Financial services group ING Barings (ING) - Get Report said it would buy ReliaStar Financial (RLR) , the eighth-largest publicly held U.S. life insurer, in a $6.1 billion deal including $1 billion of existing ReliaStar debt. ING agreed to pay $54 for each ReliaStar share, and said it expected after-tax synergy benefits of $25 million in 2001, rising to $65 million by 2005.
ING Barings gained 1 7/8 to 55 13/16, while ReliaStar hopped 6 3/4, or 15.3%, to 50 3/4.
pulled its ABC network from media company
cable systems in 11 cities around the U.S. after the companies could not come to terms on a new contract. Disney lost 1 3/16 to 42 7/16, while Time Warner slipped 15/16 to 89.
Mergers, acquisitions and joint ventures
entered a five-year marketing agreement under which Homestore.com will be the leading provider of real estate listings on the online service. The deal is valued at more than $200 million. Homestore.com added 4 5/8, or 25.3%, to 22 7/8, while America Online dropped 3/8 to 59 5/8.
said they are in a pact to sell products managing diesel fluids. General Electrics lifted 2 1/8 to 159 3/8, while Lubrizol moved down 1/4 to 25 3/8.
AT&T Broadband unit have agreed to form an alliance to enable customers to print content from their television sets, the companies announced. Hewlett-Packard rose 4 to 139, while AT&T traded up 2 7/8, or 6.3%, to 48 3/4.
and content management products developer
said they've signed an agreement to form a new company that will enable owners of "branded high-value content," such as sports and entertainment, to produce and sell audio and video content over the Internet.
reported terms of the agreement call for Intel to contribute its Interactive Media Services division and invest $150 million in exchange for 60 percent of the new company's equity. Excalibur will combine its entire business operations with those of the new company, with Excalibur stockholders receiving 40 percent ownership in the new company in exchange for their Excalibur stock. Excalibur shareholders will receive one share of stock in the new company for each share they hold of Excalibur. Other financial details were not disclosed. Intel edged up 5/16 to 127 1/8, while Excalibur staggered 1 5/8 to 33 7/8.
, the manufacturer of specialty chemicals, said it has ended negotiations for a possible merger with specialty-materials maker
. ISP ascended 3/16 to 6 1/16, while Dexter slumped 7/16 to 54 7/16.
said it had reached an agreement with
to pay $24 a share, or a total of $1.8 billion, for the U.S. vitamin and nutritional supplement maker. Rexall Sundown boosted 4 3/16, or 21.8%, to 23 7/16.
said it has raised $50 million each from
and formed strategic relationships with both companies. Safeguard Scientifics gained 7 1/8, or 16.9%, to 49 1/4; Compaq moved up 1/16 to 29 9/16; IBM increased 3/8 to 111 7/8.
said it will buy
Shared Medical Systems
, a healthcare software and service provider, for $2.1 billion. Shared Medical System jumped 29 3/16, or 70.4%, to 70 5/8.
said it closed its $425 million deal to sell its B-Line Systems unit to
, an electric products maker. The unit brought in $253 million in revenue in 1999. Sigma-Aldrich decreased 5/16 to 29 1/16.
A group of utility companies in the Pacific Northwest plans to form a stand-alone transmission company to which they propose transferring control of their powerline assets,
The Wall Street Journal
reported in its online edition. The new company would have a book value of $1.8 billion. According to the story, the involved companies are:
unit Portland General Electric and
Sierra Pacific Resources
units Nevada Power and Sierra Pacific Power.
Avista lifted 1 3/16 to 30 11/16, Montana Power fell 7/16 to 43 5/8, Enron gained 2 5/8 to 72 5/16 and Sierra Pacific Resources climbed 5/16 to 15 7/16.
Earnings/revenue reports and previews
Earnings estimates from First Call/Thomson Financial; earnings reported on a diluted basis unless otherwise specified.
posted second-quarter earnings of 16 cents a share, beating the 10-analyst estimate of 14 cents but down from the year-ago 28 cents a share. Tyson Foods stayed flat at 10 7/16.
