Merger Arbitrage Mondays – June 23, 2014

Bookmark and Share

June 22, 2014 | Merger Arbitrage | | Author Asif

Merger Activity decreased last week with three new mergers announced and two deals closing.

You can find all the active deals listed below in our Merger Arbitrage Tool that automatically updates itself during market hours.

Deal Statistics:

Total Number of Deals Closed in 2014 79
Total Number of Pending Deals
Cash Deals 28
Stock Deals 17
Stock & Cash Deals 11
Special Conditions 7
Total Number of Pending Deals 63
Total Deal Size $373.13 billion

New Deals:

  1. The acquisition of TW Telecom (TWTC) by Level 3 Communications (LVLT) for $7.3 billion in cash plus stock deal. Under the terms of the agreement, shareholders of TW Telecom will receive $10 in cash and 0.7 shares of Level 3 common stock for each share of TW Telecom common stock.
  2. The acquisition of Fusion-io (FIO) by SanDisk (SNDK) for $1.1 billion of $11.25 per share in cash.
  3. The acquisition of Measurement Specialties (MEAS) by TE Connectivity Ltd. (TEL) for $1.7 billion or $86.00 per share in cash.

Closed Deals:

  1. The acquisition of Jos. A Bank Clothiers (JOSB) by The Men’s Wearhouse (MW) on June 18, 2014. It took 99 days for this deal to be completed.
  2. The acquisition of Zygo Corporation (ZIGO) by AMETEK (AME) on June 20, 2014. It took 70 days for this deal to be completed

Top 10 deals with largest spreads:

Symbol Announced

Date

Acquiring

Company

Closing

Price

Last

Price

Closing

Date

Profit Annualized

Profit

PF 05/12/2014 The Hillshire Brands Company (HSH) $49.04 $33.14 09/30/2014 47.98% 176.89%
TWGP 01/06/2014 ACP Re Ltd. (N/A) $2.50 $1.99 11/15/2014 25.63% 64.51%
CHTP 05/08/2014 H. Lundbeck A/S (N/A) $7.94 $6.55 09/30/2014 21.22% 78.24%
DTV 05/18/2014 AT&T, Inc. (T) $95.00 $84.77 05/31/2015 12.07% 12.88%
LIN 03/22/2014 Media General, Inc. (MEG) $27.82 $25.39 03/31/2015 9.57% 12.43%
RDA 11/11/2013 Tsinghua Unigroup Ltd. (N/A) $18.50 $16.94 06/30/2014 9.21% 480.18%
MONT 06/11/2014 Shanghai Pudong Science and Technology Investment Co., Ltd. (N/A) $22.60 $20.74 09/30/2014 8.97% 33.06%
QCOR 04/07/2014 Mallinckrodt plc (MNK) $100.28 $93.18 09/30/2014 7.62% 28.09%
COV 06/15/2014 Medtronic, Inc. (MDT) $96.24 $90.11 01/31/2015 6.80% 11.19%
FFCO 04/14/2014 CB Financial Services, Inc. (CBFV) $23.53 $22.05 11/15/2014 6.70% 16.87%

List of all pending deals:

Symbol Announced

Date

Acquiring

Company

Deal

Type

Closing

Value

Closing

Price

Last

Price

Volume Closing

Date

Profit Annu.

