Swift and Knight in $6 B Merger Deal, Toyota to Expand Production in Kentucky

Mukesh Buch
10 Apr, 2017
New York City

AT&T agreed to buy Straight Path for $1.6 billion. Aspen and KSL Capital intend to buy Intrawest Resorts for $1.5 billion. Swift Transportation and Knight Transportation agreed to merge. Toyota said it plans to invest $1.3 billion and expand production at Kentucky plant.

[R]2:10 PM New York – AT&T agreed to buy Straight Path for $1.6 billion. Aspen and KSL Capital intend to buy Intrawest Resorts for $1.5 billion. Swift Transportation and Knight Transportation agreed to merge. Toyota said it plans to invest $1.3 billion and expand production at Kentucky plant.[/R]

Tollbooth Index increased 24.67 or 0.2% to 11,578.17.

Earnings Review

AT&T Inc ((T)) slid 6 cents to $40.54 after the wireless carrier agreed to acquire Straight Path Communications Inc for about $1.6 billion.

Under the terms, shareholders of Straight Path will receive $95.63 worth of AT&T.

Straight Path Communications Inc stock soared 146.8% to $90.02.

Aspen Skiing Co LLC, Reuter said the privately held ski resorts operator and private equity firm KSL Capital Partners LLC will buy Intrawest Resorts Holdings Inc for $23.75 per share in cash or about $1.5 billion, including debt.

The transaction is expected to close by the end of the third quarter of this year.

Intrawest Resorts Holdings Inc stock plunged 6.1% to $23.74.

LG Display Co Ltd ((LPL)) increased 1% or 13 cents to $13.27 after the Electronic Times reported Google Inc offered to invest up to $880.29 million or 1 trillion won to the South Korea-based liquid crystal display maker.

Lifeway Foods, Inc ((LWAY)) rose 1 cent to $10.22 after the dairy and health food products maker said net sales in the year ending in December jumped 4.5% from a year ago to $123.9 million.

Net income in the quarter soared 75% to $3.5 million or 22 cents per diluted share from $2 million or 12 cents in the same quarter last year.

Okta Inc ((OKTA)) gained 1.5% or 35 cents to $23.86 after the cloud-based identity software developer completed its initial public offering and raised $187 million valuing the company at about $1.5 billion. The stock soared 40% on the first day of trading from its offer price.

Swift Transportation Co ((SWFT)) surged 23.2% or $4.65 to $24.67 after the trucking and logistics services provider is planning a merger worth $6 billion with Knight Transportation and the merged company is expected to be named “Knight-Swift”

Swift share will convert into 0.72 shares of the merged company. Each Knight share will be swapped for one Knight-Swift share.

Toyota Motor Corp ((TM)) rose 25 cents to $106.16 after the Japan-based automobile maker said it plans to invest $1.33 billion at its Kentucky production facility and increase Camry model production capacity.

“Toyota''s plans to invest $10 billion in the United States over the next five years,” chief executive officer of Toyota Jim Lentz said.

Xcerra Corp ((XCRA)) jumped 7.7% or 69 cents to $9.69 after the electronic testing equipment maker agreed to be acquired by Unic Capital Management for $10.25 per share in cash or about $580 million.