TOP 5 STOCKS TO WATCH OUT TODAY 23 MARCH 2021

TOP 5 STOCKS TO WATCH OUT TODAY 23 MARCH 2021

1.AMAZON-Amazon.com is to cut its stake in British food delivery company Deliveroo to 11.5% in its upcoming initial public offering from 15.8% previously, according to a prospectus published by the company.

Deliveroo this week began roadshows for a London IPO and set a price range of between 3.90 and 4.60 pounds per share, which will give it a market value of between 7.6 billion pounds and 8.8 billion pounds ($10.46 billion-$12.11 billion).

This includes the sale of new shares to raise 1 billion pounds and about 128.2 million shares from existing shareholders at the final price.

According to the prospectus, Amazon is set to shed around 23.3 million shares as part of this, allowing the tech giant to raise between 90.87 million and 107.18 million pounds from the deal.

Amazon raised its stake in Deliveroo to 16% last year in a deal that had to be cleared by the UK’s competition watchdog, and participated in a $180 million private funding round in January that valued the firm at more than $7 billion.

2.VOLVO :-Swedish premium automaker Volvo Cars will launch a joint venture with ECARX, a smart car technology startup co-founded by Geely’s chairman, to develop in-car operation software systems, the companies said on Tuesday.

ECARX, which was founded by its chief executive Shen Ziyu and Geely chairman Li Shufu in 2016, focuses on technology used in car chips, high-definition maps and smart vehicles.

The joint venture, which will be headquartered in the Swedish city of Gothenburg, will develop in-car operation software systems for Volvo Cars, other brands under Zhejiang Geely Holding Group and potentially other companies.

“The planned joint venture would allow both companies and the wider Geely Group to speed up technology development, improve cost efficiency and create new revenue streams,” the companies said in the statement.

The announcement comes as ECARX has sought to raise funds in recent months to develop future technologies. It has said its valuation exceeds $2 billion.

ECARX raised over $200 million from investors including China Reform last month and $195 million in October in a funding round that included Baidu Inc and U.S. firm Susquehanna International Group.

 3.MICROSOFT :– Microsoft Corp is in talks to buy messaging platform Discord Inc for more than $10 billion, Bloomberg News reported, citing people familiar with the matter.

Discord has reached out to potential buyers and Microsoft is one of them, the report said, citing people familiar with the matter. One person said it was more likely to go public than sell itself.

Earlier in the day, VentureBeat reported that Discord was exploring a sale and it was in final talks with a party.

Microsoft declined to comment, while Discord did not immediately respond to Reuters request.

Discord, which is valued at around $7 billion as of last December, is a platform on which users coordinate group activities such as games, discussions and even virtual parties.

The Xbox maker has been seeking to strengthen its video game offerings with $7.5 billion acquisition of ZeniMax Media last year, its biggest gaming acquisition ever.

The COVID-19 pandemic has boosted the prospects of gaming companies as people stayed at home and turned to video games for entertainment during lockdowns.

With its strong gaming business, Microsoft has also been looking to own mass social media platforms. Its last big social media deal was the $26.2 billion acquisition of LinkedIn in 2016, while it failed in its bid for short video app TikTok’s U.S. assets in September last year.

Recently, the Financial Times reported about Microsoft’s interest in buying social media platform Pinterest Inc.

4.BOEING Co:– Boeing Co said on Monday it had entered into a $5.28 billion, two-year revolving credit agreement, as the U.S. planemaker contends with a prolonged slowdown in commercial air travel fueled by the COVID-19 pandemic.

Earlier this month, Reuters reported that the company had approached a group of banks for a new $4 billion revolving credit facility and had the option to raise the size to as much as $6 billion. (https://reut.rs/3rbbe5p)

“We have no current plans to draw on our credit revolvers, as we continue to be confident that we have sufficient liquidity and are not planning to increase our debt levels,” said Chief Financial Officer Greg Smith.

The credit agreement is scheduled to end on March 19, 2023, Boeing said in a filing.

Investment-grade rated companies use revolving credit facilities as backstop financing, with these facilities remaining undrawn for the most part.

In January, Boeing posted a record annual loss as the health crisis compounded problems for the world’s largest aerospace company that was reeling from the grounding of its best-selling 737 MAX jets after two fatal crashes.

5.SOFTBANK CORP- SoftBank Group Corp-backed auto marketplace ACV Auctions Inc said it was looking to raise up to $364.1 million in its initial public offering in the United States, after raising its offer price range on Monday.

The company, also backed by investment firm Bessemer Venture Partners, said it was looking to sell 16.55 million shares at a price range of $20 to $22 per share.

Earlier, it had aimed to sell the shares at $18 to $20 apiece.

At the top end of the new range, the company would be valued at $3.39 billion.

The Buffalo, New York-based company provides an online platform for the franchise and used car dealerships to buy and sell wholesale inventory through 20-minute auctions.

The U.S. IPO market has seen more than 60 operating companies getting listed so far this year, according to Refinitiv data, with tech companies including Roblox Corp and Coupang Inc generally soaring in their market debuts.

In 2020, ACV Auctions recorded a 95% jump in revenue. Net loss narrowed to around $41 million from $77.2 million a year earlier.

The company’s shares will be listed on Nasdaq under the symbol “ACVA”.

Goldman Sachs , JP Morgan, Citigroup BofA Securities and Jefferies are the lead underwriters for the offering.

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