Nabisco, which has been for sale for the past month, dropped its former name, RJR Nabisco, after spinning off its RJ Reynolds tobacco division last year. The
reported that if the deal should go through, RJ Reynolds would secure an asset that would give the tobacco giant cash to cover litigation and stock repurchases. R.J. Reynolds declined 1/16 to 22 3/4, while Nabisco added 7/16 to 17 1/16.
gained 4 1/8, or 6.4%, to 67 3/4 after it said it agreed to acquire
for roughly $5.7 billion. According to the terms, Cisco would swap 2.12 shares for each share of Arrowpoint. The companies' boards have both favored the merger.
Cisco CFO Larry Carter said the purchase would have no effect on fiscal 2000 earnings but would be accretive in calendar 2001. Arrowpoint jumped 5 3/8 to 140 3/16.
Mergers, acquisitions and joint ventures
will pay $888 million to acquire unlisted Swedish laser manufacturer
. The company also announced it will buy Denmark-based
IBSEN Micro Structures
for $80 million.
Altitun has developed a laser product with a variable wavelength, which is used in optical communications networks and permits the delivery of broadband links with a capacity 100 times greater than at present.
IBSEN makes micro-optical and opto-electronic products for high-speed telecommunications and data networks. ADC Telecommunications mounted 5 7/8, or 10.2%, to 63 1/8.
stumbled 1 5/16 to 60 3/4 after it said it launched its second bid for British publisher
News Communications & Media
, raising it 48% to $702 million. The deals calls for Gannett to pay Newscom holders $28.44 for each share of they own. Gannet would also take on all of Newscom's debt. Last year, Newscom turned down Gannett's initial $488 million offer, deeming it too low.
said that they have initiated their wireless data services venture and are reviewing possible acquisitions. The London-based
will develop and operate services to wireless customers through data centers in Europe. The venture will initially concentrate on financial service markets, supplying information from
and the Web. Aether holds a 60% stake in the unit, with Reuters owning the remainder. Reuters skidded 1 11/16 to 107 3/4, and Aether added 4 1/2 to 167 1/2.
is bringing a lawsuit against
Morgan Stanley Dean Witter
, claiming the investment bank tried to interfere with its acquisition of
, as reported in
The Wall Street Journal
. PaineWebber advanced 15/16 to 43 1/16 and Morgan Stanley fell 1/2 to 71 1/8.
and Dutch telecom company
have ended negotiations for a possible merger,
Wall Street Journal
was reporting. But according to
, a spokesman for the companies was unaware of the development, saying "If it has, then that's news to me." KPN slid 1 1/16 to 106 15/16.
Earnings/revenue reports and previews
Earnings estimates from First Call/Thomson Financial; earnings reported on a diluted basis unless otherwise specified.
Business-to-business software company
warned that it expects to report a second-quarter operating loss of $20 million to $25 million, mainly due to lower-than-anticipated margins on license-fee revenue. The current 12-analyst First Call/Thomson Financial estimate calls for earnings of 2 cents a share. The company said it expects to report revenue in the range of $225 million to $235 million, in line with the company's prior second quarter, in what it called a "transitional quarter." Second-quarter results will be released May 24. J.D. Edwards skidded 1, or 6.2%, to 15 1/16.
reported fourth-quarter earnings of about 25 cents, or 37 Canadian cents, beating the 1-analyst estimate by a penny and up from the year-ago 9 cents, or 13 Canadian cents.
was unchanged at 53 3/8 after it reported a first-quarter loss of about 13 cents, or 19 Canadian cents, beating the five-analyst estimate of a 15-cent loss, but higher than the year-ago loss of 6 cents, or 10 Canadian cents. Kenneth Galbraith, QLT's executive vice president and chief financial officer, attributed the increased loss to QLT's share of costs for the
expanded access program and accelerated premarketing activities by
tacked 7/16 to 18 9/16 after it posted first-quarter earnings of 35 cents a share, missing the six-analyst estimate of 37 cents but up from the year-ago 29-cent profit.
shed 7/16 to 15 5/16 after it posted a first-quarter loss of 28 cents a share, narrower than the 13-analyst estimate of 31-cent loss but wider than the year-ago 22-cent loss.
slid 1 11/16, or 15.9%, to 8 7/8 after it reported earnings of 53 cents, including a pretax gain of 42 cents related to the sale of the company's investment in Interworld and $6.5 million in severance costs. The 11-analyst estimate was 40 cents and earnings a year ago were 39 cents.
