Dynegy & Duke Energy
Power company Dynegy is bulking up its generation capacity with two big buys. Dynegy is spending more than $6 billion to buy several coal and gas power generation plants from Duke Energy and the private equity firm Energy Capital Partners. The move will nearly double its power generation capacity and allow it to retail electricity in new markets. Shares of Dynegy popped almost nine percent to $32.32. Duke was off slightly to $72.87.
Shares of Peregrine Semiconductor surged after Japan’s Murata Manufacturing said it would buy the rest of the radio frequency chip maker that it doesn’t already own. Murata will pay $465 million in cash for the company. Peregrine was up about 63 percent to $12.53, making the small-cap stock the biggest percentage gainer on the Nasdaq.
Some technical issues at Walgreen today. Half of its stores were unable to fill prescriptions because of a database failure. The drugstore chain has been able to restore systems at most of those locations. Shares were off a fraction to $61.05.
Ann Inc posted earnings and revenue that topped estimates, but a weak outlook disappointed investors. The parent of Ann Taylor cut its sales guidance for the year because of soft traffic and continued promotions. That sent shares down more than three percent to $37.52.
Bucking the trend of downbeat earnings from retailers, Foot Locker posted a beat on the top and bottom lines. Its second-quarter profit was up almost 40 percent as its sales continued to climb. Shares rose about three percent to $54.12.
Keurig Green Mountain Coffee
Keurig and Kraft have joined forces. Now Keurig will make Kraft branded coffees like Gevalia, Maxwell House and even McDonald’s coffee for its single-serve Keurig brewing systems. The financial terms of the deal weren’t disclosed. The stock jumped 13 percent to $133.36.
McDonald’s announced an executive shakeup today. McDonald’s is replacing its U.S president for the second time in two years. The move comes as sales in the U.S. have been slumping. Shares were slightly off at $94.45.