Merger Arbitrage Mondays – December 14, 2015

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December 14, 2015 | Merger Arbitrage | | Author Asif

Merger activity increased last week with six new deals announced and seven 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 2015 193
Total Number of Deals Not Completed in 2015 7
Total Number of Pending Deals
Cash Deals 54
Stock Deals 21
Stock & Cash Deals 20
Special Conditions 11
Total Number of Pending Deals 106
Total Deal Size $1504.21 billion

New Deals:

  1. The acquisition of Keurig Green Mountain (GMCR) by JAB Holding Company for $13.9 billion or $92.00 per share in cash.
  2. The acquisition of Homeinns Hotel Group (HMIN) by BTG Hotels Group for $35.80 per share in cash.
  3. The acquisition of Wilshire Bancorp (WIBC) by BBCN Bancorp (BBCN) for $1 billion in an all stock deal. Under the terms of the agreement, Wilshire shareholders will receive a fixed exchange ratio of 0.7034 of a share of BBCN common stock in exchange for each share of Wilshire common stock they own.
  4. The acquisition of Jiayuan.com International (DATE) by FutureWorld for $7.56 per share in cash.
  5. The acquisition of Fox Chase Bancorp (FXCB) by Univest Corporation of Pennsylvania (UVSP) for $244.3 million. Upon completion of the merger, Fox Chase shareholders will elect to receive either $21.00 in cash, or a fixed exchange ratio of 0.9731 shares of Univest, or a combination of the two, for outstanding shares of Fox Chase. The stock/cash election is subject to allocation provisions to assure that 40% of Fox Chase shares receive cash consideration and 60% of Fox Chase shares receive stock consideration.
  6. The acquisition of Blount International (BLT) by American Securities and P2 Capital Partners, LLC for $855 million or $10.00 per share in cash.

Deal Updates:

  1. On December 9,  2015, Vivint Solar (VSLR) announced an amendment to it’s previously announced merger with SunEdison (SUNE). According to the amendment, the cash portion of the deal will be reduced by $2 and the stock portion will be increased by $0.75.  The total deal value will be $4.06 in stock, $3.30 in convertible notes and $7.89 in cash for a total value of $15.25.
  2. On December 11, 2015, Pep Boys (PBY) and Bridgestone Retail Operations announced that they have amended their Agreement and Plan of Merger dated October 26, 2015. Pursuant to the amendment, BSRO increased the offer price to acquire all the outstanding shares of common stock of Pep Boys from $15.00 per share to $15.50 per share in cash, or approximately $863 million in aggregate equity value.

Closed Deals:

  1. The acquisition of Freescale Semiconductor (FSL) by NXP Semiconductors (NXPI) on December 7, 2015. It took 280 days for this deal to be completed.
  2. The acquisition of Oneida Financial (ONFC) by Community Bank System (CBU) on December 7, 2015. It took 286 days for this deal to be completed.
  3. The acquisition of Integrated Silicon Solution (ISSI) by Uphill Investment on December 7, 2015. It took 179 days for this deal to be completed.
  4. The acquisition of Premiere Global Services (PGI) by Siris Capital Group on December 8, 2015. It took 89 days for this deal to be completed.
  5. The acquisition of Cytec Industries (CYT) by Solvay on December 9, 2015. It took 133 days for this deal to be completed.
  6. The acquisition of Steiner Leisure (STNR) by an affiliate of Catterton on December 9, 2015. It took 110 days for this deal to be completed.
  7. The acquisition of Books-A-Million (BAMM) by the Anderson Family on December 10, 2015. It took 150 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

