The U.S. stock market opened mixed with investors looking to the impact of Hurricane Harvey.
Shares of UQM Technologies Inc. (UQM, Financial) jumped about 49% in Monday morning trading after the company announced it entered a stock purchase agreement with China National Heavy Duty Truck Group. The transaction will occur in two stages. According to the terms of the deal, the latter will purchase 9.9% ownership in UQM for approximately $5.1 million. Then, after approval is received, the ownership stake will be increased to 34% for approximately $23.2 million. The  two companies plan to create a joint venture in China. The agreement will occur after receiving the approval of  shareholders and U.S. and Chinese regulatory authorities.The company recently reported total revenue for the second quarter of $1.8 million, up from $1.4 million in the comparable quarter of 2016. Net loss for the second quarter was $1.3 million, or three cents per share.
Kite Pharma Inc. (KITE, Financial) shares surged more than 29% to $179.33 in premarket trading after Gilead Sciences (GILD, Financial) agreed to buy the company for $11.9 billion in cash, which equates to $180 per share. This represents a 29% premium over last closing price of $139.10. The transaction is expected to close in the fourth quarter.
"The acquisition of Kite establishes Gilead as a leader in cellular therapy and provides a foundation from which to drive continued innovation for people with advanced cancers," Gilead President and CEO John F. Milligan said. Â
Gilead is up 1.3% in morning trading.
The announcement affected shares of other companies in the industry. Shares of Bellicum Pharmaceuticals Inc. (BLCM, Financial) and Juno Therapeutics Inc. (JUNO, Financial) and are also trading higher.
Gainers
Andeavor (ANDV), Valero Energy Corp. (VLO, Financial), Quanta Services Inc. (PWR), Marathon Petroleum Corp. (MPC), Celgene Corp. (CELG, Financial), Harris Corp. (HRS, Financial) and Regeneron Pharmaceuticals Inc. (REGN).
Losers
Expedia Inc. (EXPE), Travelers Companies Inc. (TRV, Financial), Progressive Corp. (PGR), Autodesk Inc. (ADSK, Financial) and Allstate Corp. (ALL, Financial).
Global markets
The main European stock markets traded lower. The FTSE 100, German DAX, the French CAC 40 and the IBEX 35 closed down between 0.08% and 0.25%.
In Asia, India’s BSE Sensex, China’s Shanghai and Hong Kong’s Hang Seng Index were in green territory, while Japan’s Nikkei Composite Index closed down 0.01%.
Disclosure: The author holds no positions in any stocks mentioned.
