster Wheeler (FWLT) announced that BHI Co., Ltd., a licensee of its Global Power Group, has been awarded a contract by a prominent US power producer to design and supply two Heat Recovery Steam Generators in the United States. The HRSGs will be part of a large power plant expansion in the Northeast region of the US.
- Security Life Insurance Company of America announced that it has successfully commenced use of Ebix's state of art end-to-end EbixEnterprise Health Exchange and insurance administration solution. EbixEnterprise is an on-demand SaaS based Insurance exchange service from Ebix (EBIX).
- WidePoint Corporation (WYY) announced that its subsidiary Operational Research Consultants has been approved by the U.S. Department of Defense to issue External Certificate Authority Personal Identity Verification Interoperable credentials that comply with DoD requirements. ORC is the first vendor to receive approval to issue these enhanced credentials.
- Perrigo Company plc (PRGO) announced that it has agreed to market the authorized generic version of Astellas U.S. LLC's' Protopic Ointment 0.1% and 0.03%. Shipments to their pharmacy customers have commenced.
7:57 am S&P futures vs fair value: +5.10. Nasdaq futures vs fair value: +9.50. (:WRAPX) : U.S. equity futures trade modestly higher amid upbeat action overseas. The S&P 500 futures hover five points above fair value after spending the night in positive territory. Light trading volume has been the theme overnight with Japan's Nikkei closed for Labour Thanksgiving Day. Meanwhile, the European session has also been relatively quiet.
Domestically, investors did not receive any notable data and corporate news has been limited.
Treasuries hold slim losses with the 10-yr yield up one basis point at 2.33%.
In U.S. corporate news of note:
- Prosena Holding (RNA 18.75, +7.31): +63.9% after agreeing to be acquired by Biomarin Pharmaceuticals (BMRN 85.83, 0.00) for $17.75 per share, representing a 55.0% premium to Friday's closing price.
- Trina Solar (TSL 10.55, -0.38): -3.5% after beating earnings estimates on light revenue.
- Verizon (VZ 49.92, -0.29): -0.6% after Citigroup downgraded the stock to 'Neutral' from 'Buy.'
- Asian markets ended higher. China's Shanghai Composite +1.9%, Hong Kong's Hang Seng +2.0%, and Japan's Nikkei was closed for holiday.
- Economic data was limited:
- New Zealand's Visitor Arrivals increased 3.3% month-over-month (previous 1.1%)
- Singapore's CPI eased to 0.1% year-over-year from 0.6% (consensus 0.6%)
- In news:
- Markets in China and Hong Kong rallied in reaction to the PBoC rate cut that took place after Friday's session.
- Surveys in Japan indicate Prime Minister Shinzo Abe's LDP party is expected to receive 37% of the vote even though more than 60% disapprove of the dissolution of the lower house.
- Economic data was limited:
- Major European indices trade mostly higher. Germany's DAX +0.6%, France's CAC +0.7%, and Great Britain's FTSE is flat. Elsewhere, Spain's IBEX +1.4% and Italy's MIB +0.5%.
- In economic data:
- Italy's non-EU trade surplus expanded to EUR4.04 billion from EUR1.53 billion
- Among news of note:
- Friday's comments from European Central Bank President Mario Draghi about tackling low inflation stoked up expectations for increased easing efforts from the central bank. To that point, Credit Suisse expects the ECB to deploy a sovereign QE program in December. Spain's 10-yr yield has given up six basis points to 1.96% and Italy's benchmark yield is lower by five basis points at 2.15%.
- In economic data:
7:56 am Perrigo announced that it has filed with the FDA an Abbreviated NDA for testosterone undecanoate injection and that it has notified the owner of the Reference Listed Drug of its filing (PRGO) :
- On November 20, 2014, Endo Pharmaceuticals Solutions, Bayer Intellectual Property GmbH and Bayer Pharma AG (BAYRY) filed suit against Perrigo in the United States District Court for the District of Delaware, alleging patent infringement
- This action formally initiates the process under the Hatch-Waxman Act. Perrigo confirms that it is a first filer for this opportunity, entitling it to 180 days of generic exclusivity
7:55 am Healthsouth announced it has entered into a definitive agreement to acquire privately held EHHI Holdings for ~$750 mln (HLS) : Co announced it has entered into a definitive agreement to acquire privately held EHHI Holdings, Inc., which owns Encompass Home Health and Hospice, for approximately $750 millio. The transaction was approved by both companies' boards of directors and is expected to close before the end of 2014. J.P. Morgan Securities LLC is acting as exclusive financial advisor to HealthSouth. Skadden, Arps, Slate, Meagher & Flom LLP is acting as legal advisor to HealthSouth.
7:53 am China Ming Yang Wind Power reports Q3 EPS of $0.09; revs rose 79% YoY to $279.7 mln - no ests (MY) :
- The 78.7% increase in revenue was mainly due to a 72.6% increase in the number of WTGs commissioned compared with the third quarter of 2013.
- As of September 30, 2014, the company's order backlog amounted to 3.7GW, representing 1,187 units of 1.5MW WTGs, 873 units of 2.0MW WTGs, 59 units of 3.0MW SCD WTGs and 1 unit of 6.0MW SCD WTG.
7:45 am Navios Maritime misses by $0.03, beat on revs (NM) : Reports Q3 (Sep) loss of ($0.20) per share, $0.03 worse than the Capital IQ Consensus Estimate of ($0.17); revenues rose 25% year/year to $152.6 mln vs the $133.1 mln consensus.
As of November 19, 2014, Navios Holdings has chartered-out 96.8% and 17.9%, including index-linked charters of available days for 2014 and 2015, respectively, which are expected to generate $201.9 million and $26.1 million in revenue, respectively.
- The average daily charter-out rate for the core fleet is $12,167 and $20,062 for 2014 and 2015, respectively.
- The average daily charter-in rate for the active long-term charter-in vessels for 2014 is $13,389.
- The above figures do not include the fleet of Navios Logistics and vessels servicing Contracts of Affreightment.