WMB 09/28/2015 Energy Transfer Equity, L.P. (ETE) $43.50 $26.42 06/30/2016 64.65% 118.58%
VSLR 07/20/2015 SunEdison, Inc. (SUNE) $15.25 $9.27 12/31/2015 64.51% 1385.05%
ODP 02/04/2015 Staples, Inc. (SPLS) $9.33 $5.71 12/31/2015 63.37% 1360.66%
PRSN 10/27/2015 Galil Medical (N/A) $1.00 $0.62 12/21/2015 61.29% 3195.85%
NKA 06/14/2015 Brookfield Infrastructure (N/A) $4.23 $3.05 12/31/2016 38.69% 36.87%
TRIV 10/26/2015 Endologix Inc. (ELGX) $9.10 $7.06 01/31/2016 28.90% 219.72%
BHI 11/16/2014 Halliburton Company (HAL) $60.40 $47.80 12/31/2015 26.35% 565.75%
CI 07/24/2015 Anthem, Inc. (ANTM) $173.36 $140.08 12/31/2016 23.76% 22.64%
HUM 07/03/2015 Aetna Inc. (AET) $212.86 $172.78 12/31/2016 23.20% 22.11%
AGN 11/23/2015 Pfizer Inc. (PFE) $362.28 $301.92 12/31/2016 19.99% 19.05%

List of all pending deals:

Symbol Announced

Date

Acquiring

Company

Deal

Type

Closing

Value

Closing

Price

Last

Price

Volume Closing

Date

Profit Annu.

