EQT in $6.7 B Deal with Rice Energy, AerCap orders 30 Boeing 787-9 Jets

Mukesh Buch
19 Jun, 2017
New York City

EQT agreed to buy Rice Energy for $6.7 billion. Hess agreed to sell its enhanced oil recovery assets in Permian Basin in Texas. Lockheed Martin and Tata agreed to make F-16s in India. Stryker agreed to buy Novadaq.

[R]1:30 PM New York – EQT agreed to buy Rice Energy for $6.7 billion. Hess agreed to sell its enhanced oil recovery assets in Permian Basin in Texas. Lockheed Martin and Tata agreed to make F-16s in India. Stryker agreed to buy Novadaq.[/R]

Tollbooth Index advanced 82.23 or 0.7% to 12,180.73.

Earnings Review

AM Castle & Co ((CASL)) plunged 16.7% to 10 cents after the specialty metals distributor said it commenced for voluntary chapter 11 proceedings with the United States Bankruptcy Court and immediately filed a prepackaged chapter 11 Plan of reorganization.

AerCap Holdings N.V rose 40 cents to $46.54 after the Ireland-based aircraft leasing services provider ordered 30 Boeing 787-9 Dreamliners at Paris Air Show. The list price of the order is $8.1 billion.

EQT Corporation ((EQT)) declined 9.9% or $5.79 to $52.98 after the oil and natural gas producer plans to acquire oil and gas producer Rice Energy Inc for $6.7 billion in cash and shares.

Under terms, EQT will pay 0.37 of shares and $5.30 in cash for each share of Rice, representing a premium of 37.4% on closing price of Rice Energy stock on Friday.

The transaction is expected to close in the fourth-quarter of 2017.

Rice Energy Inc jumped 25.5% to $24.74.

Hess Corp ((HES)) fell 20 cents to $43.37 after the oil and gas explorer agreed to sell its stake in enhanced oil recovery assets in the Permian Basin of West Texas and New Mexico to Occidental Petroleum Corp for about $600 million.

The transaction is expected to close on August 1.

Lockheed Martin Corporation ((LMT)) gained $1.25 to $282.36 after the security and aerospace products maker and India-based Tata Advanced Systems Limited plan to jointly produce the F-16 Block 70 in India for Indian Air Force.

Lockheed said partnership directly supports India''s initiative to develop private aerospace and defense manufacturing capacity in India.

Reuter said that aerospace company is in final deal to sell 440 F-35 fighter jets to a group of 11 countries including the U.S. at list price of more than $37 billion, at average price of $85 million per aircraft.

MB Aerospace Group, the privately held company signed a new 10-year contract with Pratt & Whitney, a division of United Technologies Corp with a potential value of up to $1 billion or £780 million over the life of the contract.

Stryker Corporation ((SYK)) increased 78 cents to $143.05 after the medical and surgical equipment provider agreed to buy Canada-based medical imaging systems maker Novadaq Technologies Inc for $11.75 per share in cash or about $701 million, representing a premium of 95.8% over the closing price on June 16.

Stryker expected to hold the special meeting on August 4.

Novadaq Technologies Inc surged 95% to $11.70.