‘Merger Monday’ is back, with more than $60 billion of deals announced today. Here are the 5 biggest.

  • “Merger Monday” is back, with companies announcing more than $60 billion worth of deals on November 25.
  • From divestitures to multi-billion-dollar acquisitions, some of of these newly inked deals are expected to reshape industries.
  • Here are the five largest deals announced on Monday.
  • Visit the Business Insider homepage for more stories.

“Merger Monday” is back.

Companies announced more than $60 billion worth of deals on Monday, November 25. And while many of the transactions were speculated about for weeks, they were all made official within a short span.

The deals are expected to shake up industries such as online ticket sales, pharmaceuticals, and luxury goods. Some of the purchases were made with stock, while other companies opened their coffers to shell out cash.

“Merger Monday” is an occurrence when multiple deals are announced on a Monday because company boards meet and vote to execute deals over the weekend.

Here are the five largest deals announced today:


1. Charles Schwab to buy TD Ameritrade for $26 billion

source
Reuters

Charles Schwab announced on Monday it will buy rival brokerage TD Ameritrade for $26 billion in stock.

The deal is expected to reshape the discount brokerage space as two of America’s largest players join forces. The combine company will have about 24 million customer accounts and oversee more than $5 trillion in client assets.

Schwab said in a press release that it expects the union to generate between $1.8 billion and $2 billion in on cost savings. It also anticipates earnings per share will rise between 10% and 15% three years after the deal closes.

Read more: Here’s where analysts think E-Trade fits in after reports of Charles Schwab-TD Ameritrade deal talks – and why wealth is the next battleground post-broker wars


2. LVMH to buy Tiffany for $16.2 billion

source
Reuters

LVMH confirmed Monday that it would buy Tiffany & Co for $16.2 billion cash, or $135 per share.

The acquisition is the largest in the luxury fashion conglomerate’s history. LVMH also owns brands such as Christian Dior, Louis Vuitton, and Hennessy. The deal is expected to bolster the conglomerate’s presence in the US market, as well as its fine jewelry offerings.

Tiffany reportedly asked LVMH to boost its initial offer of $14.5 billion made in early November, according to Reuters.


3. Novartis to buy The Medicines Company for $9.7 billion

source
Reuters

Novartis inked a deal on Sunday to buy The Medicines Company for $9.7 billion in cash, or $85 per share.

The offer price represents almost a 41% premium above the company’s thirty-day volume weighted moving average price, according to a press release from Novartis.

The Medicines Company is known for developing inclisiran, a cholesterol-lowering drug that was once expected to generate billions in sales, Stat News reported.

“This transformational, new investigational medicine has the potential to meaningfully address one of the largest areas of underserved patient need,” Novartis Pharmaceuticals President Marie-France Tschudin said in the release.


4. Viagogo to purchase StubHub for $4 billion from eBay

source
NBA

The Wall Street Journal reported on Monday that Viagogo has agreed to purchase StubHub from eBay for $4 billion in cash. The news sent shares of eBay trading as much as 6% higher.

The transaction could close as early as Monday, the Journal found. In 2007, eBay purchased StubHub for $310 million. The ticket sales platform grew revenue by 5% to $306 million in the third quarter of 2019, according to eBay’s earnings report.

Activist investors Starboard Value and Elliott Management began pushing eBay to offload StubHub in January, according to the Journal.

The sale would also bring StubHub back under control of cofounder Eric Baker, the current CEO of Viagogo.


5. A consortium led by Mitsubishi Corporation to buy Dutch energy provider Eneco for $4.5 billion

source
Reuters

Dutch power provider Eneco said on Monday its shareholders agreed to sell itself to a consortium led by Mitsubishi Corporation for 4.1 billion euros, or about $4.52 billion.

Mitsubishi will put up 80% of the funds for the transaction, while Japanese energy company Chubu will provide the other 20%.

The deal will allow Mitsubishi to expand its energy business throughout Europe, as Eneco will become its European center for energy-related operations, according to a press release.

Mitsubishi beat out private equity group KKR and Royal Dutch Shell for the deal.