Morning @ Cantor
Morning @ Cantor 8/18
Today’s Stories From
Cantor Fitzgerald
Sal Catrini (908)
517-5067
PLEASE
NOTE: Sal Catrini is out today.
Any
questions or Comments please call Brian Young 212-610-3629
CONTENTS: All
Headings Are Functioning Links
Sector
News:
Energy, Industrials, Transports, TMT, Materials, Autos, Fins, Real Estate, Consumer, Gaming/Lodging, HC, Europe Trading Wrap,
Asia Trading Wrap
Investment
Banking Wrap:
M&A, Money Raising
o US Stock Futures
o
S&P Futures down 1.3 points
o
USD down 0.14 in the session
o
The USD was weaker against the major
pairs with continued chatter circulating that China was selling USD and
purchasing emerging markets currencies despite assurances that the greenback
would remain the core of China's investment strategy.
o
Treasuries: Faber says
Don't Touch 10, 30 Year US Bonds- CNBC
o
"I
think eventually inflation will accelerate," he said. "Whenever food
prices go up, and grains have been very strong recently, with the sum delay,
you get inflationary pressures."
o Commodities
o
Gold down 2.5 to 1225.8, Crude down 0.8 to 74.99
o Base metals are about where we left
them last night. Tin and zinc are up small, copper, aluminum, lead and nickel
are down fractionally
o Overseas Action
o
Europe markets: FTSE 100: (0.85%); DAX: (0.63%); CAC 40: (0.88%)
§
European
markets moved lower from the open with oil and mining shares amongst the
leading decliners following commodity prices lower- SA
o
Asian Markets: Nikkei
+0.86%; Hang Seng (0.54%); Shanghai Composite (0.21%)
§
Asia
trading session has largely been a tug of war between surging optimism in US
markets against more downbeat regional concerns in Australia and Japan- TTN
o
Data:
§
Germany Jun Retail sales Y/Y
revised higher to +4.7% from +3.1% reported - Stats Office
§
Iceland Central bank (Sedlabanki) cut
Interest Rate by 100bps to 7.00%; More than the 50bps expected
§
Bank of England
Minutes:
Voted 8 to 1 to maintain interest rates at 0.50% and 9 to 0 (unanimous) to
maintain Asset Purchase Target (APT) at £200B
o
Portugal Debt Auction-
TTN
§
sells total €1.525B in 3-month and
12-month Bills versus €1.5B indicated
§
Sold €775B in 3-month Bills; Avg
yield 0.994% v 1.861% prior; Bid-to-cover: 2.5x v 3.5x prior
§
Sold €750B in 12-month Bills; Avg
yield 2.727% v 2.394% prior; Bid-to-cover:1.8x v 2.2x prior
o
Europe Slowdown to Follow U.K.- WSJ
§
Judging
by the latest round of reports from European property companies and tracking
services, growth in property values is rapidly slowing as rents and demand for
property show signs of declining in some markets
o
No Sign of Cooling at Hong Kong Sale- WSJ
§
A
Hong Kong developer paid much more than expected for two prime residential
sites in a closely watched government land auction, suggesting that the city's
latest efforts to cool the surging property market may have only a modest
impact
o
China: Beijing to
test banks for negative equity- Reuters
§
China's
banking regulator has told banks in Beijing to test for the impact of a plunge
in property values below what is owed on mortgages
o
China Doubles Korea Bond Holdings as Asia Switches
From Dollar- BBG
o
China Min of Commerce Huo
Jianguo: Trade surplus is expected to shrink over the next few months; Plans to
introduce import stimulus as soon as September - China Daily
o
China: PBoC Adviser Xia
Bin: State Council should maintain short-term property market curbs; May need
as long as two years to solve real estate issues - Chinese press
o
Australia: housing bubble?: Morgan
Stanley analyst says Australia could be heading into a housing bubble; Sees
current housing prices well above "fair value" - The Australian
o
Germany confirms
postponement of decision on nuclear tax until Sptember -- Reuters
A P
Moller-Maersk better
earnings Furthermore the company raised its operating profit to exceed $4B
which is higher than the previous view of reported an increase in its earnings.
