WellCare Health Plans Inc., which is rumored to be a takeover target as earlier reported by TheDeal.com, logged an 11.5% stock gain to close at $48.08 per share on the day. The company's chairman and chief executive officer Todd Farha resigned on Friday, prompting the deal speculation.
Apparel company Kellwood Co. also saw double-digit gains, as its stock rose 18.71% to close at $20.30 for the day following news that it would remove impediments to Sun Capital Securities $21 per share cash tender offer and allow stockholders to decide whether or not to accept the proposal.
Alliance Data Systems Corp. was a dark spot on the deal radar as the stock plummeted 35.24% to close at $42.48 per share. Prospects dimmed for the $7.8 billion, or $81.85 per share, buyout of the company by Blackstone Group LP, after the private equity firm said it did not anticipate gaining regulatory approval.
Clear Channel Communicatons Inc., which is target of a $26 billion, or $39.20 per share buyout by Bain Corp. and Thomas H. Lee Partners LP, fell 7.04% to $31.42 per share Monday, as the Street continues to question how the impact of an economic downturn on the radio industry could affect this pending deal.
The Dow Jones Industrial Average picked up 176.72 points Monday to close at 12,383.89. - Michael Rudnick
Comments
This section used to possess some flair, but now it seems a bit antiseptic. I could get the same kind of stimulation from The Economist. Bring back the creativity.