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Squawk on the Street

Manic Merger Monday, Uber Stripped of its London License, Bloomberg Enters the 2020 Presidential Race

Squawk on the Street

CNBC

News, Business, Investing

4.1567 Ratings

🗓️ 25 November 2019

⏱️ 43 minutes

🧾️ Download transcript

Summary

Carl Quintanilla, Jim Cramer & David Faber breakdown a manic merger Monday. LVMH is acquiring Tiffany for $16.2 Billion, Schwab is buying TD Ameritrade in a $26 billion all-stock deal, and Ebay’s selling StubHub to Viagogo for about $4 billion in cash. Plus, Uber losing its license in London. The company pushing back saying the decision is quote: “extraordinary and wrong, and we will appeal.” Plus, Michael Bloomberg jumping into a crowded 2020 Democratic field.

Transcript

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0:00.0

Market insight and analysis. You're listening to the opening bell of CNBC, Squawk on the Street.

0:10.8

Good Monday morning. Welcome to Squawk on the Street. I'm Carl Cantonia with Jim Kramer, David Faber at the New York Stock Exchange.

0:16.3

Solid futures to start a holiday shortened week, thanks to constructive China trade headlines,

0:21.5

some $60 billion in formally announced M&A involving Schwab, TD, Tiffany, Novartis, and more.

0:27.6

Europe is steady, 10-year 178 pal does make some remarks later on tonight.

0:32.3

Our roadmap begins with Megadil Monday, LVMH confirming a deal to acquire the iconic jewelry brand Tiffany for 16.2 billion.

0:40.1

Plus, Charles Schwab is buying a merit trade. It's a $26 billion all-stock deal.

0:45.2

It will combine the companies. The two biggest publicly traded discount brokers would have more than $5 trillion in client assets.

0:52.5

And eBay set to sell off Stubhub in an all-cash deal for nearly $4 billion.

0:56.8

David's got details on that.

0:59.1

Let's start, though, with this historic deal in luxury goods.

1:01.6

LVMH will acquire Tiffany for $16.2 billion in cash.

1:05.9

Deals worth $135 a share.

1:07.4

Two companies expect to complete that deal by mid-2020.

1:16.0

And David, I assume you can fill us in on what's going to happen to the brand, synergies, and all of that.

1:26.0

You know, listen, I mean, it's an important transaction for LVMH, which has tried twice before, is my understanding, and not been able to get there, had done it privately.

1:35.5

From a M&A strategic point of view, this went about as well as sort of it could have been hoped for from both sides.

1:40.5

You had seasoned advisors on both sides who I think guys thought they would get to a deal,

1:43.0

even though you started at 120, ended at 135.

1:47.3

Obviously, you know, not bad in terms of an additional premium, but something certainly that you can imagine that Bernard Arnaud,

1:51.9

the man who's created LVMH, is happy to live with. There had been an expectation initially that

1:56.6

this company wanted its all-time high, which would have been about five bucks higher. You knew

...

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