Northrop, Orbital ATK in $7.8 B Deal; Slack Raises Funds at $5B Valuation

Mukesh Buch
18 Sep, 2017
New York City

Itron agreed to acquire its smaller rival Silver Springs Networks for $830 million. Northrop Grumman intends to acquire missile and rocket maker Orbital ATK for $7.8 billion. Slack raised fund in the latest round at $5 billion valuation. Wenner Media seeks buyer for Rolling Stone.

[R]11:45 PM New York – Itron agreed to acquire its smaller rival Silver Springs Networks for $830 million. Northrop Grumman intends to acquire missile and rocket maker Orbital ATK for $7.8 billion. Slack raised fund in the latest round at $5 billion valuation. Wenner Media seeks buyer for Rolling Stone.[/R]

Tollbooth Index edged up 5.79 to 12,548.41.

Earnings Review

Itron, Inc ((ITRI)) gained 1.5% or $1.12 to $73.93 after the smart metering products maker agreed to acquire smaller rival Silver Springs Networks Inc for $16.25 per share in cash or about $830 million.

The transaction is expected to close in late 2017 or early 2018.

Silver Springs Networks Inc stock surged 24% to $16.12.

LightInTheBox Holding Co., Ltd ((LITB)) jumped 6% or 16 cents to $2.82 after the China-focused online consumer goods retailer said revenues in the second-quarter ending in June soared 19.6% from a year ago to $78.5 million.

Net loss in the quarter narrowed to $1.8 million or 38 cents per diluted share from profit of $1.9 million or 2 cents in the same quarter last year.

In the third-quarter, the retailer forecasted revenues between $75 million and $78 million, an increase of 16.5% to 21.2% from a year ago period.

Northrop Grumman Corporation ((NOC)) increased 1.5% or $3.96 to $270.99 after the U.S. defense contractor said that it intends to acquire missile and rocket maker Orbital ATK Inc for about $7.8 billion in cash, plus the assumption of $1.4 billion in net debt.

Northrop said under the terms, shareholders of the Orbital ATK will receive in cash $134.50 per share.

The transaction is expected to close in the first-half of 2018.

Scorpio Tankers Inc ((STNG)) declined 4.6% or 16 cents to $3.34 after the seaborne petroleum products transporter said revenues in the second-quarter ending in June plunged 13.7% from a year ago to $118.4 million.

Net in the quarter swung to a loss of $68.3 million or 38 cents per diluted share from profit of $3.8 million or 2 cents in the same quarter last year.

Slack Technologies, Inc, the Reuters said Canada-based privately held messaging application developer said it raise total funds of $841 million from Japan-based SoftBank Group Corp and other investors Vision Fund and Accel, valued the startup at $5.1 billion.

Wenner Media LLC, the privately held media and magazine publisher announced that it has initiated a process to explore strategic options and sell majority interest in Rolling Stone.