Profit

+ WMB 09/28/2015 Energy Transfer Equity, L.P. (ETE) Special Conditions $37.7 billion $43.50 $26.42 12,290,779 06/30/2016 64.65% 118.58%
+ VSLR 07/20/2015 SunEdison, Inc. (SUNE) Special Conditions $2.2 billion $15.25 $9.27 457,879 12/31/2015 64.51% 1385.05%
+ ODP 02/04/2015 Staples, Inc. (SPLS) Cash Plus Stock $6.3 billion $9.33 $5.71 14,874,794 12/31/2015 63.37% 1360.66%
+ PRSN 10/27/2015 Galil Medical (N/A) All Cash $10.6 million $1.00 $0.62 30,730 12/21/2015 61.29% 3195.85%
+ NKA 06/14/2015 Brookfield Infrastructure (N/A) All Cash $911.9 million $4.23 $3.05 40,328 12/31/2016 38.69% 36.87%
+ TRIV 10/26/2015 Endologix Inc. (ELGX) Special Conditions $211 million $9.10 $7.06 12,811 01/31/2016 28.90% 219.72%
+ BHI 11/16/2014 Halliburton Company (HAL) Cash Plus Stock N/A $60.40 $47.80 8,507,726 12/31/2015 26.35% 565.75%
+ CI 07/24/2015 Anthem, Inc. (ANTM) Cash Plus Stock $54.2 billion $173.36 $140.08 1,198,640 12/31/2016 23.76% 22.64%
+ HUM 07/03/2015 Aetna Inc. (AET) Cash Plus Stock $37 billion $212.86 $172.78 1,004,212 12/31/2016 23.20% 22.11%
+ AGN 11/23/2015 Pfizer Inc. (PFE) All Stock $160 billion $362.28 $301.92 3,727,080 12/31/2016 19.99% 19.05%
+ HE 12/03/2014 NextEra Energy, Inc. (NEE) Special Conditions $4.3 billion $33.50 $28.02 445,109 06/30/2016 19.56% 35.87%
+ HOT 11/16/2015 Marriott International, Inc. (MAR) Special Conditions $12.2 billion $79.88 $68.07 1,674,267 06/30/2016 17.35% 31.82%
+ CVC 09/17/2015 Altice (N/A) All Cash $17.7 billion $34.90 $30.14 5,398,095 06/30/2016 15.79% 28.97%
+ SNDK 10/21/2015 Western Digital Corporation (WDC) Special Conditions $19 billion $86.50 $74.81 2,568,483 09/30/2016 15.63% 19.60%
+ MDP 09/08/2015 Media General, Inc. (MEG) Special Conditions $3.1 billion $51.53 $44.62 204,102 06/30/2016 15.49% 28.40%
+ RAD 10/27/2015 Walgreens Boots Alliance, Inc. (WBA) All Cash $17.2 billion $9.00 $7.80 10,859,201 12/31/2016 15.38% 14.66%
+ HTCH 11/02/2015 TDK Corporation (N/A) Special Conditions $126 million $4.00 $3.66 174,477 03/31/2016 9.29% 31.40%
+ MTSN 12/01/2015 Beijing E-Town Dragon Semiconductor Industry Investment Center (N/A) All Cash $300 million $3.80 $3.48 858,018 03/31/2016 9.20% 31.08%
+ TWC 05/26/2015 Charter Communications, Inc. (CHTR) Cash Plus Stock $78.7 billion $196.29 $180.50 2,339,624 12/31/2015 8.75% 187.84%
+ NPBC 08/17/2015 BB&T Corporation (BBT) Special Conditions $1.8 billion $13.00 $11.97 1,634,263 06/30/2016 8.60% 15.78%
+ NTI 10/26/2015 Western Refining, Inc. (WNR) Cash Plus Stock N/A $26.36 $24.45 1,329,743 03/31/2016 7.82% 26.43%
+ CNL 10/20/2014 Macquarie Infrastructure and Real Assets (MIRA) and British Columbia Investment Management Corporation (bcIMC) (N/A) All Cash $4.7 billion $55.37 $51.83 323,148 12/31/2015 6.83% 146.64%
+ VBIV 10/26/2015 SciVac Therapeutics Inc. (SVACF) All Stock N/A $2.60 $2.44 7,354 03/31/2016 6.60% 22.31%
+ NGLS 11/03/2015 Targa Resources Corp. (TRGP) All Stock $5.54 billion $17.62 $16.53 1,920,811 03/31/2016 6.60% 22.29%
+ RLD 11/09/2015 Rizvi Traverse Management, LLC (N/A) All Cash $551 million $11.00 $10.35 961,004 03/31/2016 6.28% 21.22%