The company also raised its operating profit to exceed $4B which is higher than
the previous view of $3.5B. Group was uncertain for the economic environment in
the shipping and related activities,
o
Economics
today:
o
MBA Mortgage Purchase Applications
at 07:00 ET
o
DOE Crude Inventories at 10:30 ET
- Earnings:
o
Companies
due to report before the bell include: DE, TGT
o
Companies
due to report after the close include: AMAT, LTD, NTAP
o Top M&A
o
Kosmos Cancels Deal to Sell Ghana Assets to XOM Exxon-
WSJ
§ Kosmos said it has called off the sale of its Ghana oil assets to Exxon
Mobil, dealing a blow to the U.S. oil major's drive to tap a major new oil
region in West Africa.
o
BHP Billiton Goes Hostile With Potash Bid-
WSJ
§ BHP's latest move shows that it must consider its offer compelling enough
to stand a chance of winning over at least 50% of Potash shareholders, despite
the offer being described as "grossly inadequate" by the company's
board
o Dana in talks over £200m North Sea deal- FT
o Li Ka-Shing and GS Goldman vie for rapid rail route-
Reuters
o Top $ Raising
o Hotel Chain Explores Bankruptcy- WSJ
§ Highland Hospitality Corp is exploring a
potential bankruptcy filing for. that would mark yet another collapse of a
major hotel company as the economy struggles
o General
Motors Delays Filing for IPO- CNBC
§ It is unclear why the delay in the
much-anticipated filing emerged but the decision on when the paperwork for an
IPO is filed with U.S. securities regulators now depends entirely on GM and not
the underwriting banks
o China Everbright shines on debut day-
Reuters
o
Saudi arms deal poised for smooth US passage-
FT
o
One
of the largest arms deals in US history, involving the sale of weaponry worth
some $60bn to Saudi Arabia, is likely to go through Congress without
significant objections
o
Scores Stagnate at High Schools- WSJ
o
New
data show that fewer than 25% of 2010 graduates who took the ACT
college-entrance exam possessed the academic skills necessary to pass
entry-level courses, despite modest gains in college-readiness among U.S
high-school students in the last few years.
o
Tech: Google TV
plan is causing jitters in Hollywood- LATimes
o
Tech: New details
on HP upheaval as CEO looks ahead- Reuters
o
Tech: Semi equip: July
orders for Japanese semi manufacturing equipment rise 186%- Nikkei
o
Tech: Dell Fails to Get
Board Re-Election Votes From 25% of Investors- BBG
o
Dell.
Chief Executive Officer and Chairman Michael Dell failed to win the support of
more than a quarter of the computer maker’s shareholders for re-election to the
board
o
Consumer: AAP American
Apparel CEO staring down bankruptcy- NYP
o
Consumer Spying: The maker of Bratz
dolls accused Mattel Inc. of spying on its rivals and stealing trade secrets
for at least 15 years, as the ongoing legal battle between the two toymakers
turns nastier- WSJ
o
Consumer: WSJ negative
on WMT Wal-Mart
o
Profits vs Privacy: Newly-armed with
analytics technology, retailers, search engines and social networks are all
eager to turn data into profits- CNBC
o
Deflation: US matches
Indian call centre costs- FT
o
Call
centre workers are becoming as cheap to hire in the US as they are in India,
according to the head of the country’s largest business process outsourcing
company.
o
Plan Promotes Bank Accounts For Consumers-
WSJ
o
Federal
and local governments are trying once again to persuade some of the 17 million
U.S. adults who rely on check-cashing services to open their own bank accounts
o
Jobs Agencies Not Up to Job- WSJ
o
A
new report by two private groups blasts New York's public agencies tasked with
spurring economic development, saying they are spending too much money to
create too few jobs
o
Massive Issuance and
Inflows Signal Potential Top in Corporate Bond Market- Trimtabs
o
Jobs: Private Sector Job Growth Probably Little Changed-
Trimtabs
o
U.S. plans to ease travel to Cuba- Reuters
o
The
Obama administration is getting ready to relax travel restrictions to Cuba for
some Americans, without lifting the trade embargo and a ban on U.S. tourism to
the island
o
Brett Favre Arrives
at Vikings Camp, May Return for 20th Season- BBG
o
‘Dr. Laura’ to Quit
Radio Show After Using Racial Slurs on Air- BBG
o Macro negative:
o
Treasuries: Spread between Three-Month and Ten-Year Treasuries
Narrows 120 Basis Points in Past Four Months; Biggest since start of the
recession- Trimtabs
o
Funds: Funds gloomy
over US stocks- FT
§
Fund
managers are at their gloomiest about US stocks since before Lehman Brothers
collapsed and they have voted Japan their least favoured region – even as they
became more positive on global growth for the first time this year.
