Here are the stories that caught our eye this week.
Intel buys Mobileye
Intel Corporation (NASDAQ:INTC) made headlines this week for agreeing to buy Israel-based Mobileye NV (NYSE:MBLY) for $63.54 per share, a deal worth $15.3 billion.
After largely missing out on the mobile revolution, Intel wanted to make sure it was a leading player in the newest can’t miss technology, autonomous cars. Mobileye is one of the leaders in the sector, making software, cameras, and other technology that helps cars anticipate collisions with other objects on the road.
The self-driving car market is predicted to be worth $70 billion by 2030.
Ackman dumps Valeant
Billionaire hedge fund manager Bill Ackman of Pershing Square Asset Management officially announced he dumped one of his largest and most controversial positions this week.
Ackman sold more than 18 million Valeant Pharmaceuticals Intl Inc. (TSX:VRX)(NYSE:VRX) shares on Monday, taking a roughly $3 billion U.S. loss on the position. Ackman will also step down as a member of Valeant’s board of directors.
Valeant shares plunged on the news, falling more than 10%.
Snap plunges
After rocketing up close to 60% in its first two days of trading, Snap Inc. (NYSE:SNAP) has finally fallen down to earth.
Numerous analysts have issued bearish calls on the company since it went public, highlighting everything from valuation to intense competition from well-capitalized rivals.
It appears investors paid attention. Snap shares traded down another 2.3% Friday, hitting $19.40 each in mid-afternoon trading. That’s only a 15% increase versus the IPO price and a decline of 33% versus the peak.
