Longs Drug Stores Corp. (NYSE: LDG) was a stock that we featured about a month ago after billionaire investor Bill Ackman built up a timely stake through his Pershing Square Capital Management. The activist investor purchased a sizable stake shortly before CVS announced that it intended to acquire the firm sending shares sharply higher. Now, it appears that another drug store with deep pockets is interested in acquiring the company...

Walgreen Co. announced a rival bid over the weekend that came in at $75 per share, compared to CVS' offer of just $71.50 per share. Investors pushed shares as high as $76 per share today as hopes they hoped CVS would increase its own bid for the company. However, the Walgreen's deal could be mired in problems, according to some analysts. Most notably, federal antitrust regulators could get involved as Walgreen's stores are very close to Long's stores in several key markets in California.

That same real estate is likely what attracted many of these acquisition offers. In fact, Bill Ackman likely purchased his stake with the idea of selling the company's owned real estate and leasing it back to generate value. CVS' own estimates also show the substantial value held in the real estate. And finally, several shareholders have already balked at CVS' offer because they believe it underestimates this real estate.

So, what will happen from here? Well, shareholders are likely to continue their speculation and keep Long's shares above $76. A higher offer from CVS is about 50% likely while an eventual acquisition by CVS at a smaller $73 or so premium makes up a substantial additional possibility. However, it is likely that Walgreen's bid will fail due to regulatory concerns unless they promise to actually sell off the properties in these key areas and divest them completely...

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CVS Caremark Corporation (CVS)
Walgreen Company (WAG)
Rite Aid Corporation (RAD)
PetMed Express, Inc. (PETS)

NN, Inc. (NDAQ: NNBR) shares surged higher after the company announced a new $20 million share buyback program. The program would result in a little less than a 10% reduction in the number of shares on the open market. Investors are hoping that this reduction will help boost the company's earnings per share number as less shares outstanding increases the equation. This should then encourage investors to revalue the stock at a higher multiple.

Buying back stock is good for several reasons. First, it uses up excess cash on the balance sheet and provides a better return than the money market. Secondly, buying back stock can increase the company's return on equity along with other financial ratios as less shares outstanding increases the fraction in many cases. And finally, buying back stock has a psychological effect on the market in that it signals that the firm itself believes that its shares are undervalued.

NN, Inc. operates in three segments: the metal bearing components segment, the plastic and rubber components segment, and the precision metal components segment. Within the metal bearing components segment, the Company manufactures and supplies high-precision bearing components, consisting of balls, cylindrical rollers, tapered rollers and metal retainers, for bearing manufacturers on a global basis.

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RBC Bearings Incorporated (ROLL)
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The Chinese biotechnology industry is quickly growing at 20% to 30% annually into a an estimated $8.5 billion industry by 2010. The Chinese government has facilitated much of this growth by making biotechnology and drug discovery a top priority in the 11th 5 Year Plan (2006-2010) and making annual contributions of $600 million to advance industry development along with granting incentives such as tax exemptions. Meanwhile, the Chinese pharmaceutical industry is expected to be the 5th largest in the world by 2010.

Sinobiomed Inc. (OTC-BB: SOBM) is a leading Chinese developer of genetically engineered recombinant protein drugs and vaccines. Currently, the company has 10 products approved or in development: threee on the market, one awaiting approval, four in clinical trials, and three in research and development. The company's drugs focus on responding to a wide range of diseases, including malaria, hepatitis, surgical bleeding, cancer, rheumatoid arthritis, diabetic ulcers and burns, and blood cell regeneration.

Recombinant protein and enzyme drugs, like those produced by Sinobiomed, are valued for their safety and efficacy. Through partnerships with key research hospitals and institutes, Sinobiomed has build a substantial portfolio of these drugs. Additionally,  Sinobiomed has the ability to manufacture a large quantity of bio-products at extremely low costs through a patented high-yield production process that enhances bioactivity and encourages the highest levels of purity in the drugs.

Investors looking for more information on this industry as well as Sinobiomed can check out their website at Sinobiomed.com. The company's stock is listed on the OTC-BB exchange under the ticker symbol SOBM.

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China-Biotics Inc. (CHBT)
Renhuang Pharmaceuticals Inc. (RHGP)