o Macro Positive:
o
Demand-Side Indicators Turn More Favorable- TrimTabs
§ The TrimTabs Demand Index (TTDI), which uses the relationship between
market returns and 21 flow and sentiment variables to time the stock market,
jumped to 87.3 on Monday, August 16, less than five points below the interim
high of 91.8 on April 5.
o
Economy Not as Bad as Investors Fear: Kocherlakota-
CNBC
§ "My own interpretation is that the FOMC action led investors to
believe that the economic situation in the United States was worse than they,
the investors, had imagined," he said. "In my view, this reaction is
unwarranted."
o
US Says Bankruptcies Reach Nearly 5-Year High-
CNBC
o
Westfield Sees No Double Dip as U.S. Boosts Profit- BBG
§ Westfield Group, the world’s largest owner of shopping centers by market
value, doesn’t expect a double-dip recession in the U.S. after a recovery in
the world’s biggest economy helped drive a return to profit
o Political Stories:
o
Obama pushes
Republicans on jobs bill- Reuters
§ President Barack Obama pressed Senate Republicans on Tuesday to pass his
$30 billion plan to help banks boost lending to small businesses, blasting the
opposition for playing "political games" with a measure he says will
help generate jobs
o
Blagojevich
Guilty of Lying to Federal Agents; No Verdict on Other Counts- WSJ
o
Murray, Rossi
Win Washington Primaries- WSJ
§ Democratic incumbent Patty Murray of Washington state will defend her
Senate seat against her chief Republican rival, Dino Rossi, in the November
general election
o
Petersen Wins
Democratic Nod in Wyoming Governor's Race- WSJ
§ Despite winning Tuesday's primary, Ms. Petersen faces a tough battle
ahead as the state Republican Party is intent on retaking the governor's
mansion in the heavily Republican state
o
Mosque Debate
Grows, Splinters- WSJ
§ Politicians beyond New York continued to stake out positions Tuesday on
the controversy over plans to build an Islamic center and mosque near the site
of the World Trade Center, but divisions emerged within each party over what
has become a surprise issue in the 2010 elections.
o
Mosque
Meeting Sought- WSJ
§ Gov. David Paterson has renewed efforts to broker a deal over a Muslim
community center and mosque near Ground Zero as opponents press political and
legal challenges—battles that lawyers say have little chance of derailing the
project.
