Celgene to Invest $1 B in Juno, Willis to Buy Towers Watson

Mukesh Buch
30 Jun, 2015
New York City

Celgene plans to invest about $1 billion in Juno Therapeutics. Willis Group agreed to acquire Towers Watson. Apollo Education net declined. ConAgra net swung to profit. OMNOVA net soared 15%.

[R]12:35 PM New York – Celgene plans to invest about $1 billion in Juno Therapeutics. Willis Group agreed to acquire Towers Watson. Apollo Education net declined. ConAgra net swung to profit. OMNOVA net soared 15%.[/R]

Tollbooth Index gained 0.3% or 28.81 to 10,609.86.

Earnings Review

Apollo Education Group Inc ((APOL)) plunged 14.5% or $2.26 to $13.28 after the private education services provider said net revenues in the third-quarter ending in May declined 14.1% to $681.5 million from a year ago period.

Net income in the quarter plummeted 27.1% to $48.1 million or 44 cents per diluted share compared to $66 million or 59 cents from the same quarter last year.

The company lowered its revenue forecast for the fiscal 2015 in the range of $2.60 billion to $2.62 billion from earlier estimate between $2.63 billion and $2.68 billion.

Blackstone Group LP ((BX)) slid 5 cents to $40.58 after the financial advisor agreed to sell its security service unit AlliedBarton Security Services to a France-based Wendel SE for about $1.67 billion.

The transaction is expected to close before the end of the year.

ConAgra Foods Inc ((CAG)) gained 1.4% or 61 cents to $44.04 after the packaged food maker reported net sales in the fourth-quarter ending in May jumped 3.7% to $4.10 billion from a year ago period.

Net in the quarter swung to profit $209.2 million or 48 cents per diluted share compared to a loss of $324.2 million or 77 cents from the same quarter last year.

The company said sales in consumer foods in the quarter jumped 4.5% to $1.86 billion and revenues in commercial foods segment climbed 6.6% to $1.23 billion while revenues in private brands business fell 1% to $1.02 billion from a year ago period.

Celgene Corporation ((CELG)) rose 10 cents to $114.99 after the biopharmaceutical company plans to invest about $1 billion in Juno Therapeutics Inc.

Shareholders of Juno will receive cash payment of $150 million and Celgene will acquire 9.14 million shares at $93 per share for a purchase price of $850 million.

Juno Therapeutics Inc ((JUNO)) surged 22.5% to $56.71 after the biopharmaceutical company obtained regulatory approval for an investigational new drug application concerning its B cell non-Hodgkin lymphoma treatment.

OMNOVA Solutions Inc ((OMN)) fell 7 cents to $7.69 after the emulsion polymers provider said net sales in the second-quarter ending in May plunged 17.3% to $220.2 million from a year ago period.

Net income in the quarter soared 14.7% to $3.9 million or 9 cents per diluted share compared to $3.4 million or 7 cents from the same quarter last year.

Willis Group Holdings Plc ((WSH)) soared 5.3% or $2.41 to $47.79 after the U.K.-focused insurance broker announced an all-stock merger deal with the financial services provider Towers Watson & Co and create $18 billion personnel and risk insurance company.

Shares of Towers Watson & Co dropped 2.1% to $135.01.