+ FRM 11/02/2015 Team, Inc. (TISI) All Stock $335 million $7.34 $6.93 81,439 03/31/2016 5.98% 20.21%
+ RNF 08/10/2015 CVR Partners, LP (UAN) Cash Plus Stock $840 million $10.70 $10.15 89,049 04/30/2016 5.45% 14.41%
+ MR 11/04/2015 Excelsior Union Limited and Solid Union Limited (N/A) All Cash $3.3 billion $28.00 $26.56 1,401,111 03/31/2016 5.42% 18.32%
+ AF 10/29/2015 New York Community Bancorp Inc. (NYCB) Cash Plus Stock $2 billion $16.69 $15.84 765,795 12/31/2016 5.37% 5.11%
+ KLAC 10/21/2015 Lam Research Corporation (LRCX) Cash Plus Stock $10.6 billion $71.45 $67.87 827,370 06/30/2016 5.27% 9.66%
+ PNY 10/26/2015 Duke Energy Corporation (DUK) All Cash $6.7 billion $60.00 $57.01 454,539 12/31/2016 5.24% 5.00%
+ GAS 08/24/2015 Southern Company (SO) All Cash $12 billion $66.00 $62.73 695,561 12/31/2016 5.21% 4.97%
+ HMIN 12/07/2015 BTG Hotels Group (N/A) All Cash N/A $35.80 $34.10 241,419 06/30/2016 4.99% 9.14%
+ ARG 11/17/2015 Air Liquide (N/A) All Cash $13.4 billion $143.00 $136.42 1,893,377 03/31/2016 4.82% 16.30%
+ WIBC 12/07/2015 BBCN Bancorp, Inc. (BBCN) All Stock $1 billion $11.74 $11.22 1,739,031 06/30/2016 4.63% 8.50%
+ PNX 09/29/2015 Nassau Reinsurance Group Holdings L.P. (N/A) All Cash $217.2 million $37.50 $35.88 51,300 01/31/2016 4.52% 34.33%
+ CCG 10/16/2015 affiliates of Harrison Street Real Estate Capital, LLC (N/A) All Cash $1.9 billion $7.03 $6.73 599,356 03/31/2016 4.46% 15.07%
+ OVTI 04/30/2015 Hua Capital Management Co., Ltd., CITIC Capital Holdings Limited, and GoldStone Investment Co., Ltd. (N/A) All Cash $1.9 billion $29.75 $28.50 1,908,586 04/30/2016 4.39% 11.60%
+ BNK 11/09/2015 Bank of the Ozarks, Inc. (OZRK) Special Conditions $402.5 million $25.00 $23.97 104,194 04/30/2016 4.30% 11.37%
+ EZCH 09/30/2015 Mellanox Technologies, Ltd. (MLNX) All Cash $620 million $25.50 $24.45 257,257 03/31/2016 4.29% 14.51%
+ POM 04/30/2014 Exelon Corporation (EXC) All Cash $7.2 billion $27.25 $26.14 1,004,092 12/10/2015 4.25% 0.00%
+ FNFG 10/30/2015 KeyCorp. (KEY) Cash Plus Stock $4.1 billion $10.96 $10.52 2,816,732 09/30/2016 4.21% 5.28%
+ ATML 09/20/2015 Dialog Semiconductor Plc (DLGNF) Cash Plus Stock $4.4 billion $8.81 $8.46 4,324,700 03/31/2016 4.15% 14.01%
+ FGL 11/09/2015 Anbang Insurance Group Co., Ltd. (N/A) All Cash N/A $26.80 $25.78 339,907 06/30/2016 3.96% 7.26%
+ SWI 10/21/2015 Silver Lake Partners and Thoma Bravo, LLC (N/A) All Cash $4.5 billion $60.10 $57.86 965,526 03/31/2016 3.87% 13.08%
+ NBBC 10/13/2015 Yadkin Financial Corporation (YDKN) All Stock $456 million $12.19 $11.75 115,754 06/30/2016 3.70% 6.79%
+ GMCR 12/07/2015 JAB Holding Company (N/A) All Cash $13.9 billion $92.00 $88.96 6,002,179 03/31/2016 3.42% 11.55%
+ TE 09/05/2015 Emera (N/A) All Cash $10.4 billion $27.55 $26.66 1,297,066 06/30/2016 3.34% 6.12%
+ SLH 09/13/2015 an affiliate of Vista Equity Partners (N/A) All Cash $6.5 billion $55.85 $54.17 1,461,084 03/31/2016 3.10% 10.48%
+ SYA 08/11/2015 Sumitomo Life Insurance Company (N/A) All Cash $3.8 billion $32.50 $31.64 383,116 05/15/2016 2.72% 6.48%
