Fool : reported that Why NxStage Medical, MyoKardia, and Rockwell Collins Jumped Today -- The Motley Fool

NxStage gets an offer it can't refuseShares of NxStage Medical soared 28% after the maker of home dialysis equipment received a buyout bid from Fresenius Medical Care (NYSE:FMS). NxStage Medical (NASDAQ:NXTM), MyoKardia (NASDAQ:MYOK), and Rockwell Collins (NYSE:COL) were among the best performers on the day. Under the terms of the deal, Fresenius will pay NxStage shareholders $30 per share in cash, putting the total value of the acquisition at about $2 billion. Finally, Rockwell Collins stock climbed 7%. Investors can expect that MyoKardia will push for a phase 3 trial with the eventual goal of applying for approval of the drug.

Why NxStage Medical, Inc. Is Skyrocketing Today -- The Motley Fool

What happenedShares of NxStage Medical (NASDAQ:NXTM), a medical device maker focused on end-stage renal disease and acute kidney failure, jumped 28% as of 11:40 a.m. EDT on Monday. However, the earnings report is being overshadowed by the news that it has accepted a buyout offer from Fresenius Medical Care (NYSE:FMS). Fresenius, which is the world's largest provider of dialysis products and services, agreed to acquire NxStage Medical in an all-cash deal worth $2 billion. That translated into a share price of $30 and represents a 30% premium to NxStage Medical's closing price on Friday. So whatNxStage Medical reported its second-quarter earnings results earlier today.

Buyout Bid Overshadows NxStage Medical's Losses -- The Motley Fool

NxStage investors were quite happy with the news, and the stock climbed 28% to close within about 1% of the proposed buyout price. Let's look more closely at NxStage Medical and what happened today. Fresenius enters the stageYet NxStage's results paled in importance compared to the announcement that Fresenius would buy out the company for $2 billion in cash. Dialysis patients know how inconvenient it can be to make time for their treatments, and NxStage Medical (NASDAQ:NXTM) has sought to make dialysis much less of a burden through its home dialysis equipment. The combination of NxStage and Fresenius should create a stronger, broader-based business for dialysis treatment.


collected by :Lucy William

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