A number of stocks involved in pending deals followed the Dow Jones Industrial Average's fall Wednesday. The Dow ended down 37.47 points to close at 12,442.83, after more than a 200 point gain following the Federal Reserve Board's announced 1/2 percentage point interest rate cut, as investors await key job market and manufacturing reports slated to arrive at the end of the week.
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Semiconductor maker Amis Holding Inc. eclipsed the broader market loss with a 6.36% decline to close at $7.36 per share. Amis, which is the target of a $915 million, or $10.14 per share, acquisition by ON Semiconductor Corp., saw revenues fall by roughly $2 million to about $10 million for its fourth quarter ended Dec. 31.
Reddy Ice Holdings Inc. also cooled off Wednesday as its shares slid 3.04% to close at $22.04. GSO Capital Partners, which is seeking to acquire the packaged ice company for $680 million, or $31.25 per share, may not be ready to buy Reddy as it runs up against the end of its extended debt marketing period. The pending deal has been viewed somewhat cautiously by investors due to an uncertain financing commitment since last summer, as earlier reported by TheDeal.com.
3Com Corp. was also in the loss column Wednesday, falling 2.86% to close at $4.08 per share. U.S. lawmakers have raised concerns over Bain Capital LLC and Huawei Technologies Co. Ltd.'s proposed $2.2 billion, or $5.30 per share, acquisition of the company, claiming that Huawei threatens U.S. national security because it was founded by a former Chinese Army officer, who may still be linked to the country's military and government, as earlier reported by TheDeal.com. - Michael Rudnick
See TheDeal.com: ON Semi to buy AMIS
See TheDeal.com: Reddy deal moves at glacial speed
See TheDeal.com: 3Com buyout raises security fears
