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Baker Hughes (BKR) nears $13.6B deal to buy Chart Industries (GTLS), displacing Flowserve – FT. (00:25) Cadence (CDNS) to pay $140 million to U.S. for selling chip design tech to Chinese university. (01:10) Core ‘Warner Bros.’ (WBD) biz to be led by Zaslav; Wiedenfels to head networks unit ‘Discovery Global’. (01:56)
This is an abridged transcript.
Chart Industries (NYSE:GTLS) +14% pre-market.
The Financial Times reported Baker Hughes (NASDAQ:BKR) is near a $13.6B cash deal to acquire the company.
That price would value Chart at $210/share, a 22% premium to its Monday closing price.
A deal by Baker Hughes (NASDAQ:BKR) would supersede an earlier agreement between Chart Industries (NYSE:GTLS) and Flowserve (NYSE:FLS), which announced an all-stock merger in June that valued the combined company at ~$19B including debt.
The FT reported that the acquisition would strengthen Baker Hughes’ (BKR) presence in liquefied natural gas, nuclear energy and data centers, bolstering its growing industrial and energy technology division.
Cadence Design Systems (NASDAQ:CDNS) has agreed to plead guilty to violating export laws and will pay over $140 million to the U.S. government.
Authorities found that the company illegally sold semiconductor design tech to an entity associated with China’s military, represented by China’s National University of Defense Technology through a front company between 2015 and 2021.
In 2015, the U.S. Department of Commerce placed the Chinese institution on a blacklist because it was accused of simulating nuclear explosions and military operations using its supercomputer, which employed U.S. microprocessor chips.
CDNS is ~6% higher in pre-market action.
Warner Bros. Discovery (NASDAQ:WBD) has chosen new names for its businesses that are set to split by the middle of next year.
The streaming and studios business will be “Warner Bros.” and its networks business will be called “Discovery Global.”
The streaming and studios business will consist of Warner Bros. Television, Warner Bros. Motion Picture Group, DC Studios, HBO and HBO Max, and Warner Bros. Gaming Studios.
David Zaslav will serve as president and CEO of Warner Bros. A chief financial officer for the business is yet to be appointed.
The TV networks business will consist of its entertainment, sports, and news television brands around the world, including CNN, TNT Sports in the U.S., and Discovery, among other notable names.
What’s Trending on Seeking Alpha:
U.S. smartphone shipments edge up in Q2 as tariff fears spur inventory push; Samsung surges, Apple slips
Medicare Part D premiums will sharply rise in 2026 – report
Nvidia ordered 300K H20 chips from Taiwan Semiconductor last week – report
Catalyst watch:
Dow, S&P and Nasdaq futures are in the green. Crude oil is up 0.6% at $67/barrel. Bitcoin is up 0.6% at $118,000. Gold is up 0.4% at $3,327.
The FTSE 100 is up 0.4% and the DAX is up 1.2%.
The biggest movers for the day premarket: Whirlpool (NYSE:WHR) -15% – Shares sank after missing Q2 estimates, with EPS at $1.34 vs. $1.74 expected and down sharply from $2.39 a year ago.
On today’s economic calendar:
FOMC Meeting Begins
9:00 am FHFA House Price Index is seen to come in at -0.1% M/M.
10:00 am Consumer Confidence
10:00 am JOLTS: Job openings are expected to be down at 7.40 million in June versus 7.769 million in May.
