Lamb Weston Jumps on Report of Post Mulling Possible Deal (2)

Lamb Weston Holdings Inc. shares rose after Reuters reported that Post Holdings Inc. is working with bankers to explore a possible transaction with the french-fry maker.

Shares of Lamb Weston climbed as much as 9.1%, their biggest gain in almost two months. The stock has fallen 26% this year. Post fell as much as 4.8%, its largest intraday drop since October 2023.

Hours earlier, traders snapped up unusually large volumes of bullish call options expiring in January that would allow the holders to buy shares in the mid to upper $70s. After the stock surged as high as $81, the ...