iRobot plummets on report EU is set to block Amazon deal: 4 big deal reports
Investing.com — Here is your Pro Recap of 4 head-turning deal dispatches you may have missed this week: iRobot plummets on report EU is set to block Amazon deal, Spirit Airlines/JetBlue deal blocked by judge, Synopsys to buy Ansys, and Sekisui House to acquire MDC Holdings.
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iRobot Tesla plummets on report EU is set to block Amazon deal
iRobot (NASDAQ:IRBT) shares plummeted nearly 36% pre-market today following a report by the Wall Street Journal, which indicated that the EU regulators are likely to block Amazon's (NASDAQ:AMZN) planned acquisition of the company.
iRobot shares have declined more than 60% since the start of the month.
Last week, it was reported that Amazon had not proposed any solutions to the concerns raised by the EU antitrust regulators regarding its proposed $1.4 billion acquisition of iRobot. The companies had a deadline of Jan 10 to make an offer to tackle European Union objections.
Back in November, the European Commission's competition authorities had issued a preliminary warning to Amazon. They indicated that the acquisition might limit competition in the robot vacuum cleaner sector, signaling their expectation for Amazon to offer solutions to address these concerns.
Spirit Airlines shares plunge as JetBlue deal blocked by judge
Shares of Spirit Airlines (NYSE:SAVE) experienced a sharp decline of over 47% on Tuesday. This significant drop followed a decision by a federal judge to block JetBlue Airways' (NASDAQ:JBLU) proposed $3.8B acquisition of its low-cost rival. The judge ruled that the merger would significantly reduce competition in the industry.
"JetBlue plans to convert Spirit's planes to the JetBlue layout and charge JetBlue's higher average fares to its customers," said U.S. District Court Judge William Young in his decision. "The elimination of Spirit would harm cost-conscious travelers who rely on Spirit's low fares."
Synopsys to buy Ansys in $35B deal
Shares of ANSYS (NASDAQ:ANSS) dropped over 5% on Tuesday following the announcement that the company has to be acquired by Synopsys (NASDAQ:SNPS) for approximately $35B in cash and stock.
According to the acquisition terms, shareholders of Ansys will receive $197 in cash and 0.3450 shares of Synopsys for each share of Ansys they hold. This valuation is based on Synopsys' closing price as of December 21, 2023, bringing the enterprise value to around $35B.
The transaction is anticipated to be closed in the first half of 2025.
Japan's homebuilder Sekisui House to acquire MDC Holdings for $4.9B
Japanese house manufacturer Sekisui House (OTC:SKHSY) and U.S. homebuilder MDC Holdings (NYSE:MDC) announced an agreement for the former to buy the latter in an all-cash transaction. MDC stock surged more than 18% yesterday following the news.
The deal, valued at approximately $4.9B, is set to strengthen Sekisui House's presence in the U.S. housing market, the press release said.
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iRobot plummets on report EU is set to block Amazon deal: 4 big deal reports
