BP Takeover Talks Heat Up Amid Undervalued Assets and Elliott Management Push, Alphabet's Google Faces €2.97B Lawsuit Over Dominant Market Position

BP shares surge as rival oil producers consider acquiring the company at a discount. Alphabet's Google faces a €2.97B lawsuit for alleged abuse of its dominant market position. The American Automotive Policy Council criticizes the Trump administration's trade deal with the UK, while IAG orders 53 new Boeing and Airbus planes. Cloudflare shares rise 11% after strong Q1 results, and Microsoft, Amazon, and Google lead the software sector driven by AI and cloud services. Adobe agrees to a 70% price reduction for its software with the US General Services Administration. WeightWatchers files for Chapter 11 bankruptcy due to financial challenges from the rise of GLP-1 drugs and DIY meal kits.

BP shares have experienced a significant surge in pre-market trading following reports that rival oil producers are considering acquiring the company at a discount. Companies such as Shell, Chevron, Exxon Mobil, and TotalEnergies have reportedly analyzed a potential deal, according to sources familiar with the matter [2].

The surge in BP's share price comes as the company has underperformed in recent years, with its shares falling by more than 27% over the past year. This underperformance has made BP a target for acquisition, with activist investor Elliott Management holding a stake in the company and believing its undervalued assets make it open to a takeover [2].

Meanwhile, Alphabet's Google is facing a lawsuit from Italy's Moltiply Group, which is seeking €2.97B in damages for alleged abuse of its dominant market position. The claim follows a European Court of Justice ruling that Google favored its own services between 2010 and 2017 [3]. Google is reviewing the claim, noting that changes made in 2017 were intended to address the issues raised by the European Commission.

The American Automotive Policy Council has criticized the Trump administration's trade deal with the UK, arguing it will negatively impact U.S. automakers like Ford, General Motors, and Stellantis. The council contends that the deal makes it cheaper to import UK vehicles, which could harm American auto workers and suppliers [4].

IAG, the parent company of British Airways, has announced orders for 53 new Boeing and Airbus planes for its long-haul fleet. The orders include 32 Boeing 787-10 aircraft and 21 Airbus A330-900neo planes, with delivery expected between 2028 and 2033. These new aircraft will help IAG's airlines update their fleets with modern, fuel-efficient planes, following a recent U.S.-UK trade agreement [2].

Cloudflare shares have soared 11% premarket after delivering strong first-quarter results. The company reported $479M in revenue, surpassing expectations, driven by large deals in cybersecurity and AI. Despite a slight miss on operating margin, Cloudflare's increased investment in go-to-market strategies highlights its commitment to capitalizing on growth opportunities [2].

Microsoft, Amazon, and Google are leading in the software sector as AI and cloud services continue to drive growth. Analysts at Wedbush Securities highlight the integration of AI into cloud products as a key factor for these companies' success. The hyperscalers are projected to significantly increase their capital expenditure in the coming years, emphasizing the importance of AI-driven projects [2].

Adobe has reached an agreement with the U.S. General Services Administration to reduce the price of its software by 70% as part of a digital transformation initiative. This deal reflects the government's focus on strategic procurement and the adoption of commercial products to improve efficiency across federal agencies [2].

WeightWatchers has filed for Chapter 11 bankruptcy, citing financial challenges from the rise of GLP-1 drugs and DIY weight-loss trends. The company plans to restructure its $1.15B debt and exit bankruptcy by late June. WeightWatchers attributes its struggles to shifting consumer preferences towards holistic health and flexible weight-loss solutions [2].

References:
[1] https://www.theguardian.com/business/2025/may/04/shell-reportedly-weighing-up-merits-of-making-move-to-buy-bp
[2] https://www.gurufocus.com/news/2849442/morning-brew-bp-takeover-talks-and-googles-legal-battle-take-center-stage
[3] https://seekingalpha.com/news/4445592-italys-moltiply-sues-google-in-297b-lawsuit-over-alleged-market-dominance
[4] https://nypost.com/2025/05/08/business/us-automakers-furious-at-trumps-trade-deal-with-uk-and-heres-why/