Wednesday headlines include: Microsoft bidding $2 billion for Minecraft, Burger King’s Canada move making it less popular, Dollar General going hostile in its bid to acquire Family Dollar, Apple’s new product lineup and GT Advanced Technologies stock dropping after Apple decided to go in a different direction with the screens for its new phones.
Technology giant Microsoft (MSFT) is reportedly looking to expand a gaming business that already includes the Xbox game console. The company is reportedly in talks to pay $2 billion for Mojang AB, the company behind Minecraft. The company would fund the acquisition with cash held offshore.
Hamburger chain Burger King’s (BKW) decision to acquire Tim Horton’s (THI) and move its headquarters to Canada has made the restaurant even less popular with consumers. A study by YouGov BrandIndex found that 28 percent of survey respondents would consider going to Burger King, compared to 32 percent before the inversion was announced.
Discount retailer Dollar General (DG) is taking its bid for Family Dollar (FDO) hostile after being rejected by the company’s board. The company is reportedly preparing to launch a tender offer for Family Dollar shares at $80 per share. Dollar General is hoping that it can convince shareholders to accept an offer that values Family Dollar at about $9 billion, over a rival offer from Dollar Tree (DLTR) that values the company at $8.5 billion.
As expected, Apple (AAPL) announced two new iPhone models yesterday, both larger than the current iPhone 5s. the largest, the iPhone 6 Plus, features a 5.5-inch screen. The new phones include near-field communication, or NFC, chips that will allow consumers using the company’s new Apple Pay service to make payments at retailers with their phones. The company also unveiled the Apple Watch, which links to an iPhone and lets users perform many of the tasks they can do on their phone.
GT Advanced Technologies
In a development that was almost certainly related to Apple’s big show, shares of GT Advanced Technologies (GTAT) dropped sharply Tuesday in their heaviest-ever day of trading. The stock had rallied in recent weeks on rumors that Apple would use a sapphire screen, such as the kind GT makes, in the new iPhone. Apple appears to have gone a different route with the iPhone 6 and 6 Plus.