o
In Ohio, two
races test Democrats' strategy for midterm elections- WPO
§ There could not be two better examples of what President Obama and the
Democrats want the fall elections to be about than Ohio Republicans Rob Portman
and John Kasich
§ Portman, who is running for the Senate, was the chief trade officer and
White House budget director for President George W. Bush. Kasich, a former
congressman who is running for governor, spent a decade working for Lehman
Brothers
o
Republican
Paul leads Senate race in Kentucky- Reuters
§ Republican Rand Paul, a favorite of the conservative Tea Party movement,
has a narrow lead among likely voters in a Senate race in Kentucky, where
economic worries top voters' concerns
o Crisis Watch
o Worst could be still to come for Pakistan-
WPO
§ Staggered by the scale of
destruction from this summer's catastrophic floods, Pakistani officials have
begun to acknowledge that the country's security could be gravely affected if
more international aid does not arrive soon
o Dozens missing after landslide in southwest China-
Reuters
§ At least 67 people were missing
after mudslides hit a remote southwest Chinese town near Myanmar, state media
reported on Wednesday, adding to the thousands killed or missing in floods and
landslides this year
o Collapsing Marsh Dwarfs BP Oil Blowout as Ecological
Disaster- BBG
§ More than half the 17,000 acres
(6,600 hectares) of marshland purchased about 80 years ago by Bourg, a barely
literate muskrat trapper, have been lost to erosion and subsidence
o
Top Real Estate Stories:
o
Geithner
calls for housing finance reform- FT
§ The US should tread cautiously as it seeks to overhaul
Fannie Mae and Freddie Mac, Tim Geithner, Treasury secretary, said on Tuesday
o
'Vultures'
Save Troubled Homeowners- WSJ
o
Office-Leasing
Rebound Could Be Deceiving- WSJ
§ Even as the office market enjoys a rebound of leasing
activity, some businesses are giving landlords the shivers by figuring out how
to use less space per employee
o
Banks Face
Fight Over Mortgage-Loan Buybacks- WSJ
§ While mortgage delinquencies are easing, banks are facing a
new round of losses from loans made just before the financial crisis, and the
fight to keep them off their balance sheets is intensifying
o
Phase Out FNM
Fannie & FRE Freddie?- CNBC
§
Frank agreed that phasing out the
housing behemoths would help bolster private mortgage financing, but stressed
that the process would take time.
o
Cut Mortgage
Rates on Fannie, Freddie Loans: Gross- CNBC
§
Bill Gross, a managing director at
bond giant PIMCO, told CNBC Tuesday that if Fannie Mae and Freddie Mac lowered
interest rates for mortgage holders in good standing, it would stimulate the
economy, encourage consumer spending, promote job growth and give the
beleaguered housing market a much-needed lift.
o
Consensus
Emerging for Future of Housing Finance- American Banker
o
CMBS Deals
Few, and Innovatively Structured to Lure Investors- American Baanker
§
Commercial mortgage securities
issuance is still far below 2007 levels and the deals are dramatically different
from those assembled before the credit crisis
o
SoCal Home sales slump in July- LATimes (yesterday)
§
Southland home sales fell
dramatically in July as federal tax credits for buyers expired, yet the median
home price declined only slightly from June
§
http://www.latimes.com/business/realestate/la-fi-home-sales-20100818,0,4538122.story
o Equity Recap
o
Asian
and European markets were mixed to weaker overnight. In the early morning, news
that POT had rejected a $130/ share bid from BHP seemed to lift investor
spirits. S&P futures were up 6 to 8 points as traders awaited Inflation,
Housing, and Production data. At 8:30, the inflation numbers (PPI)
surprised to the upside (these days a little higher than expected inflation is
actually a good thing), while the Housing Starts and Building Permits both
disappointed. Futures dropped 2 and then immediately added 6 points.
Closer to the cash open, we got better Production numbers (Industrial
production 0.5% better at +1%, and Capacity Utilization 0.2% better at 74.8%).
S&P cash opened almost 1% higher and managed to add another 1% as the rally
picked up steam heading into lunchtime. The bulls tired 1 ½ points shy of 1100
(resistance) on the S&P Futures, and the balance of the day was spent in
orderly retreat. Futures closed right around 1090, up 1.2% on the session, for
their first solid advance in 6 sessions.
o
Billy
Clark and Team
o
Rates Commentary
o
We
wouldn’t characterize today’s trading quite as active as last few days but, not
withstanding, it was an active back and forth curve battle. 30 yrs opened the
session with its continued recent bid especially on the curve as everything
from 10’s on in suffered. By the end of the day, however, the curve was
slightly steeper to unchanged as corporate pricings (5-10 yr space), Feds QE2
purchase from 8/14-7/16,as well as some small unwinds of the recent post bond
auction flattening trades. To put in perspective, 5/30’s has flattened from
post bond auction 18 bp’s. Today’s economic data was a bit mixed with PPI, IP,
and CU slightly above consensus while housing numbers slightly below. The
numbers had minimal market impact.
