IronSource [STX] - Last Close: $2.23
IronSource is soaring on news of a buyout deal.
The app developer has agreed to be acquired by Unity Software in an all-stock deal worth roughly $4.4 billion, representing a 74% premium to its 30-day average exchange ratio.
IronSource shareholders will receive 0.1089 shares of Unity common stock in exchange for their shares of STX.
The merger is expected to deliver a run rate of $1 billion in Adjusted EBITDA by the end of 2024, and $300 million in annual EBITDA synergies by year three.
STX is trading actively with a 65.5% gain on the news.
Our Take: Shares of Unity are down on news of the merger, so the market doesn't seem to like this deal for the software firm. Also, the rally probably doesn't have a lot of upside left, but its movement will be largely dependent on Unity's price action moving forward.
XORTX Therapeutics Inc [XRTX] - Last Close: $1.22
XORTX Therapeutics is trending on upbeat clinical data.
The late-stage pharma firm announced positive topline results from its Pharmacokinetics Bridging Study XRX-OXY-101.
Data showed a substantial increase in oral bioavailability of two versions of XORTX's proprietary formulation compared to a control formulation.
No patients showed any drug-related adverse effects or serious adverse events compared to oral administration of oxypurinol.
XRTX is trading actively with a 94.3% gain.
Our Take:The upbeat clinical data could bode well for XORTX, but this rally has already run pretty far. Don't get caught holding the bag if you decide to dip your toe in this one.