7:44 am Seagate Tech intends to offer up to $300 mln senior notes in a private placement; also announced that HDD Cayman intends to redeem 6.800% Senior Notes due 2016 (STX) : The Notes are expected to be issued by Seagate HDD Cayman, an indirect wholly owned subsidiary of Seagate Technology plc, and guaranteed by Seagate. HDD Cayman intends to use the net proceeds from the offering, along with available cash, to fund the redemption of all of its remaining outstanding 6.800% Senior Notes due 2016.
7:36 am Gilat Satellite announced that it signed agreements to provide SkyEdge II-c terminals to three ISPs subscribing to SES Broadband Services' Astra Connect service offering (GILT) : Italy's RDN, Switzerland's incumbent Swisscom and the UK's Europasat are distributing Astra Connect Internet services via satellite to enterprise and consumer users in their respective markets.
7:35 am Ariad Pharm announced the marketing approval of Iclusig (ponatinib) in Australia (ARIA) : Co and Specialised Therapeutics Australia Pty Ltd (STA.V), announced the marketing approval of IclusigTM (ponatinib) in Australia by the Therapeutic Goods Administration (TGA). The Australian Product Information for Iclusig states that it is indicated for the treatment of adult patients with:
- Chronic phase, accelerated phase, or blast phase chronic myeloid leukaemia whose disease is resistant to, or who are intolerant of at least two prior tyrosine kinase inhibitors; or where there is a T315I mutation.
- Philadelphia-chromosome positive acute lymphoblastic leukaemia (Ph+ ALL) whose disease is resistant to, or who are intolerant of dasatinib and for whom subsequent treatment with imatinib is not clinically appropriate; or where there is a T3151 mutation.
7:34 am US Cellular announced it is to issue debt (USM) : Co announced that its Board of Directors has authorized U.S. Cellular to issue debt securities under its existing Form S-3 Registration Statement and/or enter into new lines of credit or other credit arrangements with one or more banks or financial institutions, including term loans, up to a maximum aggregate amount of $500 mln.
7:32 am Rigel Pharma announces retirement of CEO; Raul Rodriguez named CEO and appointed to the Board, Gary Lyons named Chairman (RIGL) : Co announced James M. Gower is retiring from the board of directors and from his positions as chairman and chief executive officer, and Raul Rodriguez, most recently serving as the company's president and chief operating officer, will assume the position of chief executive officer and join the board of directors.
- Gary Lyons, a member of Rigel's Board of Directors since 2005, will become chairman. Mr. Gower is expected to remain an employee until the end of the year and, thereafter will be a consultant to the company providing advice on strategy, business development and other matters.
7:32 am Supernus Pharma announces issuance of fifth U.S. patent protecting Trokendi XR (SUPN) : Co announced the issuance of a fifth patent (number 8,889,191) by the United States Patent and Trademark Office (:USPTO) covering Trokendi XR, its novel once-daily extended-release topiramate product. The patent provides protection for the product with expiration that is no earlier than 2027.
7:32 am Sealed Air extended until 5pm ET, on November 28, its previously announced solicitation of consents from holders of its 8.375% senior notes due 2021 (SEE) : Holders who have previously delivered consents do not need to redeliver such consents or take any other action in response to this announcement in order to consent or receive the consent payment upon the successful conclusion of the Consent Solicitation.
7:32 am Enanta Pharmaceuticals beats by $0.09, beats on revs (ENTA) : Reports Q3 (Sep) loss of $0.27 per share, $0.09 better than the Capital IQ Consensus Estimate of ($0.36); revenues rose 100.0% year/year to $2.6 mln vs the $1.63 mln consensus.
"With over $131 million in cash and securities, as well as pending U.S. and European regulatory approvals that are anticipated to generate milestone payments and then royalties for us, the company will be well funded to advance our wholly-owned HCV programs and our other internal programs."
7:32 am Dominion this month acquired West Antelope Solar Park, a 20-megawatt solar energy facility, from Canadian Solar (CSIQ) (D) : With the addition of West Antelope Solar Park, Dominion has 344 megawatts of solar generating capacity -- about 220 megawatts of which are in California -- in development, under construction or in operation across six states. Dominion Virginia Power, an electric utility serving 2.5 million customer accounts in Virginia and northeast North Carolina, also has various projects in operation or under development as part of its Solar Partnership Program.
7:31 am America First Tax Exempt Investors announced that it acquired at par 6 mortgage revenue bonds secured by three properties located in Hesperia, California on November 20, 2014 (ATAX) :
7:30 am CGI Group and AMF extended long-term relationship by signing a new contract for the delivery of comprehensive IT infrastructure services over the next seven and a half years (GIB) :
7:30 am Newlink Genetics & Merck (MRK) enter into licensing and collaboration agreement for investigational ebola vaccine (NLNK) : Merck (MRK), known as MSD outside the United States and Canada, and NewLink Genetics Corporation (NLNK), announced that they have entered into an exclusive worldwide license agreement to research, develop, manufacture, and distribute NewLink's investigational rVSV-EBOV (Ebola) vaccine candidate. The vaccine candidate, originally developed by the Public Health Agency of Canada (:PHAC), is currently being evaluated in Phase I clinical trials.
7:29 am NXP Semi intends to offer $1 bln aggregate principal amount of cash convertible senior notes due 2019 (NXPI) : The co intends to use the net proceeds from the offering of the Notes to fund the cost of entering into the cash convertible note hedge transactions with certain hedge counterparties, as described below, to repay up to 225 million in respect of intercompany loans to its subsidiaries, to fund the repurchase of up to $250 million of its common stock, up to $150 million of which is expected to be purchased from purchasers of the Notes in the offering in privately negotiated transactions through one of the initial purchasers or its affiliate conducted concurrently with the pricing of the Notes, and the balance of which is expected to be purchased in the open market after the pricing of the Notes and for general corporate purposes, including additional share repurchases and potential acquisitions.
