UBS completes takeover of Credit Suisse and Biogen gets key FDA approval for Alzheimer’s disease treatment. Here’s what investors need to know today.
1. UBS completes takeover as Credit Suisse leading to delisting
Swiss bank UBS (UBS) he said that acquisition of rival Credit Suisse was completed. USB Group will operate UBS and Credit Suisse as separate entities with a total balance sheet of $1.6 trillion and 120,000 employees. Credit Suisse will be delisted from the SIX Swiss Exchange and the New York Stock Exchange, with shareholders receiving one UBS share for every 22.48 Credit Suisse shares held.
2. Eisai, Biogen win key FDA support for Alzheimer’s drug
To prepare the way for a wider one Food and Drug Administration approval, an Alzheimer’s disease treatment developed by the Japanese pharmaceutical company Eisai Co. and Biogen received support from a key regulatory advisory committee. The FDA board’s approval follows a positive staff report last week on the drug Leqembi, which has been shown to slow the progression of Alzheimer’s disease. Biogen (BIIB) shares rose more than 4% in premarket trading.
3. White House to extend Samsung, TSMC exemptions from chip restrictions
The US issued an exemption to Samsung and TSMC (TSM) on restrictions on its chips that were set to expire in October, but an official at an industry conference said the restrictions would be reinstated “in the foreseeable future.” Shares of TSMC traded nearly 2% higher in premarket trading.
4. Nio price cut hints at growing ‘price war’ with Tesla in China’s EV market
In a sign of an intensifying “price war” in China’s electric vehicle market, automaker Nio announced a $4,200 price cut along with delays in capital and research projects. Movement follows a a similar price cut from Tesla (TSLA) and other Chinese EV makers earlier this year and comes as May Nio deliveries were 6,155, down from the first quarter’s monthly average of 10,000.
5. Novartis buys Seattle Biotech Firm Chinook
Swiss drug manufacturer Novartis (NEW) will buy Seattle-based biotech firm Chinook Therapeutics (KDNY) for up to 3.5 billion dollars. The acquisition is a strengthening of the range of the pharmaceutical manufacturer in the last stage of drug development with a new treatment for a rare serious kidney disease. The deal is expected to close in the second half of 2023. Shares of Chinook Therapeutics rose 66% in premarket trading, while Novartis rose more than 1%.