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The Markets
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The Markets
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
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Pharma & Biotech

PRE-MARKET MOVERS: Envision Healthcare Corp shoots higher on KKR buyout deal, while Genworth Financial also surges

Also in play before the New York bell is Amazon.com. Inc and Rent-A-Center Inc

Ahead of the New York bell, a big corporate story doing the rounds is that Envision Healthcare Corp (NYSE:EVHC) is to be acquired by private equity giant KKR & Co (NYSE:KKR).

Under terms, KKR will pay US$46 in cash for each share of the hospital group, which represent aa 5.4% premium to Friday's closing price of US$43.64.

That would give Envision, which has been carrying out a review of its options to grow, a market cap of around US$5.57bn (currently around US$5.3bn).

Envision Healthcare to be Acquired by KKR for $46.00 Per Share in All-Cash Transaction https://t.co/HuQXKlH4mJ

— Financial Buzz (@financialbuzz) 11 June 2018

Envision Healthcare shares added 2.98% before the bell to US$44.95, while KKR shares were also up a little in New York - 0.087%.

The deal is expected to close in the fourth quarter of this year.

Meanwhile, tech behemoth Amazon.com. Inc (NASDAQ:AMZN) shed 0.0071% before the New York bell amid news that a watchdog is calling on the company to improve conditions for factory workers in China.

New York based China Labour Watch released the report a nine-month investigation of working conditions at a factory owned by Hon Hai Precision Industry Co, known as Foxconn, which churns out such things as Echo speakers and Kindle e-readers.

Elsewhere, Genworth Financial Inc (NYSE:GNW) shares skyrocketed nearly 28% to US$4.87 before the bell after it was given approval from a US national security panel for its US$2.7bn buyout by China Oceanwide Holdings Group Co.

The Committee on Foreign Investment in the U.S described there being "no unresolved national security concerns".

Rent-A-Center Inc (NASDAQ:RCII) shares built up a 2.37% gain in pre-market to US$10.35 after it revealed it had ended a strategic review, and failed to find a suitable buyer.

The company said on Sunday the review was over along with a potential sale of the company.

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