Through The Fly's Eyes: Rumor Mill

from Tedd Cohen of Theflyonthewall.com











Rumor Round-up

No summer doldrums here; rumors galore.

GOODMAN GLOBAL (GGL)

They make heating, ventilation and air conditioning products, and in a very tough building environment, are looking at their options. They’ve hired Goldman Sachs (GS) and JP Morgan (JPM) to review the current situation. While the stock is now up, the company hasn’t committed to any transaction, although word is that a sale is very possible.

ZIMMER HOLDINGS (ZMH)

So Blackstone (BX) took DJO (DJO) and was involved in the deal to buy Biomet (BMET), and the next thing you know, Zimmer Holdings’ (ZMH) name comes up, and the stock rises. But is there any truth to it? Yes. Seems this one has legs. The hip and knee implants maker could be an LBO candidate. No much debt ands lots of cash flow.


STILL FLYING AROUND

ORIENT-EXPRESS (OEH)

The next biggie among the hotel groups to go? Tire kickers have supposedly included Blackstone (BX), Morgan Stanley (MS), and Starwood Capital. The company has lost key top executives, including its chairman, CEO and CFO. A new chairman now is in place, but for how long?

THE BRINKS COMPANY (BCO)

Since the beginning of the year there have calls for the armored truck and security firm to hire an investment banker and pursue a sale. That hasn’t happened, but now it may, as the company’s shares have suddenly been selling near its 52 week high.


BUZZ

NYSE Euronext (NYX), IntercontinentalExchange (ICE): NYX could make a run for the ICE…Rackable Systems (RACK): The computer servers’ stock has been up on takeover talk…Wyndham Worldwide (WYN): The hospitality company is moving up on widespread takeover talk in the hotel industry, and is viewed as a possible target…The Clorox Company (CLX): is said to be a serious takeover target…Altria Group (MO), UST (UST): Not just blowing smoke…Atria could make a play for UST, whose stock is seeing lots of activity…PepsiCo (PEP), Starbucks (SBUX): A partnership, or more, may be brewing.