Profit

+ PF 05/12/2014 The Hillshire Brands Company (HSH) Cash Plus Stock $4.3 billion $49.04 $33.14 529,241 09/30/2014 47.98% 176.89%
+ TWGP 01/06/2014 ACP Re Ltd. (N/A) All Cash $172.1 $2.50 $1.99 1,401,266 11/15/2014 25.63% 64.51%
+ CHTP 05/08/2014 H. Lundbeck A/S (N/A) Special Conditions $658 million $7.94 $6.55 10,071,938 09/30/2014 21.22% 78.24%
+ DTV 05/18/2014 AT&T, Inc. (T) Special Conditions $48.5 billion $95.00 $84.77 6,957,996 05/31/2015 12.07% 12.88%
+ LIN 03/22/2014 Media General, Inc. (MEG) Special Conditions $2.6 billion $27.82 $25.39 407,111 03/31/2015 9.57% 12.43%
+ RDA 11/11/2013 Tsinghua Unigroup Ltd. (N/A) All Cash $910 million $18.50 $16.94 274,514 06/30/2014 9.21% 480.18%
+ MONT 06/11/2014 Shanghai Pudong Science and Technology Investment Co., Ltd. (N/A) All Cash $693 million $22.60 $20.74 353,340 09/30/2014 8.97% 33.06%
+ QCOR 04/07/2014 Mallinckrodt plc (MNK) Cash Plus Stock $5.6 billion $100.28 $93.18 1,953,689 09/30/2014 7.62% 28.09%
+ COV 06/15/2014 Medtronic, Inc. (MDT) Cash Plus Stock $42.9 billion $96.24 $90.11 9,942,660 01/31/2015 6.80% 11.19%
+ FFCO 04/14/2014 CB Financial Services, Inc. (CBFV) All Stock 54.5 million $23.53 $22.05 3,055 11/15/2014 6.70% 16.87%
+ OVRL 05/15/2014 Sphere 3D Corporation (SPIHF) All Stock $81.13 million $3.99 $3.75 72,692 09/30/2014 6.48% 23.88%
+ SWY 03/06/2014 AB Acquisition LLC (N/A) Special Conditions N/A $36.15 $33.98 3,415,356 12/31/2014 6.39% 12.20%
+ FFKY 04/22/2014 Community Bank Shares of Indiana Inc. (CBIN) All Stock $17.9 million $3.98 $3.74 4,799 12/31/2014 6.36% 12.16%
+ TWC 02/13/2014 Comcast Corporation (CMCSA) All Stock $45.2 billion $151.63 $143.25 2,047,319 12/31/2014 5.85% 11.18%
+ THRD 06/04/2014 National Penn Bancshares Inc. (NPBC) All Stock $138 million $44.61 $42.49 2,539 12/31/2014 4.98% 9.51%
+ HCBK 08/27/2012 M&T Bank Corporation (MTB) All Stock $3.7 billion $10.48 $10.05 4,137,859 12/31/2014 4.29% 8.20%
+ DCIN 05/15/2014 Carmike Cinemas Inc. (CKEC) All Stock N/A $6.16 $5.96 9,187 09/30/2014 3.40% 12.55%
+ OBAF 04/08/2014 F.N.B. Corporation (FNB) All Stock $94 million $22.74 $22.00 9,269 09/30/2014 3.38% 12.46%
+ CHRM 05/19/2014 Engadin Parent Limited (N/A) Special Conditions N/A $4.70 $4.55 1,100 09/30/2014 3.30% 12.15%
+ SUSS 04/28/2014 Energy Transfer Partners, L.P. (ETP) All Stock $1.8 billion $82.39 $79.94 496,819 09/30/2014 3.07% 11.32%
+ EDS 12/02/2013 Pan Long Company Limited (N/A) All Cash $60.1 million $1.78 $1.73 14,360 03/31/2014 2.89% 0.00%
+ NED 04/02/2014 Rainbow Education Holding Limited (N/A) All Cash N/A $2.85 $2.77 4,918 08/15/2014 2.89% 19.89%
+ OABC 04/29/2014 Southside Bancshares Inc. (SBSI) Cash Plus Stock $307 million $25.66 $24.97 176,854 12/31/2014 2.76% 5.27%
+ FUBC 05/08/2014 Valley National Bancorp (VLY) All Stock $312 million $8.92 $8.68 159,786 10/31/2014 2.74% 7.69%
+ LSBI 06/04/2014 Old National Bancorp. (ONB) Cash Plus Stock $66.7 million $43.10 $41.97 206 12/31/2014 2.69% 5.14%
+ CHC 01/13/2014 CPT Wyndham Holdings Ltd. (N/A) All Cash N/A $3.51 $3.42 6,319 06/30/2014 2.63% 137.22%
+ SPBC 05/05/2014 Green Bank (N/A) All Cash $46.2 million $29.55 $28.85 146 09/30/2014 2.43% 8.95%
+ PTEK 04/30/2014 Multimedia Games, Inc. (N/A) All Cash N/A $1.35 $1.32 10,726 12/31/2014 2.27% 4.34%
+ NDZ 03/28/2014 Sterigenics (N/A) All Cash $727 million $13.00 $12.72 386,996 12/31/2014 2.20% 4.21%
+ IDIX 06/09/2014 Merck & Co. Inc. (MRK) All Cash $3.85 billion $24.50 $24.01 4,157,600 09/30/2014 2.04% 7.52%
+ GA 03/16/2014 Giant Investment Limited (�Parent�) and Giant Merger Limited (N/A) All Cash $3 billion $12.00 $11.78 1,590,952 12/31/2014 1.87% 3.57%
+ HAST 03/17/2014 Affiliate of Joel Weinshanker (N/A) All Cash $21.4 million $3.00 $2.95 46,662 06/30/2014 1.69% 88.38%
+ TWTC 06/16/2014 Level 3 Communications, Inc. (LVLT) Cash Plus Stock $7.3 billion $41.30 $40.83 3,098,971 12/31/2014 1.14% 2.19%
+ FRX 02/18/2014 Actavis plc (ACT) Cash Plus Stock $25 billion $97.74 $96.87 4,576,510 06/30/2014 0.90% 47.04%