7:28 am On The Wires (:WIRES) :
- NovaBay Pharmaceuticals, Inc. (NBY) announced that it has published a scientific white paper clarifying the relationship between the company's two related categories of products and explaining how each targets pathogens and inflammation.
- NICESystems (NICE) announced its latest release of the NICE Fizzback Voice of the Customer solution, which offers organizations a more holistic understanding of what customers are saying about them by capturing data from all VoC sources, whether via Fizzback or from third-party market research surveys, company websites, and social media feeds.
- T-Systems and Informatica Corporation (INFA) have joined ranks to provide customers with a comprehensive Cloud-based integration and data management service. The service enables customers to integrate data and applications from all sources, including those residing within public or private clouds and those in on-premise environments.
7:26 am Asian Markets Close: Nikkei CLOSED, Hang Seng +2.0%, Shanghai +1.9% (:SUMRX) :
- Markets rallied across Asia, supported by the People's Bank of China rate cut that came following Friday's close.
- Japan's Nikkei was shuttered in observance of Labor Thanksgiving Day.
- Hong Kong's Hang Seng (+2.0%) rallied to a one-week high. Real estate stocks surged as China Overseas Land & Investment and China Resources Land jumped 11.0% and 10.45, respectively.
- China's Shanghai Composite (+1.9%) rallied to its best levels since September 2011. Real estate developed Poly Real Estate and brokerage firm GF securities both gained the limit, 10%.
- India's Sensex (+0.6%) put in another record high. IT service providers were bid as Infosys, Tata Consultancy Services, and Wipro added between 1.3% and 3.1%.
- Australia's ASX (+1.1%) gained for just the second time in 11 days. Heavyweight BHP Billiton gained 3.8% after announcing $1 bln worth of cost cuts in FY2016.
- Regional Decliners: Vietnam -0.9%...Singapore -0.1%
- Regional Advancers: Taiwan +0.3%...Indonesia +0.6%...Philippines +0.7%...Thailand +0.7%...South Korea +0.7%...Malaysia +1.4%
- Fx: USDCNY ticked up to 6.1350...USDINR added 0.3% to 61.87...USDJPY +45 pips @ 118.25...AUDUSD -35 pips @ .8630
7:14 am American Tower and Bharti Airtel Limited announced that they have entered into a definitive agreement for the sale of over 4,800 of Airtel's communications towers in Nigeria; terms not disclosed (AMT) : Airtel will be the anchor tenant on the portfolio under a lease with a ten-year initial term. American Tower and Airtel expect to close the acquisition during the first half of 2015, subject to customary closing conditions and regulatory approval.
7:07 am Euro Firms as German Ifo Tops Estimates: 10Y: -05/32..2.328%..USD/JPY: 118.25..EUR/USD: 1.2407 (:SUMRX) :
- The Dollar Index holds small losses as trade presses session lows near 88.25.
- The early weakness has the Index slipping off its best level since June 2010.
- EURUSD is +25 pips @ 1.2410 as action fights to hold 27-month lows. The single currency has climbed to its best levels of the day after the German Ifo Business Climate (104.7 actual v. 103.0 expected, 103.2 previous) beat, but the bulls remain at risk until they are able to clear 1.2600. Click here to see a daily Dollar Index chart.
- GBPUSD is +15 pips @ 1.5670 as trade lingers near 14-month lows amid a quiet day for news and data out of the UK. Sterling has spent the past couple of weeks stuck between 1.5600/1.5700 as neither bulls nor bears have been able to gain the upper hand.
- USDCHF is -10 pips @ .9685 after threatening 16-month highs. Over the weekend, Swiss National Bank head Thomas Jordan warned a 'YES' vote for the Swiss gold referendum would be harmful to the economy. Action threatened the early-November highs as trade spiked to .9730 after the in-line employment level (4.23M actual v. 4.22M expected), but quickly reversed to the lows as the euro gained strength.
- USDJPY is +50 pips @ 118.25 as trade holds near seven-year highs. The overnight bid comes as Japanese banks were closed in observance of Labor Thanksgiving Day.
- AUDUSD is -25 pips @ .8640 as some selling takes hold. The hard currency threatened .8700 before giving up those gains in early morning trade. USDCNY added 0.2% to 6.1350 in the first day of trading following the PBOC rate cut.
- USDCAD is +15 pips @ 1.1245 amid a mostly uneventful trade. The pair has so far been able to hold 1.1200 support and the 50 dma.
7:04 am Implant Sciences has won competitive contract for 18 QS-H150s to be shipped to a county in the EMEA region (IMSC) : "Ultimately, based on feedback from the customer, we believe that Implant Sciences was awarded this contract due to the outstanding performance of our QS-H150. In a direct, side by side comparison, our handheld device proved superior over competing systems in detecting trace levels of a range of explosives."
7:03 am United Tech CEO Louis Chenevert has informed the Board of Directors of his retirement, effective immediately; CFO Hayes elected CEO; co reaffirms FY15 guidance (UTX) : Louis Chenevert has informed the Board of Directors of his retirement as Chairman and Chief Executive Officer, effective immediately.
- Gregory Hayes, UTC Senior Vice President and Chief Financial Officer, has been elected President, Chief Executive Officer and a director. Edward A. Kangas, lead independent director, has been elected non-executive Chairman of the board.
7:03 am Endo Health acquires rights to Natesto Testosterone Nasal Gel for $25 mln upfront (ENDP) : Co announced today the acquisition of rights to Natesto (testosterone nasal gel), the first and only testosterone nasal gel for replacement therapy in adult males diagnosed with hypogonadism, from Trimel BioPharma SRL.
- Under the terms of the agreement Trimel will receive an upfront payment of $25 million and could receive additional payments upon the achievement of certain regulatory and sales milestones.
- Under the terms of the agreement, Endo receives sole and exclusive commercial rights to the Natesto product in the US and Mexico.
