Atlas Energy (ATLS) gapped higher and is up $6 to $37.81 after announcing a joint venture with India’s Reliance, which will include a $340 million cash payment and $1.36 bln in a form of drilling carry. Options volume is running 8X the normal, with 7790 calls and 1380 puts traded. April 35 and 40 calls are the most actives. Activity is being seen in May and June as well. Implied volatility is easing 2 percent to 45, as there had been increasing options action and speculation about a possible deal in recent weeks (see 3/29 color – Premium). We also highlighted the stock on Feb 25 in WhatsTrading.com as a “Bullish” Play, on Feb 25. Link (Premium subscription required).

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