(For more market insights, including options activity, click on ; for the Day Ahead newsletter link.reuters.com/mex49s; for the Morning News Call newsletter, link.reuters.com/nex49s) U.S. stocks opened higher on Monday, rebounding from a decline in the previous session on the back of merger and acquisition activity in the pharmaceuticals sector. The Dow Jones industrial average was up 0.43 percent at 16,432.36, the S&P 500 was up 0.21 percent at 1,867.26 and the Nasdaq Composite was unchanged at 4,075.604.
** BANK OF AMERICA CORP, $15.14, -5.08 pct
The bank said it would suspend its $4-billion stock buyback program and a planned increase in its quarterly dividend because it miscalculated the level of its capital after buying Merrill Lynch in 2009. The restatement means that the bank holds less capital than previously estimated.
** FOREST LABORATORIES INC, $89.9, +0.07 pct
** FURIEX PHARMACEUTICALS INC, $102.84, +28.31 pct
Forest Laboratories said it would buy Furiex Pharmaceuticals for up to $1.46 billion including milestone payments to access Furiex’s promising treatment for irritable bowel syndrome.
** POZEN INC, $7.9, -13.47 pct
U.S. health regulators denied approval for the company’s experimental pain medication citing deficiencies at the manufacturing facility of an active ingredient supplier.
** AMERICAN ELECTRIC POWER CO, $54.2, +1.54 pct
Analysts at several brokerages raised their price targets on the power company’s stock, citing its increased earnings forecast and capital expenditure for transmission projects for 2014. The company on Friday raised its 2014 earnings forecast to between $3.35 and $3.55 per share, from $3.20 to $3.40 per share.
** NEWMONT MINING CORP, $24.88, -5.94 pct
** BARRICK GOLD CORP, $17.62, -1.51 pct
Newmont Mining has terminated merger talks with Barrick Gold Corp. In a brief statement, Barrick said that although it believed a merger of the two gold miners would have been in the best interests of shareholders, Newmont’s board had decided its shareholders’ interests were best served by remaining independent.
** YOUKU TUDOU INC, $23.79, -1.45 pct
Alibaba Group Holding Ltd and a private equity firm co-founded by its executive chairman Jack Ma have agreed to buy a $1.22 billion stake in Youku, as China’s ecommerce giant intensifies its focus on online video business.
** TEVA PHARMACEUTICAL INDUSTRIES LTD, $48.8, +0.23 pct
** ONCOGENEX PHARMACEUTICALS INC, $4.5349, -53.25 pct
Teva Pharmaceutical and OncoGenex Pharmaceuticals said their prostate cancer treatment failed to show improvement over standard chemotherapy in a late-stage trial.
** PRECISION DRILLING CORP, $12.74, +1.43 pct
Canada’s largest oil and gas drilling contractor raised its full-year capital spending plan for the second time in over a month, citing strong demand for its new rigs.
** ATHERSYS INC, $1.242, -54.51 pct
Athersys said its experimental stem-cell therapy for treating an inflammatory bowel disease failed to show any meaningful benefit in early results from a trial, sending its shares plunging before the bell.
** ENERGY TRANSFER PARTNERS LP, $55.7, -0.18 pct
** SUSSER HOLDINGS CORP, $79.52, +39.44 pct
The owner of gasoline retailer Sunoco Inc said it would buy Susser Holdings Corp in a deal valued at $1.8 billion to create a standalone retailing business.
** CHARTER COMMUNICATIONS INC, $136.72, +5.16 pct
The No. 4 U.S. cable company reported a 15 percent jump in first-quarter revenue due to a rise in the number of residential video subscribers.
** COMCAST CORP, $51.51, +1.06 pct
** TIME WARNER CABLE INC, $141, +1.14 pct
Comcast Corp offered to sell 1.4 million pay TV subscribers to Charter Communications Inc for $7.3 billion, as part of a wider transaction aimed at winning regulatory approval for its proposed $45 billion takeover of Time Warner Cable.
** E*TRADE FINANCIAL CORP, $22.04, -1.61 pct
Wall Street's self-funded regulator is investigating the discount brokerage firm's history of stock order executions, leading to suspicions of rigged markets and high-frequency front-running, the New York Post reported on Sunday, citing sources. The Financial Regulatory Authority (Finra) is looking into whether its clients received the best pricing on their purchases, the New York Post added. (link.reuters.com/gud88v)
** PFIZER INC, $31.68, +3.02 pct
** ASTRAZENECA PLC, $79.4, +15.64 pct
The U.S. drugmaker is working on its next move in a potential $100-billion-bid battle for Britain’s AstraZeneca Plc after having two bids rejected, as deal-making grips the healthcare industry.
** MERCK & CO INC, $57.65, +0.72 pct
The pharmaceutical giant is in the final stages of selling its consumer healthcare unit for close to $14 billion, with Bayer AG and Reckitt Benckiser Group Plc among final contenders to clinch a deal as soon as next week, people familiar with the matter said.
** HARTFORD FINANCIAL SERVICES GROUP, $34.93, -0.14 pct
Japan’s Orix Corp has agreed to buy Hartford Financial Services Group’s Japanese unit for $895 million as part of efforts to expand its life insurance business in the world’s third-largest economy.
** AMERICAN AIRLINES GROUP, $36.2202, +0.61 pct
A federal judge on Friday approved the November settlement between the U.S. government and the airlines that merged to form American Airlines Group, the world’s biggest carrier.
** MYLAN INC, $49.96, -4.11 pct
Swedish drugmaker Meda has rejected an improved takeover offer from the U.S. generics firm, saying it was confident in its future as an independent company and its biggest shareholder did not support the bid. (Compiled by Rohit T.K. in Bangalore; Editing by Simon Jennings)