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Let's take a look at some stocks on the move today. I'm Nathan Hager, joined by Bloomberg Stan Curtis with the update on Universal Music Group. A big bid this morning, with one big name potentially thinking of buying the company. Good morning Dan.
Good morning Nathan. That's right. Billionaire activist Bill Ackman is proposing a deal with Universal Media Group which could be worth sixty five billion dollars. Ackman's Pershing Square proposed a merger with the company to merge the company with a US based acquisition company, effectively moving the listing from Amsterdam to New York. Pershing's proposal would give UMG shareholders just over five years per share plus a stake in the new company. Those shares are up of ten percent in
Amsterdam trading. They're around nineteen year ows a share That is well below the approximately thirty euro a share value that Ackman has assigned to this deal. And that's because of uncertainty it looms over the company. Because French billionaire Vincent Bulleray has an eighteen percent steak and an extra ten percent steak if you add in his Vivendi holding proxy steak, and that has been that is leading to some certainty, uncertainty over whether this deal will actually get done.
The shares are surging most nearly three years, but they are still down over thirty percent from last year's high.
All right, well, well we wait for that possibility of Universal music shifting. It's listing to New York. The stocks that are trading on Wall Street to the upside the most this morning, really dominated by health insurance.
That's right.
So Humana is up nine percent in the pre market market ticker hum Other insurance companies CBS six percent, and United Health up over five percent in the pre market. That says the US Medicare program says it will pay private insurres nearly two and a half percent more in twenty twenty seven. That was higher the initial proposal in January, which was originally going to be a flat rate. JP Morgan TD Cowan analysts were looking for a one to one point five increase in the figure. So this coming
in stronger than what Wall Street had expected. That level influences how much of nearly half a trillion dollars flow through to private healthcare plan plans, and the change is expected to add over thirteen billion dollars in additional payments to Medicare and to Medicare advantage plans. So this is a positive as positive sign for those insurers this morning.
And some positive signs as well for Broadcom some potential deal news of a sort.
There, that's right, So Broadcom announced a long term agreement with Google to develop and supply something called tensor processing units. These are chips that were originally used for search but have found renewed demand a from AI users. Shares of Broadcom take our avgo up nearly three percent in the pre market. Alphabet has just turned flat. That was trading
up one percent earlier this morning. This deal has it so Broadcom will take Google specifications and create fully formed designs that can then be sent for manufacturing, and both companies will work with Anthropic, the AI company behind Claude, which is considered one of the best AI models right now, and that will eventually give the AI company access to three point five gigawatts of computing power. Nvidia is down over one percent as its chips face increasing competition.
And just quickly, Dan, why are we seeing Apple shares in the red this morning?
So we have a report from Nike saying that Apple's foldable iPhone has hit engineering snags that has the shares down about one percent in the pre market. The report cited unidentified people saying the first shipments could be delayed by months. Apple is under pressure to catch up to competitor Samsung, which released its first foldable phone over six years ago. However, those delays are seen potentially pushing this release out even farther.
This Stockmover's report from Bloomberg Radio. Check back with us throughout the day for the latest roundup of companies making news on Wall Street and for the latest market moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube, Bloomberg dot com, and on Applecarplay and Android Auto with the Bloomberg Business app.