Here's a quick overview of today's main events:
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onsemi lowered the offer price for Synaptics to $5.7 billion
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Pentair completed the acquisition of Taco Group for $1.4 billion
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Oaktree closed a secured loan fund with a capital of two billion
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China halted exports of petroleum products outside of Hong Kong and Macau
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Brent crude rose by 4.4 percent to $102.31
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U.S. yields surged to the highest level since 2002
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Eurozone industry grew at its fastest pace since May 2022
Foreign Investments
The American semiconductor manufacturer onsemi has revised the agreement to acquire Synaptics, which develops chips, sensors, and technologies for connected devices. The buyer will now pay $123 per share in cash, valuing Synaptics at approximately $5.7 billion. Previous terms valued the company at around $7 billion. According to a joint announcement from October 1st, the change followed receipt of a competing offer from a third party. onsemi expects the acquisition to benefit its activities in data centers, human-machine interfaces, and sensors. Financing will be provided by cash and a credit commitment from Morgan Stanley. The deal is expected to close by mid-2027.
The company Pentair completed the acquisition of water and heating systems manufacturer Taco Group Holdings for $1.4 billion. The seller was not named in Thursday's announcement. The combination is expected to expand the offering of smart pumps, hydronic solutions, and water management equipment for residential and commercial buildings. Pentair, which had approximately $4.2 billion in revenue in 2025, expects new cross-selling opportunities and access to additional customers.
The investment firm Oaktree Capital Management, owned by the Brookfield group, has closed its first Asset-Backed Finance Fund I with commitments of $2 billion. The capital was provided by, among others, U.S. public pension funds and state investment funds. The strategy focuses on financing secured assets in transportation, infrastructure, real estate, consumer loans, and equipment leasing. According to a Brookfield announcement, the broader Oaktree platform has already invested over $19 billion in this segment.
Significant Events with Global Impact
Chinese refineries have halted exports of petroleum products to countries outside of Hong Kong and Macau. According to Reuters, the state-owned company PetroChina canceled some October deliveries of gasoline and jet fuel. The restriction has deepened concerns about a shortage of fuels in the market, which is already affected by disruptions at refineries in the Middle East and Russia. The December Brent crude contract rose on Thursday by 4.37 percent to $102.31 per barrel.
The yield on the ten-year U.S. Treasury bond rose to 5.3445 percent, the highest level since April 2002. Reuters reported that higher energy prices and data on U.S. industry supported the sale of bonds. The ISM purchasing managers' index reached 54.5 in September, while its price component increased significantly. Higher market rates are making it more expensive to finance businesses, households, and governments.
Industrial activity in the eurozone continued to grow. The S&P Global PMI rose from August's 52.7 to 52.9, the highest level since May 2022. According to Reuters, production was supported by demand for artificial intelligence equipment, the defense industry, and other investment technologies. The German industrial PMI reached 53.9.
Geoffrey Hunt
Tradingeconomics.com