After the S&P 500 (SPY) added another 0.45% yesterday, markets will look for merger Monday’s momentum to lift markets today.
In the commodity sector, United States Steel (X) gained 26% to close at $45.59. Nippon Steel is buying it for $14.9 billion. This is Nippon’s largest-ever acquisition. The Japanese firm is paying a 40% premium. Investors flocked to Cleveland-cliffs (CLF) stock. At a $10.35 billion market capitalization, CLF stock may attract buyers.
Citing regulatory obstacles, Adobe Systems (ADBE) and Figma agreed to terminate their merger. The deal, worth $20 billion if it closed, faced too many regulators globally. The two firms said that "there is no clear path to receive necessary regulatory approvals from the European Commission and the UK Competition and Markets Authority."
Adobe needed Figma to broaden its creativity and productivity offering. It will pay the termination fee of $1 billion.
Last month, the UK’s Competition and Markets Authority expressed concern about lessening competition. In October, the European Commission cited competition concerns when it re-opened the review of the deal.
Adobe is more attractive now: the firm overbid for the acquisition.
Farfetch (FTCH), which delayed the filing of results, agreed on a $500 million bridge loan from Coupang (CPNG). This is effectively a liquidation and bankruptcy proceeding for Farfetch. FTCH stock, which traded as high as $2 on rumors of a buyout, will be delisted and shares liquidated.