Offerings and stock actions
wholly owned subsidiary
, formerly Eaton Semiconductor Equipment, has filed with the
Securities and Exchange Commission
for the initial public offering of common stock. Late last month, Eaton, which will own more than 80% of the shares of the spinoff, announced its intent to reorganize its semiconductor equipment operations into an independent company and conduct an IPO for this business. Eaton currently plans to complete its divestiture of the remaining Axcelis stock on a tax-free basis to its shareholders about six months after the completion of the IPO, subject to a favorable tax ruling and the Board of Directors' approval. Eaton gained 1 7/8 to 82.
Warburg Dillon Read
priced a 7 million-share IPO for
at the bottom end of its expected price range, at $8 a share. Genomic Solutions advanced 3/8 to 8 3/8.
filed to raise $1 billion in an initial public offering. The company, which filed for a Nasdaq listing under the symbol KCIN, is one of the world's largest consulting firms specializing in Internet strategies. KPMG Consulting had been a part of
, one of the Big 5 accounting and consulting firms.
set a 2-for-1 stock split. Shares of Meade rose 3 1/2, or 5.1%, to 72 1/2.
Credit Suisse First Boston
priced a 6 million-share IPO for
at the bottom of its revised price range at $8 a share. Orchid Biosciences climbed 2 15/16, or 36.7%, to 10 15/16.
said it would hold a 2.2 million offering at $48.63 a share. Sierra Wireless slipped 1 25/32 to 47 1/4.
UP to buy from attractive at
. Cablevision traded up 2 to 63.
: price target UP to 52 from 48 at
Morgan Stanley Dean Witter
. CVS gained 15/16 to 42 1/2.
: UP to strong buy from buy at
Credit Suisse First Boston
. Mitchell Energy advanced 2 1/4, or 9.5%, to 26 1/16.
up to buy from market perform at
. Summit Technology rose 1/2 to 11 1/4.
UP to buy from market outperform at Chase H&Q. Visx jumped 3 3/4, or 22.3%, to 20 9/16.
rose 3/16 to 7 7/8: DOWN to neutral from outperform at Morgan Stanley.
slipped 3 7/16, or 5.78%, to 56: DOWN to market performer from outperformer at
edged up 1/16 to 11 15/16: CUT to neutral from buy at
was off 7/16 to 29 1/16: NEW buy rating at
by analyst Frederick H. McCrea.
launched coverage on e-tailers:
- Amazon.com (AMZN) - Get Report jumped 3 7/16, or 6.2%, to 58 1/2: NEW buy, price target: 80.
eBay (EBAY) - Get Report fell 2 15/16 to 134: NEW buy, price target of 200.
eToys (ETYS) stumbled down 3/16 to 6 13/16: NEW neutral.
Priceline.com (PCLN) shares lost 1/2 to 57 7/16: NEW outperform, price target of 75.
upgraded three retailers:
- Talbots (TLB) grew 1/8 to 48 7/8: to strong buy from buy.
Limited (LTD) hopped up 1 11/16 to 47 3/8: to strong buy from buy.
Zale (ZLC) inched up 1 13/16 to 41 7/16: to strong buy from buy.
was unchanged at 20 7/8 after it announced it had filed a patent infringement lawsuit against
. Doubleclick rose 7/8 to 62 13/16. According to the proceedings, 24/7 Media is asking for damages along with injunctive relief. The suit stems from the use of a technology that Doubleclick's DART and serving system uses to direct specific ads to certain users.
jumped 1/8 to 24 13/16, which yesterday reported a 20% increase in earnings over last year, said its founder and chairman, Oliver Carr, would retire. Chief Executive Thomas Carr will replace him as chairman.
Salomon Smith Barney
upped shares of CarrAmerica Realty to outperform from neutral.