7:02 am Insys Therapeutics announced that the FDA has granted orphan drug designation to its pharmaceutical cannabidiol candidate for the treatment of pediatric schizophrenia (INSY) : "We are excited to explore the potential utility of our CBD candidate for this severe disorder alongside the other indications for which it has been granted ODD. We look forward to dosing our first human subjects with CBD in a Phase I clinical trial, which we expect to take place in early 2015."
7:02 am Bill Barrett announces successful settlement on Cottonwood Gulch Asset (BBG) :
- Co announced that the Company entered into a settlement agreement with the Department of Interior and certain conservation organizations regarding its Cottonwood Gulch natural gas asset located on the Roan Plateau of Northwest Colorado.
- Under the settlement, the Department of Interior cancels approximately 36,000 gross acres of the 40,650 gross acres under lease and Bill Barrett Corporation receives a lease bonus refund of $42.3 million net to the Company.
7:02 am JinkoSolar Holding to supply 7MW solar PV modules to Almacen Sustentable in Mexico (JKS) : AS Solar is a Mexican company that provides innovative and sustainable energy solutions through its strategic alliances and over 120 international partners.
7:02 am Stifel Financial to acquire Merchant Capital, LLC, a public finance investment banking firm in Montgomery, Alabama -- terms not disclosed (SF) : Co will acquire Merchant Capital, LLC, a public finance investment banking firm headquartered in Montgomery, Alabama, which together with offices in Atlanta, GA and Columbia, SC, serve the Southeastern market. The strategic combination of Stifel and Merchant Capital is expected to further strengthen Stifel's position in several key underwriting markets in the Southeast.
7:01 am CollabRx announces receipt of Nasdaq notice of bid price deficiency stating that the bid price of the company's common stock for the last 30 consecutive business days had closed below the minimum $1.00 per share required (CLRX) : CollabRx is provided a grace period of 180-calendar days, or until May 18, 2015, to regain compliance with the minimum bid price requirement. The co's management intends to resolve the situation to allow for continued listing on the Nasdaq Capital Market.
7:01 am Southcross Energy Partners announced that it has completed the acquisition of a natural gas gathering system in McMullen County, Texas; terms not disclosed (SXE) : The acquired system consists of eight miles of gathering pipelines within two miles of Southcross' existing rich gas pipeline network and services customers under acreage dedication contracts. The system was placed into service in 2010.
7:01 am Sunesis Pharma announces publication of REVEAL-1 Trial results in the British Journal of Haematology; further support our goal of establishing vosaroxin as a new standard of care in AML (SNSS) :
- Common (>20%) grade >=3 adverse events were thrombocytopenia, febrile neutropenia, anemia, neutropenia, sepsis, pneumonia, stomatitis, and hypokalemia. Overall CR and CR/CRp rates were 29% and 32%; median overall survival (:OS) was 7.0 months; 1-year OS was 34%. Schedule C (72 mg/m2) had the most favorable balance of safety and efficacy, with faster hematologic recovery (median 27 days) and lowest incidence of aggregate sepsis (24%) and 30-day (7%) and 60-day (17%) all-cause mortality. At this dose and schedule, CR and CR/CRp rates were 31% and 35%, median OS was 7.7 months, and 1-year OS was 38%.
- As recently announced, based on results of the VALOR trial, Sunesis has commenced a marketing authorization application (MAA) with the European Medicines Agency (EMA.TO) and plans to meet with the U.S. Food and Drug Administration to determine the appropriate regulatory path forward for vosaroxin in the treatment of relapsed or refractory AML.
7:00 am Westmoreland Coal announces intention to raise $400 mln of senior secured notes due 2021 (WLB) :
- Co announced today that it intends to offer, subject to market conditions, ~$400 million in principal amount of Senior Secured Notes expected to mature in 2021. Westmoreland made the announcement in connection with its marketing efforts for a Senior Secured Term Loan due 2020.
- The consummation of the private placement of the Notes will be subject to market and other conditions.
7:00 am NGL Energy Partners acquired two salt water disposal facilities for a total cost of $34.6 mln in cash (NGL) : Co announced that it has acquired two salt water disposal facilities from WaterWorks Corral Creek and Saltwater Disposal Systems respectively for a total cost of $34.6 million in cash. The acquisition, which includes 13 employees, represents NGL Water Solutions' entrance into the Bakken shale play in North Dakota.
7:00 am GOL Linhas Areas Inteligentes S.A. releases Oct. traffic data; Domestic load factor reached 79.4% (GOL) :
- Domestic load factor reached 79.4%, 4.8 p.p. up year over year, a record figure for the month of October, and the highest load factor since July 2006, with a year to date load factor reaching 77.3%.
- In October, the number of paid passengers transported in the domestic market reached 3.3 million, 7% up on the same period last year. Year to date, GOL transported 32.5 million passengers in the domestic and international markets, 10% up on the same period in 2013
6:59 am Synthetic Biologic annoounced it is safe-to-proceed under IND to initiate clinical trials of SYN-004 for the prevention C. difficile infection (SYN) :
- Co announced that its Investigational New Drug application which was submitted to the FDA in October will be proceeding into clinical trials for the development of the Company's oral beta-lactamase enzyme SYN-004 for the prevention of Clostridium difficile infection, antibiotic-associated diarrhea and secondary infections with healthcare-acquired, drug-resistant pathogens in patients receiving intravenous beta-lactam antibiotic therapy.
- Synthetic Biologics plans to begin Phase 1a and 1b clinical trials shortly, with topline data expected to be reported before year-end.
6:57 am AstraZeneca announced that Duaklir Genuair has been granted Marketing Authorization by the European Commission to be used as a maintenance bronchodilator treatment to relieve symptoms in adult patients with chronic obstructive pulmonary disease (AZN) : The EU approval of Duaklir Genuair was based on efficacy and safety data from more than 2,000 patients in 11 clinical studies, conducted in 29 countries worldwide. Results showed that Duaklir Genuair demonstrated statistically significant and sustained improvement in the lung function compared to monotherapy, providing a favourable benefit-to-risk profile.
