WEBVTT - Kenvue  and Iren M&A Activity; Cipher Mining Amazon Deal

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news, The Stock Movers Report,

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<v Speaker 1>your roundup of companies making moves in the stock market,

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<v Speaker 1>harnessing the power of Bloomberg Data.

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<v Speaker 2>Let's take a look at some of the stocks on

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<v Speaker 2>the move today. Paul Sunia alongside Alexis Christophers, and we're

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<v Speaker 2>joined by Bloomberg's Smitte Alsa. What are you looking at all?

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<v Speaker 3>Right? I gotta start with the big deal making news, right.

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<v Speaker 3>Kimberly Clark agreed to about talent o' maker ken View.

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<v Speaker 3>It's a deal worth about forty billion dollars. The company

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<v Speaker 3>said the deal has an enterprise value about forty eight

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<v Speaker 3>point seven billion. So you have Kimberly Clark ticker KMB,

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<v Speaker 3>which owns up course, Kleenex, Huggies brands, things like that.

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<v Speaker 3>Their shaws have been down as much as sixteen percent.

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<v Speaker 3>Then we look at Kenview ticker KVUE. They include aside

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<v Speaker 3>from the Thailand all they have nutrig and a lotion, Listerine,

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<v Speaker 3>mouth washed, Bendadryl, band aids, all that kind of stuff

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<v Speaker 3>up as much as nineteen percent. But the company's really been,

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<v Speaker 3>i mean struggling since it's spun off from Johnson and Johnson,

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<v Speaker 3>and they said the combination would allow Kimberly Clarks of

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<v Speaker 3>the combination is going to allow us to surpass Unilever

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<v Speaker 3>to become the second biggest seller of health and wellness products,

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<v Speaker 3>right after Procter and Gamble. So this was some really

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<v Speaker 3>really big news this morning. The only kind of issue

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<v Speaker 3>is that the Trump administration's attacks on Tail and All,

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<v Speaker 3>which is ken View's biggest product, so that could be

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<v Speaker 3>an issue. But the the deal is currently.

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<v Speaker 2>I've got out to Jen Ree, she does antitrust for

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<v Speaker 2>Bloomberg Intelligence to see whether this single get approved. But

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<v Speaker 2>of course the first thing I do anytime I see

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<v Speaker 2>a big M and a trade, and this is a

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<v Speaker 2>big M and a trade, M and a go who's

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<v Speaker 2>getting paid here? Kimberly Clark being advised by JP Morgan

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<v Speaker 2>and PJT Partners. PGT Partners is Paul Tauman's firm, great firm,

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<v Speaker 2>he's an ex Morgan Stanley guy. And Kenvy is being

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<v Speaker 2>advised by Centerview Partners. That's Blair Efron. He's a great

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<v Speaker 2>banker in Goldman Sachs. So everybody's getting there and lots

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<v Speaker 2>of bank lots of lawyers as well. Very true but

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<v Speaker 2>the snock and pre market Kimberly Clark down about fifteen

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<v Speaker 2>percent right now, So yeah, you use some stock in there,

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<v Speaker 2>so it's going to be diluted. And when I see

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<v Speaker 2>a move like this at down fifteen percent for the buyer,

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<v Speaker 2>it says the market's telling me they overpaid. We'll see.

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<v Speaker 2>We can talk to the Kimberly Clark analyst and the

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<v Speaker 2>Bloomberg Intelligence program coming up later.

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<v Speaker 3>All right, excellent Australian company. Iron I want to get

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<v Speaker 3>to them here. I took your ire in. Their shares

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<v Speaker 3>have been up as much as twenty two percent. The

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<v Speaker 3>reason for this. Microsoft apparently signed an approximately nine point

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<v Speaker 3>seven billion dollars deal to purchase AI cloud capacity from

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<v Speaker 3>the company, and that's making it its largest customer. It's

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<v Speaker 3>also one of the largest deals yet in the AI

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<v Speaker 3>infrastructure sector, so this is pretty big. It's a five

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<v Speaker 3>year agreement and what it includes a twenty percent prepayment.

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<v Speaker 3>It's going to give Microsoft access to Nvidia accelerator systems

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<v Speaker 3>and Texas for those AI workloads. And that site over

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<v Speaker 3>in Texas is going to have these liquid cool data centers.

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<v Speaker 3>It supports up to two hundred megawatts of IT load.

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<v Speaker 3>I guess that's a lot a lot of the megawats.

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<v Speaker 3>But Iron also partner with Dell to purchase the GPU's

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<v Speaker 3>related equipment for about five point eight billion dollars. So

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<v Speaker 3>a lot going on in the AI space this morning.

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<v Speaker 3>Because if I look at the next one cipher mining

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<v Speaker 3>at Sticker CifR, their shares have risen as much as

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<v Speaker 3>twenty one percent. They reported yes adjustable earnings per year

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<v Speaker 3>in the third quarter of that beat. But the big

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<v Speaker 3>news is that it's signed a five and a half

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<v Speaker 3>billion dollar, fifteen year lease agreement with Amazon Web Services.

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<v Speaker 3>They're going to provide space power AI workloads, so they

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<v Speaker 3>operate industrial scale data centers. We're talking about cipher and

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<v Speaker 3>they're a big player in the crypto space, but now

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<v Speaker 3>they're going to have they're having this growing role in

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<v Speaker 3>the AI market. All these deals we've been talking about

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<v Speaker 3>in the need for AI to power those data centers.

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<v Speaker 3>They're going to deliver air liquid cooling to the racks.

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<v Speaker 3>Capacity going to be delivered in two phases, so you

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<v Speaker 3>can expect to begin in July twenty twenty six and

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<v Speaker 3>then complete in the fourth quarter of twenty twenty six.

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<v Speaker 3>But a lot of AI news rounding a lot of

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<v Speaker 3>these the time.

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<v Speaker 1>This stockmover's report from Bloomberg Radio. Check back with us

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