Sector Update: Financial

By Staff,

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Financial stocks were mostly lower, with the NYSE Financial Sector Index declining 0.4% and the S&P Financial 100 Index losing 0.8%.

In company news, Blackstone ( BX ) shares were lower in late Tuesday trading, giving back an earlier rise to a nearly 7-year high after the investment company said it acquired an undisclosed majority stake in Accuvant Labs, a privately held information-security company.

Financial terms of the transaction were not disclosed, although the Wall Street Journal, citing people familiar with the deal, was reporting BX paid about $150 million for more than 80% of the firm. Accuvant management and Sverica International LLC, another investment firm that previously had an equity interest in Accuvant, invested alongside BX in the deal.

An April closing is planned, subject to relevant regulatory approvals.

BX shares were down 2.1% at $34.46 each, reversing an earlier rally that lifted the stock 0.4% higher to $35.33, matching its best level since June 2007.

In other sector news,

(+) EEFT, Agrees to acquire payment processor and foreign exchange services firm HiFX for around $242 mln, including around $60 mln in EEFT stock and the rest in cash. Deal is expected to add $0.15 per share to annual EPS in first full year.

(-) SST, Cut to Neutral from Buy at UBS, citing likely pressure on fee income. Price target reduced by $3 to $74 a share.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2014 All rights reserved. Unauthorized reproduction is strictly prohibited.

This article appears in: Investing Commodities
Referenced Stocks: BX

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