+ PL 06/03/2014 Dai-ichi Life Insurance Company (N/A) All Cash $5.7 billion $70.00 $69.39 2,004,587 01/31/2015 0.88% 1.45%
+ TQNT 02/24/2014 RF Micro Devices Inc. (RFMD) All Stock $1.6 billion $16.30 $16.17 4,217,254 12/31/2014 0.79% 1.51%
+ DFZ 05/02/2014 Mill Road Capital (N/A) All Cash $215 million $19.00 $18.88 63,585 09/30/2014 0.64% 2.34%
+ AMAP 04/11/2014 affiliate of Alibaba Group Holding Limited (“Alibaba”) (N/A) All Cash $1.5 billion $21.00 $20.88 509,263 09/30/2014 0.57% 2.12%
+ FWLT 02/13/2014 AMEC PLC (AMCBF) Cash Plus Stock $3.3 billion $34.90 $34.73 705,240 12/31/2014 0.48% 0.91%
+ ESC 02/20/2014 Brookdale Senior Living Inc. (BKD) All Stock $2.8 billion $31.83 $31.69 351,658 09/30/2014 0.46% 1.68%
+ SGK 03/17/2014 Matthews International Corporation (MATW) Cash Plus Stock $577 million $20.11 $20.04 216,362 09/30/2014 0.35% 1.31%
+ YONG 04/09/2014 Full Alliance International Limited (N/A) All Cash $339 million $7.10 $7.08 586,680 09/30/2014 0.28% 1.04%
+ ICH 10/28/2013 RCS Capital Corporation (N/A) All Cash $52.5 million $7.25 $7.23 18,244 03/31/2014 0.28% 0.00%
+ EQU 12/09/2013 Petroflow Energy Corporation (N/A) All Cash $230 million $5.43 $5.42 1,129,518 07/31/2014 0.18% 1.77%
+ TXI 01/28/2014 Martin Marietta Materials Inc. (MLM) All Stock $2.7 billion $94.44 $94.29 173,291 06/30/2014 0.16% 8.13%
+ CBEY 04/21/2014 Birch Communications, Inc. (N/A) Special Conditions $323 million $9.97 $9.96 208,513 10/31/2014 0.10% 0.28%
+ NOVB 01/21/2014 TriCo Bancshares (TCBK) All Stock $178.4 million $21.80 $21.82 5,770 06/30/2014 -0.09% -4.86%
+ UNS 12/11/2013 Fortis, Inc. (N/A) All Cash $4.3 billion $60.25 $60.33 414,744 12/31/2014 -0.13% -0.25%
+ HITT 06/09/2014 Analog Devices, Inc. (ADI) All Cash $2 billion $78.00 $78.19 1,649,102 09/30/2014 -0.24% -0.90%
+ TAYC 07/15/2013 MB Financial Inc. (MBFI) Cash Plus Stock $680 million $21.71 $21.76 77,338 06/30/2014 -0.24% -12.76%
+ MEAS 06/18/2014 TE Connectivity Ltd. (TEL) All Cash $1.7 billion $86.00 $86.36 539,472 12/31/2014 -0.42% -0.80%
+ HCT 06/02/2014 Ventas, Inc. (VTR) All Stock $2.6 billion $10.91 $10.98 13,792,043 12/31/2014 -0.63% -1.20%
+ POM 04/30/2014 Exelon Corporation (EXC) All Cash $7.2 billion $27.25 $27.45 2,521,681 09/30/2015 -0.73% -0.57%
+ ISS 06/06/2013 Mr. Tianwen Liu, the Company’s CEO and the chairman of its Board of Directors, and ChinaAMC Capital Management Limited (N/A) All Cash N/A $5.45 $5.49 226,947 09/30/2014 -0.73% -2.69%
+ CNOB 01/21/2014 Center Bancorp, Inc. (CNBC) All Stock $243 million $49.58 $50.03 31,994 09/30/2014 -0.90% -3.30%
+ ARX 05/20/2014 Cobham plc (N/A) All Cash $1.46 billion $10.50 $10.60 298,594 09/30/2014 -0.94% -3.48%
+ SWS 04/01/2014 Hilltop Holdings Inc. (HTH) Cash Plus Stock $260 million $7.23 $7.31 132,350 12/31/2014 -1.07% -2.05%
+ OPEN 06/13/2014 The Priceline Group Inc. (PCLN) All Cash $2.6 billion $103.00 $104.67 738,089 09/30/2014 -1.60% -5.88%
+ PDH 05/28/2014 Flint Hills Resources, LLC (N/A) All Cash $2.1 billion $14.00 $14.38 353,837 12/31/2014 -2.64% -5.05%
+ FIO 06/16/2014 SanDisk Corp. (SNDK) All Cash $1.1 billion $11.25 $11.69 5,472,252 09/30/2014 -3.76% -13.88%
+ VSB 01/27/2014 Yadkin Financial Corporation (YDKN) All Stock $299 million $5.87 $6.15 419,172 06/30/2014 -4.52% -235.81%
+ FURX 04/28/2014 Forest Laboratories Inc. (FRX) Special Conditions $1.1 billion $95.00 $104.25 178,812 09/30/2014 -8.87% -32.71%
+ CHDX 02/17/2014 a buyer consortium (the “Buyer Consortium”) of an affiliate of TPG (together with its affiliates, “TPG”), an affiliate of Shanghai Fosun Pharmaceutical (Group) Co., Ltd. (“Fosun”), and Ms. Roberta Lipson, the CEO of the Company (N/A) All Cash $369 million $19.50 $23.83 54,985 12/31/2014 -18.17% -34.72%

Voluntary Disclosure: I hold a long position in Safeway (SWY).

Connect with me on LinkedIn: http://www.linkedin.com/in/asifsuria




Subscribe to Free Newsletter


Share this Post

Post A Comment, Subscribe to SINLetter