6:46 am S&P futures vs fair value: +4.00. Nasdaq futures vs fair value: +8.00. :
6:46 am European Markets : FTSE...6,745.44...-5.30...-0.10%. DAX...9,804.25...+72.20...+0.70%.
6:46 am Asian Markets : Nikkei...Holiday......... Hang Seng...23,893.14...+456.00...+2.00%.
6:38 am On The Wires (:WIRES) :
- Nam Tai Property (NTP) reminded its shareholders that while its share repurchase program is scheduled to terminate on November 30, 2014, since November 29 and November 30 are Saturday and Sunday, respectively, and no trading may be completed during those dates, Nam Tai will effectively close its share repurchase program at the close of business on Friday, November 28, 2014.
- China Information Technology (CNIT) announced that it has won contracts to install 10,000 units of its cloud-based new media elevator terminals in Jiangxi province. For the first 4,000 units, the Company will receive one-time sales income for the physical terminals as well as reoccurring monthly platform service fees. For the remaining 6,000 terminals, the Company will receive recurring monthly fees that include terminal rental and platform service fees. The installations are expected to be completed by the end of 2015.
- JetBlue Airways (JBLU) is partnering with content providers Coursera, FOX (FOXA), HarperCollins Publishers, National Geographic, Rouxbe and Time Inc. (TIME) to offer customers more free content than any other U.S carrier in the sky. The Fly-Fi Hub is the new gateway to JetBlue's Fly-Fi offering, the fastest Wi-Fi in the sky, and went live this morning.
- Acacia Research Corporation (ACTG) announced that its Parallel Separation Innovations LLC subsidiary entered into a Settlement and Release Agreement with Axiom Process, LLC and Axiom Process Ltd. The agreement resolved litigation that was pending in the United States District Court for the Eastern District of Texas.
- Ascent Solar Technologies (ASTI) announced the company's new distribution partnership with Navarre, a business unit of WYNIT Distribution.
- Columbia Sportswear (COLM) announced the grand opening of its flagship Columbia brand's first branded store in New York City. Located at 345 W. 14 Street, in between 8th and 9th Avenue in New York's Meatpacking District, the retail store opens on November 24 and will offer an extensive range of Columbia's innovative outerwear, apparel and footwear.
6:34 am RCS Capital announced that certain broker-dealers have resumed sales of products distributed by Realty Capital Securities, pursuant to 51 recently reinstated selling agreements (RCAP) : The co has 1,020 active selling agreements and works with over 250 firms to distribute alternative investment solutions.
- The co also announced that it's management team remains confident in the long-term value of RCS Capital's platform, as highlighted by the recent purchase of RCS Capital common stock by a number of senior executives.
6:32 am SunEdison and Renova Energia announce JV to develop 1 gigawatt of utility scale solar energy in Brazil (SUNE) : SUNE and Renova Energia S.A., the largest renewable energy company in Brazil, announced that they have created an exclusive joint venture to develop, own, and operate 1 gigawatt of utility scale solar photovoltaic (PV.V) energy which will supply the Brazilian Regulated Electricity Market.
- Renova and SunEdison will each own a 50% stake in the joint venture.
6:30 am Yingli Green Energy announced that it has signed a landmark agreement to supply 120 MW of YGE 72 Cell solar panels for a 300 MW project in France (YGE) :
- Co announced that it has signed a landmark agreement to supply 120 MW of YGE 72 Cell solar panels for a 300 MW project in France. Upon completion this will be the largest solar power park in Europe.
- According to the agreement, Yingli Solar will ship more than 393,000 multicrystalline panels between December 2014 and June 2015.
- The EUR 360 million project is being developed by Neoen.
6:25 am Viad Corp announced that it completed the acquisition of N200 Limited and affiliates; terms not disclosed, acquisition is expected to be dilutive to Viad's 2015 earnings, due to upfront integration costs, and accretive thereafter (VVI) : N200 Limited is a leading event registration and data intelligence firm with offices in the
- As mentioned, Prosensa Holding (RNA) is being acquired by Biomarin Pharm (BMRN) for $17.75 per share, representing a 55% premium to Friday's closing price. Prosensa's current portfolio includes six compounds for the treatment of Duchenne muscular dystrophy (DMD).
- Other companies working on Duchenne muscular dystrophy (DMD) candidates could see strength on deal, given substantial premium:
- Sarepta Therapeutics (SRPT): Lead program eteplirsen is for Duchenne muscular dystrophy. In late Oct. SRPT announced an update on Eteplirsen, noting the FDA guidance states that additional data are now required as part of the NDA submission, including the results from an independent assessment of dystrophin images and the 168-week clinical data from study 202. Sarepta now plans to submit an NDA by mid-year 2015.
- PTC Therapeutics (PTCT): In May PTCT received a positive opinion from the CHMP for marketing approval for Translarna (ataluren) an investigational new drug in the US, for nonsense mutation Duchenne muscular dystrophy and we recently received the approval from the European Commission granting the conditional marketing authorization.
6:21 am Onex Corp to acquire SIG Combibloc Group AG for up to $4.66 bln (ONEXF) : Based in
- Co announced that the companies have entered into a definitive merger agreement under which RenaissanceRe will acquire Platinum. Under the terms of the transaction, the common shareholders of Platinum will receive $76.00 per common share in stock and cash, or ~$1.9 bln.
- RenaissanceRe expects the transaction to be accretive to book value per share and earnings per share and that the combined company will have substantial financial strength and flexibility post-closing.
- The aggregate consideration for the transaction will consist of 7.5 mln RenaissanceRe common shares, valued at ~$761 mln, and $1.16 bln of cash. The cash consideration will be funded through a pre-closing dividend from Platinum, RenaissanceRe available funds and the proceeds from the issuance of new senior debt.
- The acquisition price of $76.00 represents a 24% premium to Platinum's closing price per common share as of November 21, 2014. At closing, Platinum shareholders will receive a $10.00 per share special pre-closing dividend and will be entitled to elect to receive, for each Platinum share held, either (i) $66.00 in cash, (ii) 0.6504 RenaissanceRe common shares or (iii) 0.2960 RenaissanceRe common shares and $35.96 in cash.
