American Equity Investment Life [AEL] - Last Close: $45.10
News of an acquisition is lifting shares of American Equity.
This morning, Brookfield Reinsurance [BNRE] offered to acquire all outstanding shares of the life insurer for in a $4.3 billion proposal.
Brookfield, already one of AEL's largest shareholders, would acquire all remaining shares of the company for $55 apiece under the terms of the proposal.
The non-binding proposal represents a 35% premium to AEL's Monday closing price. No word yet on whether the company will accept the proposal.
AEL is up 15.3% on news of the potential acquisition.
My Take: AEL is trading about 5.4% below the proposed acquisition price as I am writing this. There could be some upside there, especially if you can leverage the gap with options, but there's no guarantee this deal will go through.
Astrotech Corp [ASTC] - Last Close: $11.54
Astrotech Corp has also received a buyout proposal from a major shareholder.
After Monday's close, Braden M Leonard said he sent an acquisition proposal to the mass spectrometry firm for $17.25 per share in cash.
Braden M Leonard already controls 13% of ASTC through his BML Capital Management arm, and he would acquire the other 87% under the proposed deal.
The bid represents a 49.4% premium to ASTC's Monday close, and it's contingent on Astrotech having at least $35 million of cash or equivalents on hand.
News of the buyout lifted ASTC to a 19.1% gain in today's premarket.
My Take: There's still some healthy potential upside on the table if this deal goes through. But, if you decide to trade it, don't hesitate to cut and run if things start to go south.
Auddia [AUUD] - Last Close: $0.45
A big premarket announcement is boosting shares of Auddia.
This morning, the company announced it has successfully combined its AI algorithm with natural language processing in a new technology for podcasts.
Auddia says the new AI model will be added to its faidr 3.0 "Superapp" when it's fully rolled out, and it's expected to deliver ad-free podcasts.
The company said it's considering additional applications for the technology and the ad-free podcast model, and it will announce its launch plans later this year.
AUUD is today's top premarket performer with a 24.7% gain on active trading volume.
My Take: It seems like a stock automatically jump 15% to 30% anytime AI is mentioned at this point. This seems more like a hype rally than anything else, but AUUD could find new support at $0.50 if it can hold onto its gains.