o
Let’s
talk about QE2 here a bit. The Fed conducted its first QE2 purchase today
taking 2.5B from a whopping 21B offers submitted. Market participants had been
trying to add to OTR positions in anticipation of the Fed’s need pushing them
to very expensive levels on spread. The last 2 days, however, the OTR’s have
suffered as thoughts have shifted a bit that the Fed may not be quite as
aggressive as initially thought in their purchase program. Compared to last QE
go around we are looking at 8 more operations with only an additional 16B
leaving the street. Next week we get new 2’s, 5’s, and 7’s and 30 yr TIPS which
will be considerably larger than the net purchases. Supply still wins!!
o
Thursday
will be the next Fed operation as the 8/16-5/20 sector will be targeted. I
would expect, given the recent run up in prices and flatter curve that offers
will be abundant once again. General view is to still expect a flatter curve
over the short term and we will play as such
o
Primary
Dealer
SECTOR NEWS WITH MACRO IMPLICATIONS
o
EROC Eagle Rock Energy
Partners announces temporary shut-in of East Texas gas and oil production
o
BQI Oilsands Quest
announces review of strategic alternatives; conference call August 18 at 8:30
ET: 647.427.7450 or 888.231.8191.
o
API
reports crude inventories +5.87 vs. Reuters (1.0M); distillate inventories
+2.05M vs. Reuters +1.5M; gasoline inventories +2.03M vs. Reuters (100K)
o
ETP Energy Transfer
Partners offering 8M units through Credit Suisse, BofA/ML, Citi, Morgan Stanley
UBS and Wells Fargo
o
LAWS Lawson Products
increases quarterly dividend by 33.3% to $0.08 from $0.06
o
MVIS Microvision secures
$60M committed equity financing facility
o
IESC Integrated
Electrical announces new award to expand Cheyenne Regional Medical Center in
Wyoming
TECH/MEDIA/TELECOM
o
WIN Windstream to
acquire Q-Comm Corporation for ~$782M – Street Insider
o
NJ, EMR Nidec Corp to
acquire the Motors & Controls business ("EMC") of Emerson
Electric- PR
o
LFT Longtop Financial
Technologies reports Q1 EPS
o
STV China Digital TV reports
Q2 EPS
o
LOOK IAC Search &
Media informs Looksmart that it intends to extend hosting and support agreement
to 30-Sep
o
NXPI NXP Semiconductor
chips being tested in next gen iPhone - TechCrunch
o
JKHY Jack Henry reports
Q4 EPS
o
PLAB Photronics reports Q3
non-GAAP EPS
o
VTRO Vertro announces
1-for-5 reverse stock split
o
CACI CACI International
reports Q4 EPS
o
KTCC Key Tronic reports
Q4 EPS
o
CNTF China Techfaith
Wireless reports Q2 EPADS
o
ADI Analog Devices
reports Q3 EPS
o
WDC Western Digital
names Tim Leyden COO and Wolfgang Nickl as Senior VP and CFO
o
ALOT Astro-Med reports Q2
EPS
o
DOW Dow Chemical
announces price increases for acrylic and cellulose based products in Europe,
Middle East, and Africa
o
IBNK Integra Bank and
First Security Bank announce termination of agreement to purchase three IN
braches
o
PNNT PennantPark
Investment to offer 4M shares through JPMorgan, Morgan Stanley, SunTrust and
Wells Fargo
o
PNSN Penson Worldwide
co-founder Daniel P. Son to retire as President
o
WTFC Wintrust Financial
to acquire the Naperville, Illinois branch of the First National Bank of
Brookfield - marketwatch
o
FRPT Force Protection
awarded $14.6M USMC contract modification
o
LZB La-Z-Boy reports Q1
EPS
o
SPLS Consensus segment
sales for Staples
o
JMBA Jamba reports Q2 EPS
o
BOBE Bob Evans reports Q1
EPS
o
DDS Dillard's announces
$250M share repurchase program
o
GCA Global Cash Access
obtains dismissal of federal anti-trust litigation
o
ECYT Endocyte files
$86.3M IPO through RBC and Leerrink Swann
o
CYH, HMA, LPNT Soleil Securities
initiates Health Management initiated buy with $9 target; Community Health
initiated hold with $33 target; Lifepoint Hospitals initiated hold with $33
target
o
SSRX 3SBio reports Q2 net
income per ADS
o
EXAS EXACT Sciences
announces that it has filed a $150M mixed securities shelf
o
BMRN BioMarin acquires
ZyStor Therapeutics for $22M upfront- PR
o
RTIX, MDT, OSTE RTI Biologics, Inc.
