M&A; Activity Around The Globe: PFE, ICGN, ECL, NCL, DP World, Integra Port Services, Suriname Port Services
Wednesday, July 20, 2021 11:06 AM

As the US stocks retreat from session highs after the Federal Reserve Chairman Ben Bernanke told Congress the central bank was not ready at this point to take further action to bolster the economy, several M&A activities took place around the world. Some notable M&A activities are discussed here.

Pfizer to Acquire Icagen for $6 a share

Pfizer Inc. (NYSE: PFE) said Wednesday that it has agreed to acquire Icagen Inc. (Nasdaq: ICGN), which is developing drugs to treat pain and related disorders, for $6 a share. Pfizer currently owns about 11 percent stake in Icagen and has agreed to acquire the remaining 8.3 million shares for a total transaction value of $56 million. In 2007, Pfizer and Icagen entered into a worldwide collaboration for the discovery, development and commercialization of compounds that modify three specific sodium ion channels as new potential treatments for pain and related disorders. Last month Icagen's shares jumped after Pfizer said it was considering a strategic transaction with Icagen. Shares of Icagen are currently trading lower by 23.16 percent to $5.96, while PFE is down 0.65 percent to $19.81 a share on Wednesday.

Ecolab Agrees to Buy Nalco for $5.4 Billion

Ecolab Inc. (NYSE: ECL) said Wednesday that its board of directors have approved approved a definitive agreement under which Nalco Inc. (NYSE: NLC) will merge with a subsidiary of Ecolab in a transaction valued at approximately $5.4 billion, in part to better position itself in the water management business. Nalco is the world's leading water treatment and process improvement company, offering water management sustainability services focused on industrial, energy and institutional market segments. Nalco delivers significant environmental, social and economic performance benefits to customers through value-added services in water treatment and management, pollution reduction programs, energy conservation, and oil and gas extraction efficiency and sustainability offerings. Nalco sales were $4 billion in 2010. Under the terms of the transaction, Nalco shareholders will have the option to receive either 0.7005 shares of Ecolab common stock or $38.80 per Nalco share in cash. This represents a fully-diluted offer value for Nalco’s equity of $5.4 billion and, inclusive of $2.7 billion in Nalco net debt, a total transaction value of $8.1 billion. ECL is trading lower by 7.58 percent to $51.19, while NLC is up 24.70 percent to $26 a share today.

DP World Buys Controlling Stake in Suriname Firms

Dubai-based port operator DP World said Wednesday that it has bought controlling interest in two port services companies in Suriname, cashing in on an expected increase rise in trade volumes in the South American country, the company said in a statement on Wednesday. DP World did not disclose the financial terms for the acquisition of controlling stakes in Integra Port Services (IPS) and Suriname Port Services (SPS), but said it expects to close the transactions in the third quarter. IPS holds a concession for a container and break-bulk terminal in Nieuwe Haven Port, while SPS owns a private break-bulk facility, both in Paramaribo.