- All elections will be subject to proration such that RenaissanceRe issues exactly 7.5 mln common shares. Following completion of the transaction, Platinum's existing shareholders will own ~16% of RenaissanceRe's outstanding shares.
6:09 am Quanta Services announced that it has acquired the business of Banister Pipelines Corp; financial terms not disclosed (PWR) : The acquisition strategically expands the co's Canadian mainline pipeline services offering across
- As a Quanta company, the business will operate under the name Banister Pipelines Constructors Corp. The company is expected to generate ~$350 mln in revenue for the full year of 2015.
6:08 am Transition Therapeutics announced results from a thorough QT study in which no QT effects were observed at supra-therapeutic single doses of neuropsychiatric drug candidate, ELND005 (TTHI) : Co announced results from a thorough QT (tQT) study in which no QT effects were observed at supra-therapeutic single doses of neuropsychiatric drug candidate, ELND005. Single doses, 2000mg and 7000mg of ELND005, appeared to be safe and well-tolerated by healthy subjects in this study.
- Transition's wholly-owned subsidiary, Transition Therapeutics Ireland Limited presented the tQT study data at the Clinical Trials in Alzheimer's Disease conference on November 21, 2014.
6:08 am Prosensa Holding: Biomarin Pharm (BMRN) to purchase Prosensa Holding for $17.75 per share (RNA) : BioMarin Pharmaceutical (BMRN) and Prosensa Holding N.V. (RNA) announced that they have entered into a definitive agreement in which BioMarin will offer to purchase all of the outstanding ordinary shares of Prosensa for $17.75 per share, for a total up front consideration of ~$680 million. In addition, two ~$80 million contingent milestones are payable for the approval of drisapersen in the U.S. no later than May 15, 2016 and Europe no later than February 15, 2017, respectively.
- Acquisition of Prosensa provides near-term opportunity to commercialize, if approved, its exon-skipping drug candidate,drisapersen, for Duchenne muscular dystrophy
- Drisapersen is currently under a rolling review as part of a New Drug Application process and has Orphan, Fast Track and Breakthrough Therapy designation by the FDA
- Follow-on products leveraging Prosensa's same technology platform in the pipeline target an additional 35,000 DMD patients in BioMarin's commercial territories
6:06 am Trina Solar beats by $0.18, misses on revs (TSL) : Reports Q3 (Sep) earnings of $0.34 per share, excluding unrealized loss or gain in foreign exchange, $0.18 better than the Capital IQ Consensus Estimate of $0.16; revenues rose 12.5% year/year to $616.8 mln vs the $650.26 mln consensus. Earnings per fully diluted ADS was $0.14.
- Solar module shipments totaled 1,063.8 MW during the third quarter of 2014, compared to 943.3 MW in the second quarter of 2014, an increase of 12.8%
- Gross profit was $102.8 million, an increase of 28.1% from the second quarter of 2014
- Gross margin was 16.7%, compared to 15.4% in the second quarter of 2014
- The Company changes its 2014 guidance of total PV module shipments to between 3.61 GW and 3.66 GW, of which 340 MW to 360 MW of PV modules will be shipped to the Company's own downstream projects from the original guidance of total 3.6 GW to 3.8 GW including 400 MW to 500 MW of shipment to its own downstream projects. Revenues will not be recognized for the modules shipped to the Company's own projects as required by U.S. GAAP.
- The company expects to complete between 330 MW and 360 MW of downstream solar projects by the end of 2014, as compared to the original guidance of 400 MW to 500 MW projects be completed by the end of 2014.
- This change is mainly due to the cancellation of a 130 MW solar farm project in Inner Mongolia after the Company conducted a thorough analysis on the project's return. The Chinese government's policy change will impact the development of the Company's pipeline to a certain extent.
6:04 am Westlake Chemical announces a new $250 mln share repurchase program (WLK) :
- Co authorized the company to repurchase up to $250 mln in shares of its common stock under a new share repurchase program.
- This program is effective immediately.
6:04 am JDS Uniphase: Glass Lewis and Egan-Jones recommend shareholders vote 'For' all JDSU director nominees (JDSU) : JDSU noted that independent proxy advisory firms Glass Lewis & Co and Egan-Jones Proxy Services have recommended that JDSU shareholders vote "FOR" the election of ALL JDSU director nominees at the Company's 2014 Annual Meeting of Stockholders to be held on December 5, 2014. The JDSU Board encourages shareholders to vote "FOR" ALL of JDSU's director nominees: Keith Barnes, Timothy Campos, Penelope A. Herscher, Masood A. Jabbar, Martin A. Kaplan and Thomas Waechter.
The Company also issued the following statement regarding a recent report by Institutional Shareholder Services recommending that JDSU shareholders vote "FOR" the election of all JDSU director nominees with the exception of Martin Kaplan, and "FOR" the remaining JDSU proposals:
"...JDSU disagrees with the conclusions in ISS' report regarding the Company's corporate governance practices and believes it is important to correct certain factual inaccuracies. No shareholder, either orally or in writing, has asked JDSU at any time to include a proposal in the Company's proxy statement for JDSU's 2014 annual meeting of stockholders. Additionally, no shareholder has indicated to JDSU at any time that it intended to submit an alternate slate of directors. In fact, ISS' report notes that Sandell Asset Management stated to ISS that Sandell never had any intention of submitting an alternate slate of directors..."
5:55 am Aviva disclosed on Friday of possibility all share combination of Aviva plc and Friends Life Group (AV) : The Boards of Aviva and Friends Life note the recent press speculation and confirm that they have reached agreement on the key financial terms of a possible all share combination of Aviva and Friends Life
- The Board of Friends Life has indicated to Aviva that it is willing to recommend the key financial terms of the Possible Offer (as set out below) to Friends Life shareholders, subject to reaching agreement on the other terms and conditions of any offer and the completion of mutual due diligence. Any transaction would be subject to regulatory approval.