states that its relationship with Medtronic continues to be strong after MDT's
acquisition of Osteotech
o
LIFE Life Technologies to
acquire Ion Torrent for $375M in cash and stock - BizJournals
o
XOMA XOMA reports
1-for-15 reverse stock split, effective tomorrow
o
PODD Insulet COO Luis
Malave resigns
o
CRDC, ISRG Cardica and
Intuitive Surgical enter into license agreement
o
CRDC Cardica reports Q4
EPS
UTILITIES
o
AGL AGL Resources files
mixed securities shelf of indeterminate amount
EUROPE TRADING WRAP
o
Energy
o
Vestas Wind – 18% . Warns for FY after poor Q2
o
SMB Offshore -1%. Figures in-line, reiterate FY guidance.
o
Mining
o
BHP – 1%. Goes hostile @ $130 cash for POT.
o
Eurasian -2.1%. H1 net misses.
o
Maersk -0.5%. “Looking to buy assets not sell” after earnings beat and guiding
higher.
Japan
o
NKY+0.86%,
TPX +1.02%
o
NKY
rose after US retailers upgraded their FY earnings outlook and industrial
production rose more than expected. Turnover on the TPX fell to 896.18B yen
from 909.4B yen yesterday
o
Stocks
rose across most sectors led by oil & gas, financials, industrials,
materials and consumer
o
Exporters
rose after US retailers upgraded their FY forecasts: autos +1.40%, CE +0.33%,
precision +1.16
o
Traders
+1.79%, oil & gas +3.13% on higher commodities prices
o
Best
performing sectors on the TPX: mining +3.90%, oil & coal +2.77%, iron &
steel +2.12%; worst performing sectors: services -0.03%, electric power &
gas 0.00%, glass & ceramics +0.21%
Hong Kong
o
HSI
-0.54%; HSCEI -0.37%
o
Stocks
retreated, weighed down by weak mainland markets with gains in some local
property names and some large-cap gains helping limit the downside. Turnover on
the HSI fell to HK$12.54B from HK$20.56B yesterday
o
Mainland
banks fell after CBRC ordered banks to take back off-balance-sheet loans from
trust companies last week and make provision for those that may default. Market
estimate that China's bank may take back 300 – 500B yuan of loans onto their
balance sheet
China
o
SHCOMP
-0.21%; SZCOMP -0.01%
o
Stocks
were mixed. Tech and materials rose while telecom, oil & gas, health care,
financials, industrials and utilities fell.
o
Real
estate -1.03% after recent gains. Beijing may ban developers from directly
taking payments for the purchase of uncompleted homes, the Beijing
INVESTMENT
BANKING
INVESTMENT BANKING
WRAP
o BHP goes hostile on $39 billion POT Potash Corp bid- Reuters
o BHP Billiton said it was making its $130 a
share offer directly to shareholders, bypassing Potash Corp's board which a day
earlier called the bid "grossly inadequate."
o http://www.reuters.com/article/idUSTRE67G1R620100818
o BHP shares down after POT Potash Corp rejects $38.6 bln offer- Reuters
o BHP shares fell to a low of A$38.68 and last
traded down 3.5 percent at A$38.81 in a broader market .AXJO that was up 0.3
percent
o http://www.reuters.com/article/idUSSYU01050020100818
o BHP switches advisers as bankers line up for fee bonanza- Reuters
o With up to $190 million in potential fees up
for grabs, BHP Billiton's (BHP.AX)(BLT.L) bid for Canada's Potash Corp is the
deal investment bankers globally had been hoping for
o http://www.reuters.com/article/idUSSGE67H0DX20100818
o WSJ looks at BHP Billiton's pursuit of Potash
o The offer is likely to set off a long struggle
for the fate of the Canadian company, a crown jewel of the country's
natural-resources-based economy.
