What regulatory hurdles?
German agribusiness company Bayer (BAYRY) reached an agreement to purchase Monsanto (MON) for $66 billion, in a move that will create the world's largest seed and pesticide company. Bayer will pay about $128 a share, about a 20% premium over the stock's previous closing price.
With an eye towards the potentially hostile regulatory environment surrounding big agribusiness deals, Bayer is also offering a break-up fee of about $2 billion, according to Bloomberg sources.
Last week's Wells Fargo (WFC) flap is hurting the pockets of one of the world's richest men. WFC lost its status as the market's largest bank, as declines following the $185 million fine levied against the bank caused it to lose market cap, allowing J.P. Morgan (JPM) to take the top spot as the bank with the largest market cap. WFC is an Action Alerts PLUS holding.
Warren Buffett, whose Berkshire Hathaway (BRK.B) hedge fund is the bank's largest shareholder, saw his fortune fall by an estimated $1.4 billion -- from about $66 billion -- in the days since the fine was announced on Thursday.
EpiPen-maker Mylan (MYL) is experiencing more bad press Wednesday following a Wall Street Journal report that the company, which recently more than doubled the price of the life-saving EpiPen, has the second-highest executive compensation package in the industry. Over the past five years, Mylan has paid its top five managers a total of nearly $300 million.
That figure raises eyebrows, because Mylan isn't that large of a company. The drug maker ranks 11 in the U.S. by revenue and 16 by market cap. "They're clearly very generous," Kevin Murphy, a finance professor at the University of Southern California, told the Journal -- which might win the award for understatement of the week.
Ruby Tuesday (RT) bulls may be feeling blue Wednesday after the company's CEO stepped down about one month after the restaurant chain announced that it would be closing about 13% of its stores due to declining sales. James Buettgen joined the company as CEO in December 2012, after leaving his position as chief marketing officer at rival Darden (DRI) .
Buettgen's resignation is effective immediately, and the board appointed F. Lane Cardwell Jr. as its interim CEO until a successor is found. Cardwell, who is a director on Ruby Tuesday's board, was previously the CEO of Boston Market Corp. and president of P.F. Chang's China Bistro.