- Aviva would acquire the entire ordinary share capital of Friends Life on the basis of an exchange ratio of 0.74 Aviva ordinary shares for each Friends Life ordinary share.
- Based on Aviva's closing share price on 21 November 2014, the Possible Offer represents an indicative value of ~398.9 pence per Friends Life share (not including the value of the Friends Life final dividend for 2014 and the Value Share) representing an indicative premium of 15% to Friends Life's closing share price on 21 November 2014 and an indicative premium of 28% to Friends Life's three month average share price of 310.7 pence.
- Under the terms of the Possible Offer, Friends Life shareholders would own approximately 26%. of the enlarged group.
5:46 am Cimatron: 3D Systems (DDD) to acquire Cimatron for $8.97 per share (CIMT) : 3D Systems (DDD) and Cimatron (CIMT) announced a definitive agreement under which 3DS will acquire all of the outstanding shares of Cimatron for $8.97 per share in cash, subject to certain adjustments for Cimatron transaction expenses, for a total of ~$97 million, inclusive of its net cash.
- The Boards of Directors of both companies have unanimously approved the proposed transaction.
- The companies expect the transaction to close in the first quarter of 2015.
5:07 am Syngenta updates its program of accelerating operational leverage in Switzerland (SYT) : Co announced important steps in the implementation of the Accelerating Operational Leverage program announced in February 2014. The program targets global savings of $1 billion by 2018 and has three main pillars: Commercial; Research and Development; and Global Operations. Measures are targeted at enhancing commercial effectiveness, improving the speed of innovation and attaining industry-leading cost efficiency.
- The actions being implemented from today will result in job reductions and relocations globally including around 500 operational roles in Basel, of which approximately two thirds will be relocated. The total Swiss employee population is currently 3,400.
- Simplified structures for key global functions
- Certain activities moving to lower cost locations
- Increasing profitability and maintaining focus on innovation
5:03 am BHP Billiton provides operating targets and update; targeting $4 billion of annualised productivity gains in its core portfolio by the end of the 2017 (BHP) : Co increased its target for productivity gains within its core portfolio and provided new guidance that highlighted its ability to reduce investment without compromising growth. It also provided updates on its Copper and Coal businesses.
- BHP Billiton is now targeting $4 billion of annualised productivity gains in its core portfolio by the end of the 2017 financial year, a $500 million increase on previous guidance.
- Improved capital productivity will allow planned investment to be reduced from $14.8 billion to $14.2 billion in the 2015 financial year and to $13 billion in the 2016 financial year with no change to expected production growth.
- In Copper, productivity initiatives including low cost debottlenecking projects are expected to offset grade decline over the medium term.
- In Coal, we have re-established our competitive advantage by closing high-cost capacity and sustainably reducing costs.
4:17 am CNOOC Huizhou 25-8 Oilfield/Xijiang 24-3 Oilfield Xijiang 24-1 District joint development project commences production (CEO) : Co announced that the Huizhou 25-8 Oilfield/Xijiang 24-3 Oilfield Xijiang 24-1 District Joint Development Project has commenced production.
- This project is located in the Pearl River Mouth Basin of the South China Sea with an average water depth of approximately 100 meters. The main production facilities include 2 drilling and production platforms and 29 producing wells.
- Currently, there are 4 wells producing ~6,300 barrels of crude oil per day, and the project is expected to reach peak production of approximately 33,000 barrels per day in 2016.
4:00 am On The Wires (:WIRES) :
- Gap (GPS) and Zalando announced a partnership that will see Gap open its own dedicated online shop within Zalando. The American retailer will offer a broad assortment of clothing and accessories for Gap Women, Gap Men, GapKids and babyGap, bringing the brand to a broader European customer base beginning Summer 2015.
- ICL Industrial Products, a segment of ICL (ICL), announced that it has successfully completed the chemical process start-up of a new manufacturing facility in Israel for the production of FR-122P, ICL IP's new polymeric flame retardant.
3:45 am Dr. Reddy's announces the launch of Docetaxel Injection USP (RDY) : Co announced today that is has launched Docetaxel Injection USP 20 mg/mL and 80 mg/4 mL a therapeutic equivalent generic version of TAXOTERE (docetaxel Injection) in the US market on November 21, 2014. Dr. Reddy's ANDA is approved by FDA.
- The TAXOTERE brand and generic has U.S. sales of ~ $218 Million MAT for the most recent twelve months ending in September 2014 according to IMS Health.
2:47 am On The Wires (:WIRES) :
- CME Group (CME) announced the launch of trading and clearing services for the Iron Ore 58% Fe, Low Alumina, CFR China Futures contract. This new cash-settled futures contract will be listed on CME Globex and the NYMEX trading floor, and will be available for clearing on CME ClearPort for trade date Dec 8.
- Cogobuy Group announced that the Company has been adopted recently as a constituent of the MSCI (MSCI) Global Small Cap Indexes - China Index, effective from the market close on 25 November 2014.
2:07 am ASML outlines long-term growth opportunity at Investor Day; goal to reach EUR10 bln in sales by 2020 (ASML) :
- At its Investor Day, ASML will outline its expected opportunity to grow net sales to about EUR 10 billion and to triple earnings per share by 2020. ASML also announces that Taiwan Semiconductor Manufacturing Company (TSM) has ordered two NXE:3350B EUV systems for delivery in 2015 with the intention to use those systems in production.
- In addition, two NXE:3300B systems already delivered to TSMC will be upgraded to NXE:3350B performance.
2:05 am AEGON N.V. to sell its stake in La Mondiale Participations (AEG) : Aegon has reached an agreement to sell its 35% share in La Mondiale Participations to La Mondiale for EUR 350 mln, in line with IFRS book value.
- The proceeds will be added to the company's excess capital buffer and will increase the group's IGD solvency ratio by approximately 5 percentage points.
- Aegon's share in net underlying earnings of the partnership amounted to EUR 19 million in the first nine months of 2014.