o http://online.wsj.com/article/SB10001424052748704554104575434992386821512.html?mod=ITP_pageone_0
o Li Ka-Shing and GS Goldman vie for rapid rail route- Reuters
o Li Ka-Shing has emerged as one of the suitors
for Britain's only high-speed rail line, just weeks after the Hong Kong tycoon
struck a $9 billion (5.8 billion pound) deal to buy the UK's biggest
electricity distribution network
o http://uk.reuters.com/article/idUKTRE67G4M920100817
o Dana in talks over £200m North Sea deal- FT
o Dana Petroleum is in talks to acquire a
package of UK North Sea assets from Canada’s SU Suncor, its second large
acquisition this year.
o http://www.ft.com/cms/s/0/03af3a3e-aa30-11df-9367-00144feabdc0.html
o Kosmos says deal with Exxon for Ghana business off- Reuters
o Oil exploration and production company Kosmos
Energy said its agreement with ExxonMobil (XOM.N) to sell its Ghana business
has been terminated, frustrating Exxon's hopes of entering Ghana's offshore oil
sector for now.
o http://www.reuters.com/article/idUSSGE67H08920100818
o Lone Star scraps $4 bln stake sale in KEB- Reuters
o U.S. private equity firm Lone Star [LS.UL] has
decided to scrap its plan to sell a majority stake in Korea Exchange Bank
(004940.KS) worth $4 billion at the current market price due to weak demand
from potential investors
o http://www.reuters.com/article/idUSTOE67H05G20100818
o Reynolds to buy Hefty maker PTV Pactiv for $6 billion- Reuters
o Reynolds Group Holdings plans to buy Hefty bag
maker Pactiv Corp for about $6 billion, further consolidating the competitive
food packaging industry and uniting two iconic brands under one banner.
o SCCO Southern shareholder seeks to block Asarco merger- Reuters
o A shareholder of Southern Copper Corp (SCCO.N)
has sued to block a proposed merger with Asarco claiming they are being
shortchanged by Grupo Mexico
o http://www.reuters.com/article/idUSN1716256120100817
o Nidec to brief on purchase of Emerson's motor unit- Reuters
o http://www.reuters.com/article/idUSTKG00682520100817
o China's Huaneng eyes stake in power utility InterGen- BBG
o China Huaneng Group, the nation's biggest
electricity producer, is in advanced talks to buy a 50 percent stake in
U.S.-based power utility InterGen NV for about $1.2 billion
o http://www.reuters.com/article/idUSTOE67H01E20100818
o Bain, Macquarie among shortlisted for CNS auction-IFR
o Private equity funds Permira, Providence
Equity Partners, Bain Capital and Australian investment bank Macquarie Group
have been shortlisted for second-round bids to buy Taiwan cable company China
Network Systems (CNS)
o http://www.reuters.com/article/idUSTOE67H02Y20100818
o Australia's CSL looking for small acquisitions- Reuters
o Australia's CSL, the world's second biggest
blood products maker, is looking at small acquisitions but is not considering
large or transformational deals at this stage
o http://www.reuters.com/article/idUSWNAS916520100817
o Beijing Auto to acquire Guangzhou Baol- Reuters
o The deal, if it goes ahead as planned, will
give Beijing-based BAIC a foothold in southern China, where Guangzhou
Automobile and its partners, Toyota Motor (7203.T) and Honda Motor (7267.T),
dominate
o http://www.reuters.com/article/idUSTOE67H05520100818
o China Everbright shines on debut day, banks attractive- Reuters
o China Everbright Bank shares surged 17 percent
on their Shanghai debut, trumping forecasts for the $3 billion IPO and boding
