On The Fly

HIGHER: Worldpay (WP) and FIS (FIS), up 13% and 3%, respectively, after announcing Worldpay will be acquired by FIS (FIS) in a $43B stock deal... Caesars (CZR), up 5% after Reuters reports Eldorado Resorts (ERI) and the company are in the early stages of exploring a merger... ResTORbio (TORC), up 14% after announcing plans to initiate its Phase 3 program of RTB101 following its end-of-Phase 2 meeting with the FDA... American Midstream Partners (AMID), up 30% after announcing an affiliate of ArcLight will acquire, for cash, in a merger transaction, all outstanding common units of the partnership not already held for $5.25 per common unit. UP AFTER EARNINGS: Viomi Technology (VIOT), up 4%. LOWER: Boeing (BA), down 2.5% after The Wall Street Journal reports federal prosecutors and Transportation Department officials are scrutinizing the development of Boeing's 737 MAX jetliners. DOWN AFTER EARNINGS: Overstock.com (OSTK), down 4%... Lumber Liquidators (LL), down 10%... Teligent (TLGT), down 7%.

Aimmune Therapeutics (AIMT) this morning announced that its Biologics License Application for AR101 has been accepted for review by the Food and Drug Administration. The FDA, which granted AR101 Breakthrough Therapy Designation in June 2015 for peanut-allergic children and adolescents ages 4-17, informed Aimmune that the BLA will be reviewed under a standard twelve-month target review period, as measured from the January 2019 start date. The agency declined the company's request for an expedited review. As a consequence, review of the BLA may take until late January 2020. Aimmune added that it is currently engaged in discussions with the FDA regarding the review timeline for the AR101 BLA. The FDA expects to convene an advisory committee meeting to discuss the application, it noted. Shares of Aimmune are down 2%, or 47c, to $22.99 in premarket trading. DBV Technologies (DBVT) is also developing a treatment for peanut allergy.

At the closing of its merger with FIS (FIS), Worldpay (WP) shareholders will be entitled to receive 0.9287 FIS (FIS) shares and $11.00 in cash for each share of Worldpay. Upon closing, FIS shareholders will own approximately 53% and Worldpay shareholders will own approximately 47% of the combined company. The combination of stock and cash values Worldpay at an enterprise value of approximately $43B, including the assumption of Worldpay debt, which FIS expects to refinance. "Scale matters in our rapidly changing industry," stated Gary Norcross, CEO FIS. "Upon closing later this year, our two powerhouse organizations will combine forces to offer a customer-driven combination of scale, global presence and the industry's broadest range of global financial solutions. As a combined organization, we will bring the most modern solutions targeted at the highest growth markets. The long-term value we will create for clients and for shareholders will set the bar in our industry and will create a range of new career opportunities for our employees. I have never been more excited about the future of FIS." Worldpay competitors include TSYS (TSS), First Data (FDC), PayPal (PYPL), Square (SQ) and Global Payments (GPN).