Europe is steady powell makes some remarks later on tonight road map begins with megadeal monday lvmh announcing a deal to acquire tiffany. Charles schwab buying ameritrade, 26 about the all stock deal it will combine the companies the two biggest publicly discounted brokers will have more than 5 trillion in client assets ebay set to sell off stub hub for 4 billion david has details on that. Lets start with this Historic Deal in luxury goods lvmh will acquire tiffany. The deal is worth 135 a share, two Companies Expect to complete that deal by mid2020. I assume you can fill us in on what is going to happen to the brand, synergies and all of that. Listen, i mean, it is an important transaction for lvmh, which tried twice before as my understanding and not been able to get there had done it privately. From a m a Strategic Point of view, this went about as well as sort of it had been could have been hoped for from both sides. Seasoned advisers on both sides, who i think i thought they would get to a deal, even though you started at 120, ended at 135 not bad in terms of an additional premium but something certainly that you can imagine that Bernard Arnault is happy to live with, there had been an expectation initially this company wanted its all time high, which would have been about 5 bucks higher you knew that lvmh was not going to come hostile, but there was a possibility that another shareholder, jim, could come into these shares if tiffany had said no. The entire board is up and nominating window opening up soob a soon and tried to push for them to get back to the table so you had that sort of out there, lvmh wanted this for a long time. You have been sort of closer to, i think, the strategic rational for it in terms of what it gives them right when youre out at dream force, sales forces extravaganza, you periodically marc benioff, the ceo, coceo and founder, will talk about an account that is doing unbelievable things in terms of making it so that touch is individualized and using all the great crm tools. This year was lvmh it was how they have been able to get in touch with the wealthiest and keep track with them last year, by the way, was lamborghini. What the market has been talking about to me is when you want to have gigantic purchases, you need to have much better touch personalized high grade touch, based on what marc would say is truth, but what really means is that you cant buy a high priced good the way you used to you need to be sold it you need to have great interaction. Those of us who bought a lot of tiffany are amazed when we go to tiffany, they never heard of us. You go into anything that is lvmh, you walk in, they know everything about you they know everything you just bought, what you like, what your wife likes this is unbelievable with lvmh the numbers are horrendous, tiffany. 40 of the business, u. S. , has been awful mainland china, 1. 2. The only business that is any good is the public of korea. They have done a terrible job overseas terrible so this is just a remarkably good purchase to be able to blow out overseas a continued question how weak the second half would be for tiffany and whether in fact they obviously they knew that going into these and dealing with these negotiations. Took a little while for them to get to the table they talked about talking for a while. Finally 130 got them in and five bucks more got the deal done. It is smart at one point they blamed the secret service in the area on trump tower. They were almost out of excuses. One thing they havent blamed is the weather, which is something they probably could have done this quarter it has been unseasonable. You think that theyre doing their shareholders a good service by selling at 135 . It is a victory. You do . Yeah, we did the ceo was trying very hard they did that one introduction with the flowers i bought lite of those each time i bottom them, it was, like one time i went to the store, one minute left where before they closed, banging on the door, right . Here, let me throw my wallet at you. I got a thousand dollars talk to the hand i got to talk to the hand from a salesperson when im trying it get in to give them money. Only time that happened is when i went to the apple store. I got a thousand i got a thousand thousand going once, thousand going twice, sold to somebody else who got the 11. Yeah. Right yeah. That may change. The culture may change perhaps. It is a international tourism, right fantastic this Company Knows how to touch you. I dont know if people understand i went to the lamborghini factory. They said this one is for this guy, this one is for that one, that one is for this guy, all sales force. So Bernard Arnault was on display. Lvmh, when they buy a company, and they bought a number of companies. Yes, they have. They suddenly upgrade the most important thing in the world for people, to be acknowledged that theyre rich like, hey, how are you doing i know what you versus when you go to, like, have you ever been to tiffany . You can check my name. How do we do that . You look how about the receipts it boils your blood. Bernard arnault, he would be like hows lisa . Hows lisa doing have you bought her this yet thats the way they work you havent been buying three months, are we okay . Thats fall you need that if youre spending it, shelling out 10gs, you want to be known. Important to point out, obvious it is, if youre a tiffany holder, youre getting cash obviously td for its part is going to be a significant holder as well. I think we would segue into stub hub. It is a newer i give you a pass on that you are such a good guy. Steve martin. The price is 4. 05 billion they get for stub hub. They told us they were going to commence a Strategic Review of the classified business as well. Thats continuing. Youre in the going to hear anything this year about what may or may not happen there. But we got a deal for stubhub. The price 4. 05 billion in cash. Viagogo cofounded stubhub while in Business School, left the business, stoeold to ebay in 20. They sell it now in 2019 for 4. 