well for at least $20 billion in China bank fundraising in the pipeline
o http://www.reuters.com/article/idUSTRE67H07920100818
o Endocyte files $86.3M IPO through RBC and Leerrink Swann- SA
PRICINGS
o Initial Offerings
o
LRP Legacy Healthcare
Properties Trust Inc 8.75m share
IPO expected to price 8/19 via Jefferies and Stifel: Price Talk $20
o Secondary Offerings
o
ETP Energy Transfer Partners common unit offering priced at $46.22 through
Credit Suisse, BofA ML, Citi, Morgan Stanley, UBS and Wells Fargo
o
PNNT PennantPark Investment secondary offering priced at
$10.15 through JPMorgan, Morgan Stanley, SunTrust and Wells Fargo
NEWS
o Highland Hospitality
mulls Chapter 11- Reuters
o The debt default has given certain creditors the right to seek
foreclosure, and a bankruptcy filing likely would block the attempt
o Private equity firm Blackstone Group (BX.N), Wells Fargo & Co
(WFC.N), Barclays PLC (BARC.L), Prudential Financial Inc (PRU.N) and Ashford
Hospitality Trust (AHT.N) besides JER Partners are creditors of the hotel chain
and could decide its fate
o http://www.reuters.com/article/idUSTRE67H0I420100818
o
Energy: ETP Energy Transfer Partners offering 8M
units through Credit Suisse, BofA/ML, Citi, Morgan Stanley UBS and Wells Fargo
o
Energy: AGL AGL
Resources files mixed securities shelf of indeterminate amount
o
Healthcare: EXAS EXACT
Sciences announces that it has filed a $150M mixed securities shelf
o
PNNT PennantPark Investment to offer 4M shares through
JPMorgan, Morgan Stanley, SunTrust and Wells Fargo
TODAY’S EVENTS
o CONFERENCES
o
Bankhaus
Lampe KG Retail and Consumption Conference
§ NTS: DEQ.F
o
Conference
ConCepts, Inc.Flash Memory Summit - Aug 17, 2010 - Aug 19, 2010
§ 2:30PM: SNDK
o
DisplaySearch
TV Ecosystem Conference - Aug 18, 2010
o
Engineering
Conferences International: Nanofluids Fundamentals and Applications II
Conference - Aug 15, 2010 - Aug 19, 2010
o
Lazard
Capital Markets MAGIC Retail & Apparel Conference - Aug 16, 2010 -
Aug 18, 2010
o
Nine
Dot Nine Interactive Pvt Ltd.: CTO Forum - Aug 15, 2010 - Aug 18, 2010
o
TDWI
Business Intelligence Executive Summit - Aug 16, 2010 - Aug 18, 2010
o
TDWI
World Conference - Aug 15, 2010 - Aug 20, 2010
o
Terrapinn
Education Outlook Australia Conference - Aug 16, 2010 - Aug 18, 2010
o
The
Center for Business Intelligence Annual Forum on Tracking State Laws and
Aggregate Spend - Aug 16, 2010 - Aug 18, 2010
o
Tuohy
Brothers Natural Gas Infrastructure and Production Conference
§ 8AM: OKE , OKS
§ NTS: SD
o
WJB
Capital Group, Inc. Industrial Investor Conference
o TODAY’S EVENTS
o
Shareholder
Meetings
§
GNRG,
LZB, QTM, SJM, RMCF, MBND, CSUN
o
CELM
analyst meeting
o
U.S.
President - Obama attends Florida
fundraiser and reportedly speaks on
economy in Ohio
o
A live auction for such Internet domain names
as Stocks.com and Rate.com is held in New York, hosted by Moniker.com and
SnapNames.com. Collective reserves exceed $50 million.
o ECONOMICS
o
0700
MBA Weekly Mortgage Applications Survey
o
1030
EIA Weekly Petroleum Status Report
o EARNINGS
o Consumer/Retail/Education
·
CHS,
CTRN, GYMB, HOTT, LTD, TGT, FLXS, BJ, AFCE, PETM, CEDU, COCO, DL, JBSS
o
Energy
·
GU
o Financials
·
EV,
MTRX
o Healthcare
·
GHLV,
APPA, TCM
o Industrials/Homebuilders
·
DE,
STP, BLD, DGW
o Media
·
VVTV
o Real Estate
·
CTC
o
Tech/Telecom
·
SNPS,
NTAP, AMAT, IMOS, BRCD, FNDM, NTES, OBAS
***All
eco data from Bloomberg and DJ
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