1:34 am Novartis drug Signifor approved in EU, marking an advance for patients with inadequately controlled acromegaly (NVS) (NVS) : Co announced that the European Commission has approved Signifor as a new long acting release formulation for once monthly intramuscular injection to treat adult patients with acromegaly for whom surgery is not an option or has not been curative and who are inadequately controlled on treatment with a first-generation somatostatin analogue. Next-generation SSA Signifor offers the first alternative treatment option directly targeting the pituitary tumor for patients whose acromegaly remains inadequately controlled on currently available SSAs
- The approval is based on data from two multicenter Phase III studies, C2402 and C2305, which respectively evaluated patients with inadequately controlled acromegaly on first-generation SSAs, and medically na ve patients who were post- surgery, or newly diagnosed patients for whom surgery is contraindicated.
- Both studies showed Signifor to have superior efficacy in providing biochemical control, as measured by both GH and IGF-1 levels, compared to a first-generation SSA
1:31 am NXP Semi acquires wearable and Bluetooth Low Energy IC Business of Quintic (NXPI) : NXP Semiconductors announced that it has entered into a definitive agreement with Quintic to acquire assets and IP related to its Wearable and Bluetooth Low Energy IC business. This transaction contributes to NXP's drive to create security and connectivity solutions for fast-growing Internet-of-Things applications in Health & Fitness Wearables, Mobile Transactions, Proximity Marketing, Smart Home and Automotive.
1:26 am Jacobs announces retirement of President/CEO at year-end (JEC) : Co announced the retirement of Craig Martin as President and Chief Executive Officer and a member of the Board of Directors, effective on December 26, 2014, the last day of Jacobs' first quarter of fiscal 2015. He elected to retire for health reasons.
- The Board of Directors has appointed Noel G. Watson to serve as Executive Chairman until a new CEO is appointed. Watson has been Chairman of the Board since 2004, and was Chief Executive Officer from November 1992 to April 2006.
1:22 am Tekmira Pharma provides key highlights of Analyst and Investor Day (TKMR) : Co announced today an update from the Company's Analyst and Investor Day, which took place on November 21 in New York City. The event highlighted Tekmira's key products and clinical development plans, as well as corporate milestones for 2015 and beyond.
Key highlights from the meeting included the following:
- The Company announced its first regulatory filing, in the form of a Clinical Trial Application filed with Health Canada, to support its first TKM-HBV clinical trial.
- Human trials are expected to commence in early 2015, progressing to chronically infected patients in a multi-dosing regimen in the second half of 2015
- The Company introduced a new 'fourth generation' LNP, exhibiting significant increases in potency.
- Two TKM-HBV product candidates will enter Phase I trials in early 2015. Both product candidates will employ the same RNAi triggers but differ based on the version of LNP used in delivery (i.e. third or fourth generation)
- It is anticipated that proof-of-concept data for HBV surface antigen knockdown could potentially be available in 2015
- Tekmira announced completion of patient enrolment in the Phase I/II trial of TKM-PLK1 for the treatment of Gastrointestinal Neuroendocrine Tumors or Adrenocortical Carcinoma tumors.
- The Company remains on track to disclose interim data before the end of 2014
- Final data for these studies is expected in mid-2015
1:19 am Tutor Perini lead joint venture reaches $88.7 mln settlement on the Central Artery Project (TPC) : Co announced that the Tutor Perini-lead joint venture with partners Kiewit Corp. and Jay Cashman, Inc. has reached an $88.7 million settlement with the Commonwealth of Massachusetts on the Central Artery/Tunnel Project.
- As this litigation has ensued for 15 years, the Company is pleased to finally have both the judgment and an agreement to pay in place. Payment is expected before the end of the year.
1:15 am American Tower agrees to acquire TIM tower portfolio in Brazil (AMT) : American Tower announced that it has reached an agreement with TIM Celular, a wholly-owned subsidiary of TIM Participa es (TSU), to acquire two portfolios of towers in Brazil. The first portfolio includes ~5,240 towers. The second portfolio includes approximately 1,240 towers, which are subject to certain preemptive acquisition rights held by third parties.
- The total consideration is expected to be ~BRL3.0 billion (~$1.2 billion). American Tower intends to finance the acquisition in a manner consistent with its previously announced leverage targets.
- American Tower anticipates that the towers will generate ~BRL435 millions (~$171 million) in annual run rate revenues (which includes ground rent pass-through and existing collocation revenue), and ~BRL191 million (~$75 million) in annual gross margin.
1:10 am Spirit Realty Capital prices $510 mln A+ rated net-lease mortgage notes (SRC) : The notes will be issued in two classes of a 2014-4 Series, both of which are anticipated to be rated A+ by Standard & Poor's Ratings Services
- The $150 million principal amount of Class A-1 notes will have a stated interest rate of 3.5014%, and will be interest only with an anticipated repayment date in January 2020 and a legal final payment date in January 2045.
- The $360 million principal amount of Class A-2 notes will have a stated interest rate of 4.6291%, and have scheduled amortization beginning at 36 months after issuance with an anticipated repayment date in January 2030 and a weighted average life of 11.1 years and a legal final payment date in January 2045.
1:07 am CB Richard Ellis announces $3 billion credit facility proposal (CBG) : Co announced that it is in discussions with its lenders about potentially amending its existing credit agreement regarding its revolving credit facility and Tranche A term loan.
- The amendment would increase its revolving credit facility to up to $2.5 billion and refinance its existing Tranche A term loan with a new $500 million Tranche A term loan.
- As of September 30, 2014, there was a $149.2 million balance under the existing revolving credit facility and a $443.7 million balance on the existing Tranche A term loan.
1:04 am PS Business Parks announces sale of Arizona assets (PSB) : Co announced that on November 21, 2014, it completed the sale of three business parks located in Phoenix, Arizona. The parks consist of 42 buildings comprising approximately 656,000 square feet. Occupancy at the date of sale was 86.8%. Net proceeds from the sale, after transaction costs, were approximately $52.2 million. The Company has one remaining 23,000 square foot asset in Tempe, Arizona, which is under contract to sell.
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