Informatica is going private in the biggest leveraged buyout of the year. The software company will be bought by a European private equity firm called Permira Advisers and the Canada Pension Plan Investment Board for more than $5 billion. Under the terms of the deal, Informatica shareholders will get around $49 in cash for each share of common stock. The stock popped four percent to $47.79.
Starbucks faces questions over its tax practices in Europe, according to a report today in the Wall Street Journal. The coffee chain reported losses in its biggest European markets, even as it notched hundreds of millions of dollars in annual sales. The deal the company made with the government in the Netherlands to lessen its tax burden is also reportedly being called into question. Starbucks’ European headquarters is in the Netherlands. Shares were off slightly to $94.07.
The Canadian government has unloaded its multi-billion-dollar stake in General Motors, which weighed on shares of the automaker today. That stake, which is estimated to be worth more than $2.5 billion, will be sold to Goldman Sachs for an undisclosed amount. The stock fell 2.5 percent to $35.73.
Axalta Coating Systems
Warren Buffett is upping his bet on the U.S. auto industry with his latest investment. Buffett took a nearly $ stake in Axalta Coating Systems – a company that makes liquid and powder coatings for the auto and transportation industry. Shares of Axalta were about ten percent higher to $31.11.
An analyst upgrade sent shares of Splunk higher today. Piper Jaffray now rates the data management and software company “overweight” up from “neutral.” The firm saying the recent slide in the stock has created a better risk reward scenario. Shares were up three percent to $62.09.