☑️Don’t call it a comeback. August stock market returns proved to be the best in 34 years, with companies of all shapes and sizes getting in on the action. Tech stocks saw huge gains, but “reopening stocks” also surged.
Norwegian Cruise Lines and Delta both gained 25% in August, while Royal Caribbean rose 40%. Andrew Slimmon, a PM at Morgan Stanley, noted that “it’s like the riskier the stock, the better it did.”
☑️McDouble trouble. McDonald’s offers refunds, but it’s former CEO does not. Steve Easterbrook has refused to give Ronald and the gang back any severance after he was terminated for having a consensual relationship with an employee. The company claims Easterbrook lied to investigators and the board when they launched an investigation into his affairs in the summer of 2019.
Easterbrook already tried getting the suit dismissed, claiming that Mickey D’s investigation wasn’t thorough enough. So you don’t want to pay your former employer back because they didn’t find enough dirt on you? What’s the angle here, Steve?
tbh, it sounds like the whole place was running like a brothel as other reports came out last week, citing a lack of action by HR when it received complaints about executives’ behavior. It’s probably not a coincidence that McDonald’s fired Chief of HR David Fairhurst shortly after Easterbrook on claims that he himself was making women uncomfortable. This is why I’ve always been a Wendy’s guy…
☑️Get your peanuts. Nestle is continuing its pivot away from chocolate milk and into healthcare. The packaged-food giant purchased Aimmune Therapeutics, which earlier this year won approval for a drug to treat peanut allergies. Take that, legume.
The all-cash deal valued Aimmune at $2.6B, including debt. Nestle took a 25% stake in Aimmune back in 2016 and has actually developed a healthy health-sciences business over the past few decades.
Nestle seems to be getting in right in time for mass-distribution. Aimmune got approval from the FDA in January and plans to charge *only* $890 per month for the drug. That’s right, $10k per year to eat peanuts.
☑️Drug dealin’ just to get by. Move over Nestle, Bayer’s out here making some dope boy moves as well. The drug manufacturer purchased online vitamin and health care company Care/Of for $225M.
The deal includes a 70% stake in Care/Of with an option to buy the rest of the four-year-old company down the road. Exact terms were not disclosed.
This is Bayer’s second deal of the month as it bought women’s health care company Kandy Therapeutics for $875M. Digital health businesses during a pandemic seem to be a good investment. If only we had some stimulus money to buy some shares with…