Offerings and stock actions
Fiber optic manufacturer
slipped 3 15/16, or 6.1%, to 59 13/16 after it reported that it has filed for a secondary offering of 6 million shares of its common stock. Selling stockholders include affiliates of
Kohlberg Kravis Roberts
and certain company management.
The board of
hopped 7 3/16, or 15%, to 55 1/16 after it approved a 3-for-2 stock split today.
Donaldson Lufkin & Jenrette
on its focus list. King Pharma gained 5 5/8, or 11.3%, to 55 and Wells Fargo tacked on 1/16 to 41 1/8.
: UP at
to top pick from buy. Lucent advanced 1 3/16 to 63 3/8.
said it named
as number one action idea for this week. Scientific-Atlanta bounced 4 1/16, or 6.2%, to 69 1/8.
KLM Royal Dutch Airlines
to sell from hold after the carrier cancelled its alliance with
. ING said KLM would lose about 200 million euros' worth of synergy gains over a three-year period. KLM Royal Dutch edged up 3/4 to 17 13/16.
: DOWN to buy from strong buy at SG Cowen. Solectron added 2 9/16, or 6.4%, to 40 9/16.
: NEW market perform at
Deutsche Banc Alex. Brown
and NEW buy at
Salomon Smith Barney
with a price target of 37. Alamosa PCS was unchanged at 28 1/2.
A number of brokerages initiated coverage on
added the stock to its U.S. recommended-for-purchase list.
started coverage with a buy and price targets at 20.
started coverage with a buy.
Donaldson Lufkin & Jenrette started MetLife with a buy and a 12-month target of 22.
Credit Suisse First Boston
started coverage with a buy.
Morgan Stanley Dean Witter
started coverage with an outperform and a target of 22.
started coverage with a near-term accumulate, long-term buy.
Banc of America
started coverage with a strong buy and a 12-month target of 22.
MetLife hopped 1 3/8, or 8.3%, to 17 15/16.
: NEW buy at Deutsche Banc Alex. Brown and NEW long-term buy at JP Morgan with price target of 45. Krispy Kreme slipped 3 11/16, or 85, to 42 5/16.
: NEW buy; price target: 45 at J.P. Morgan. Oratec Interventions tacked on 1/16 to 34 1/8.
: NEW buy at
, price target: 35. Vyyo bounced 3 5/8, or 17.1%, to 24 3/4.
re-initiated coverage of
MCI WorldCom: re-started with a strong buy, price target: 85. MCI WorldCom added 1/2 to 45 15/16.
Sprint: re-started at buy. Sprint hopped 1 15/16 to 63 7/16.
Banc of America
made rating changes on four retail companies:
: DOWN to market perform from buy. Jones Apparel shed 1 3/16 to 28 1/2.
: DOWN to market perform from buy. Liz Claiborne added 7/16 to 46 3/4.
: UP to strong buy from buy. Gap climbed 1 5/16 to 38 1/16.
: DOWN to market perform from buy. Payless Shoesource lifted 7/16 to 55 9/16.
U.S. Supreme Court
appeal for $1.2 billion in damages today. The appeal was part of a long legal battle between the companies and the Pentagon regarding a contract for A-12 radar-evading aircraft. General Dynamics bounced 7/16 to 58 15/16 and Boeing lost 5/8 to 39 1/16.
As expected, the government
asked a federal judge on Friday to break up
into two separate companies to curb its monopoly power in key software.
analyst David Readerman lowered his Microsoft "bust-up" price target to the 50-to-55 range, down from the previous 65 per share following the November 1999 findings of fact by U.S.
Judge Thomas Penfield Jackson
. Microsoft jumped 3 11/16, or 5.2%, to 73 7/16.
The Heard on the Street column in the
and other large hedge fund managers have had their fair share of difficulties, while a new breed of smaller specialized hedge funds is scoring big, indicating the game has changed. According to the story, it has become more difficult to take advantage of overlooked efficiencies such as irregularities in exchange rates. As a result, many large hedge fund managers shifted into stocks, only to find their advantage reduced since the same information is widely available to even small investors.
separate coverage of Soros fund manager
Stanley Druckenmiller's recently announced departure from the giant Quantum hedge fund.