05 billion. Want to do the math at home, compounded annual growth rate of 17 of money they put down not bad. Not bad at all. It is about 25 times ebitda im told by scott shiancoe, the interim ceo of ebay, yeah. And he tells me, i spoke to him briefly moments ago, he tells me it is about a 25 times current ebitda multiple, pretty darn good what are they going to do with the proceeds, of course . You will be taxed here it is a taxable sale nonetheless, it is going to be significant proceeds for the company. He wouldnt give me a specific other than to say Capital Allocation plan has, of course, included buybacks, dividends and investing through m a in the key business youre selling all the companies with growth, youre left with a company that i think is berift of growth. What do we do . Thats a good question. What do we do use some of the proceeds . A, theyre focused on trying to reinvigorate the platform. You know that. Have they been successful . No shopify has passed them i can argue they should merge with etsy. Etsy would never sell. But they have been left behind we have done a series of very tough pieces on realreal, authenticated, which are terrific investigative may not be authenticated that is second hand. These guys have secondhand blues. Secondhand blues . Yes secondhand blues mayor it is growing a tiny bit. Isnt it no . David. Pay pal and all the growth. Pay pal, remember, theyre changing the payment platform on their their payments mechanism on the platform which they believe will help and he said to me, they also do, theyre in the middle of that. Advertising they see as another area where they can generate thats a vertical. It is a vertical. People call things outlets. Vertical good Market Strategy good Market Strategy to me bacon and eggs and then go to market. Kids need milk. What is the go to Market Strategy youre not scaling i know. You know who that would disappoint john malone. John malone hes all about scale. Hes fascinated by scale. Great International Business fascinated i know. I dont have scale eric bakebaker, by the way they ran it on what was on a youtube station . I dont know. I relistened i listened to it. I read the transcript very powerful. Good. It was savaged half the companies there are. Eric baker, viag ogo ceo going to join us. How did you get him i had nothing to do schwab Td Ameritrade, that deal valued at 26 billion becky quick reported last week, both say the combination is projected to serve 24 million brokerage accounts, 5 trillion in client assets and a pretty granular look at what they do with real estate and branding and, of course, management teams. Wow had to happen. I dont think i was with some people in the brokerage business last week. They all keep saying the same thing. How it is almost like Butch Cassidy and the sun dance kid. Who are those guys schwab they turned out to be it turned out to be asset gathering is number one. I heard people talk about jpmorgan, bank of america, schwab thats amazing, yes numbers start to get pretty darn big. 5 trillion is real money real money. Yeah. Powerhouse. There are those who believe that they actually that fateful day where they cut commissions to zero was done in part to extract maximum pain on ameritrade and force them to say we got to figure out something in terms of consolidation. Whether or not thats true, it had the effect of bringing ameritrade you can make the argument that the synergies, thats what were learning here. Potential deal for days now. But expected to be 10 to 15 accretive. They got a lot of work to do though between now and then including dealing with antitrust, which is not necessarily going to be well, i hope robin hood is in the picture. Robin hood has 600 million. David, robin hood, softbank forgot to lose money with them robin hood is an incredible company. When you meet with millennials, they want to talk they literally want to talk about robin hood and why they like the stock. Why . Because of robin hood. Robin hood has an incredible stash to it. People say 4 million, i think much more than that. What matters is theyre backed by Venture Capital and when i go after the it is important you go out there, Venture Capitals, what do they say . The more money we lose, the more money we make. It is a novel approach typically the more money you lose, the more money you lose. No robin hood disrupted this industry in a way that no one thought could happen. You made the point, they may have disrupted it, but not necessarily with the ultimate goal of being a truly profitable company. No. Can they continue to disrupt it or are they going to run out of money they can gather assets. They have too much money, 600 million. And they havent an incredible go to Market Strategy that does scale. They have scale they have scale. They will scale are they going to continue to lose money on every new account . If you can scale it doesnt matter how much you lose. Got it. Also words that i heard where is robin hood on their advisory services, research . Isnt that going to be their edge now over at schwab . I think their edge is that theyre cool this is not being facetious. Sofi has a lot of things sofi is coming into its own they have the naming rights f S Los Angeles chargers they have been able to introduce robo, kind of excitement when youre a young person, you got to have fractional securities, have that, and thats because the the amazons of the world made it so individuals cant own. So get a fraction, buy a dollars worth people are buying a dollars worth of amazon out there. As the clients age into more money and more responsibility, theyre going to want a little more service, right . I think thats true but these are people who uniquely dont want to get rich, they want to have enough money to do what they do and thats a different attitude toward life. Im impressed by the disruption of robin hood. I think robin hood caused this i do not think that Ameritrade Schwab has been a farley irly Impressive Company you cant make that comparison any longer. Three different people, goldman has to buy etrade yeah, that too. You heard it . Goldman or Morgan Stanley i dont know dont you think our hack competitors will go after that and you have to refute it . I have no idea if thats true or not you imagine more consolidation, what do you do if youre etrade. What do you do i dont know. Thank god im not an etrade i dont have to worry. Yeah, you dont youre here. Youre scale you already scaled. Worry about the eagles. You should you got scale when we come back, a big setback for uber as london refuses to renew the operating license. Thats weighing on the stock this morning Roger Federer will join us today. More major titles than any man in tennis history. Looking to capitalize on a new investment hell tell us about that upgrades of nvidia, wendys, deckers, hasbro, lyft. Mequawk on the street back in a mont through the at t network, edgetoedge intelligence gives you the power to see every corner of your growing business. From using feedback to innovate. To introducing products faster. To managing website inventory. And network bandwidth. Giving you a nice big edge over your competition. Thats the power of edgetoedge intelligence. More exciting than than getting a lexus. Giving one. This is unbelievable it really is. The lexus december to rembember sales event lease the 2020 rx 350 all wheel drive for 419 a month for 27 months. Experience amazing at your lexus dealer. As we said earlier, uber shares are down. Londons Transit Authority will not renew the companys license to operate in that city. Citing several breaches it placed passengers and their safety at risk uber is vowing to appeal that decision hours ago, they tweeted we understand were held to a high bar, as we should be but this decision is just wrong. Over the last two years we have fundamentally changed how we operate in london. We have come very far and we will keep going for the millions of drivers and riders who rely on us. 45,000 drivers top five market. Sun trust thinks 5 of global rides. Anybody who used them in london knows it is a very expensive versus the rest. Versus the traditional gild. Thats a gild for taxi drivers little different from here in new york or some other cities where the incumbents didnt have a lot of favor of the customers. Every time the stock seems to gain the slightest bit of momentum, there seems to be some positive sense in the Analyst Community that they sort of turned a corner a bit. With the stock down as much tass was, it just is Something Else happens. Very good point. Here we are again this is one of the most significant markets they have without a doubt. Worth noting, travis calnick sold so much stock i think he still owns another 40 million or so shares he sold basically half the stock in a very short amount of time you have a little less than 45 million shares is what he has left people say it is a kinder gentler travis hes back in favor he can call me. There had been a whole story of maybe travis will one day do a full i think hes changed from the day he met me after speaking with my wife and said, im so much richer than you are i regard as thats your favorite travis story. To me, it is kind of jarring someone comes up to you and says, hi, im much richer than you, it is a show stopper. Only met him after he sort of had become a little more humble. I got the full bore travis. What do you do with uber stock i think you buy lyft no, i think uber is coming close to a level, i want to talk with them, because uber freight has been unbelievable. Uber is here to stay it is here to stay there is some value to try to figure out what value. It has the softbank discount that matters nelson chi last week saying theyll get out of each market where theyre not positioned number one or number two. Maybe they get what does that do with uber eats, which is what matters so much door dash is playing with, you know, funny money. Gaining share. Only one gaining share. Door dash gained share by becoming a provider without you knowing it. Listen, last spot here, very im not sure you want to get into a situation like in, if youre an activist lets just remember, no controlling shareholder, nothing at all you could immediately go in there and say shut them down david knows money he never does this idly. Even during thanksgiving week. No. Youre not idle. Im saying theyre aware of it they got to be thinking about t i dont know if youre an activist if you take a shot it is pretty you bring it up, shut it down just bringing it up. Yeah, jets make the playoffs. Theyre not going to make the playoffs dont tell that to my son hes got he gets very excited. Model man doing much better thank you for the heads up there. Youre 56 were going to catch you. No need to mention my team. It is unfair i seomonym attack on me. Derve better cramer as mad dash. Count down to the opening bell a look at the remarket squawk on the street back in a moment download, edit, reformat, output, save, send, upload. Still uploading. And maybe eventually post. This isnt working. Introducing samsung business video solutions. With the galaxy note10, you can shoot, edit and post thumbstopping videos, all from one device. Samsung business solutions. You need to augment your wealth the best never occurs from those situations if youre looking to build your wealth over the longterm, to ensure prosperity for you and your family, roll up your sleeves and well do it together booyah ready, set, grow. Go to cnbc. Com investinyou holiday shortened week, markets closed on thursday for thanksgiving and early close on friday but a lot of news to start the week m a among it opening bell in about five minutes. David, this is big. It is big we got two minutes before we get to the opening bell. Were going to squeeze in a mad dash we talked about a lot of the m a announced late yesterday today we missed one that was announced yesterday. The Medicines Company acquired by novartis, 85 bucks a share in cash thats 9. 7 billion. They have a key cholesterol drug, jim. People will think that Medicines Company, anticholesterol drug, which rivals amgen and maybe regeneron is superior. You get rejected twice a year. I take the dru