Among the companies with shares expected to actively trade in
Monday's session are Office Depot Inc. (ODP), Tesla Motors Inc.
(TSLA) and coal and steel companies.
Activist investment fund Starboard Value LP has taken a 13.3%
stake in office-supplies retailer Office Depot. In a letter to
Office Depot's chief executive, Starboard CEO Jeffrey Smith said
Office Depot's shares are "deeply undervalued" but that management
could take certain actions such as cutting expenses to improve
performance. The stake makes Starboard the largest shareholder in
Office Depot. Shares rose 8.9% to $2.69 premarket.
Electric-car maker Tesla Motors' shares rise 8% to $32.83
premarket amid an upgrade from Morgan Stanley to overweight from
underweight. The investment bank says Tesla has the ability to
significantly outperform as analysts expectations have been
dampened by delivery delays. The firm also lifts its price target
to $50 from $45, saying the risk-reward for Tesla is better than
other auto stocks it covers.
J.P. Morgan downgraded steel makers AK Steel Holding Corp. (AKS)
and United States Steel Corp. (X), as well as iron-ore and coal
mining companies Cliffs Natural Resources Inc. (CLF) to neutral
from overweight, saying that it doesn't think steel fundamentals
are supportive of a continued move higher beyond recent short
covering following China's infrastructure spending announcement and
news of another round of quantitative easing in the U.S., and that
it expects steel prices to decline soon. AK Steel shares dropped
3.9% to $5.64 premarket, while Cliffs shares are down 2.9% to
$44.25 and United States Steel fell 3.3% to $21.62.
IRIS International Inc. (IRIS) said it entered into a definitive
merger agreement under which diversified manufacturer Danaher Corp.
(DHR) will acquire the in-vitro diagnostics manufacturer for $19.50
a share in cash, representing a roughly 45% premium over Friday's
closing price. IRIS shares rose 45% to $19.48 premarket.
Threshold Pharmaceuticals Inc. (THLD) said that new findings
from a Phase 2b clinical trial of an investigational pancreatic
cancer drug shows changes in overall survival weren't
"statistically significant", though there was improvement in median
overall survival. The biotechnology company said the trial wasn't
designed to detect a statistically significant improvement in
overall survival. Still, shares fell 23% to $6.70 premarket.
Human DNA-sequencing company Complete Genomics Inc. (GNOM)
agreed to be acquired by the China genomics company BGI-Shenzhen in
a roughly $117.6 million deal. BGI's U.S. unit will launch a cash
tender offer of $3.15 a share, an 18% premium to Complete Genomics'
Friday close. Shares rose 15% to $3.06 in premarket trading.
Watchlist:
Moody's Investors Service raised its outlook on CoreLogic Inc.'s
(CLGX) junk rating, saying it expects the data provider to continue
to post improved profit.
Zynga Inc. (ZNGA) has countered a copyright-infringement lawsuit
previously filed against it by Electronic Arts Inc. (EA) with its
own allegations that EA sought a potentially illegal agreement to
avoid poaching each others' employees.
Heckmann Corp. (HEK) has named Jay Parkinson its chief financial
officer and executive vice president as his predecessor takes on a
different executive position at the wastewater-treatment
company.
News Corp. (NWS, NWSA, NWS.AU) said the chairman and chief
executive of Fox Filmed Entertainment, Tom Rothman, will step down
at year-end, as the media company also announced the separation of
its television and film-production units.
Orexigen Therapeutics Inc. (OREX) filed plans to offer as much
as $150 million in mixed securities, which include stock and debt.
The pharmaceutical company, which develops drug candidates for the
treatment of obesity, recently had a market capitalization of
roughly $393 million.
Patriot Coal Corp. (PCXCQ) said it would temporarily suspend
about 85,000 tons of steelmaking coal production per month, as the
coal producer said it faces a further deterioration of market
demand.
Truman Bank, based in St. Louis, was closed by the Missouri
Division of Finance. Simmons First National Corp. (SFNC) subsidiary
Simmons First National Bank (SFNC), based in Pine Bluff, Ark.,
agreed to take over the failed bank as part of a
purchase-and-assumption deal with the Federal Deposit Insurance
Corp.
Independent refiner Tesoro Corp. (TSO) has sold its Long Beach,
Calif., marine terminal and Los Angeles short-haul pipelines to
Tesoro Logistics LP (TLLP) for $210 million, marking Tesoro's
second asset sale to the partnership.
Write to Anna Prior at anna.prior@dowjones.com
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