+ RIVR 10/26/2015 German American Bancorp Inc. (GABC) Cash Plus Stock N/A $34.93 $34.11 375 03/31/2016 2.39% 8.08%
+ UTIW 10/09/2015 DSV (N/A) All Cash $1.35 billion $7.10 $6.94 1,768,338 03/31/2016 2.31% 7.79%
+ YOKU 11/06/2015 Alibaba Group Holding Limited (BABA) All Cash $5.37 billion $27.60 $26.98 2,353,851 03/31/2016 2.30% 7.77%
+ CAM 08/26/2015 Schlumberger Limited (SLB) Cash Plus Stock $14.8 billion $64.43 $63.07 1,700,425 03/31/2016 2.16% 7.29%
+ DATE 12/07/2015 FutureWorld Inc. (N/A) All Cash N/A $7.56 $7.41 176,167 03/31/2016 2.02% 6.84%
+ DMND 10/28/2015 Snyder’s-Lance, Inc. (LNCE) Cash Plus Stock $1.91 billion $39.04 $38.27 276,572 03/31/2016 2.00% 6.76%
+ PCL 11/09/2015 Weyerhaeuser Co. (WY) All Stock $8.44 billion $48.77 $47.83 1,014,816 05/15/2016 1.96% 4.68%
+ ALTR 06/01/2015 Intel Corporation (INTC) All Cash $16.7 billion $54.00 $52.99 2,961,201 03/31/2016 1.91% 6.44%
+ BLT 12/10/2015 American Securities LLC and P2 Capital Partners, LLC (N/A) All Cash $855 million $10.00 $9.83 3,355,727 06/30/2016 1.73% 3.17%
+ MDAS 11/02/2015 Pamplona Capital Management (N/A) All Cash $2.7 billion $31.35 $30.82 318,401 03/31/2016 1.72% 5.81%
+ PULB 12/03/2015 First Busey Corporation (BUSE) All Stock $210.7 million $16.53 $16.27 11,302 06/30/2016 1.63% 2.98%
+ CTCT 11/02/2015 Endurance International Group Holdings, Inc. (EIGI) All Cash $1.1 billion $32.00 $31.54 575,242 12/31/2016 1.46% 1.39%
+ CHEV 11/24/2015 MainSource Financial Group, Inc. (MSFG) All Stock $107.4 million $14.95 $14.74 3,736 09/30/2016 1.39% 1.75%
+ HNT 07/02/2015 Centene Corp. (CNC) Cash Plus Stock $6.8 billion $63.62 $62.77 652,533 03/31/2016 1.36% 4.59%
+ PCP 08/10/2015 Berkshire Hathaway Inc. (BRK-A) All Cash $37.2 billion $235.00 $231.87 904,660 03/31/2016 1.35% 4.56%
+ ALU 04/15/2015 Nokia Corporation (NOK) All Stock $16.6 billion $3.80 $3.75 4,078,494 06/30/2016 1.20% 2.20%
+ NTLS 08/10/2015 Shenandoah Telecommunications Co. (SHEN) All Cash $640 million $9.25 $9.15 382,603 03/31/2016 1.09% 3.69%
+ PMCS 11/24/2015 Microsemi Corporation (MSCC) Cash Plus Stock $2.5 billion $11.84 $11.71 3,925,255 03/31/2016 1.09% 3.68%
+ PRE 08/03/2015 EXOR S.p.A. (N/A) All Cash $6.9 billion $140.50 $139.00 223,711 03/31/2016 1.08% 3.65%
+ ALTV 09/03/2015 Momentum Telecom, Inc. (N/A) All Cash $28.7 million $4.70 $4.65 31,612 12/31/2015 1.08% 23.09%
+ KING 11/02/2015 Activision Blizzard, Inc. (ATVI) All Cash $5.9 billion $18.00 $17.81 798,064 03/31/2016 1.07% 3.61%
+ COB 11/23/2015 Capital Bank Financial Corp. (CBF) All Stock $350 million $13.47 $13.33 33,513 03/31/2016 1.06% 3.60%
+ VIMC 09/15/2015 Vimicro China (N/A) All Cash N/A $13.50 $13.36 218,980 12/31/2015 1.05% 22.50%
+ METR 08/04/2015 F.N.B. Corporation (FNB) All Stock $474 million $30.90 $30.59 27,950 03/31/2016 1.00% 3.39%
+ AVOL 09/03/2015 Bohai Leasing Co., Ltd. (N/A) All Cash $7.6 billion $31.00 $30.70 323,686 03/31/2016 0.98% 3.30%
+ CB 07/01/2015 ACE Limited (ACE) Cash Plus Stock $28.3 billion $131.01 $129.75 1,365,046 03/31/2016 0.97% 3.28%
+ SFG 07/23/2015 Meiji Yasuda Life Insurance Company (N/A) All Cash $5 billion $115.00 $113.95 134,279 03/31/2016 0.92% 3.11%
+ FXEN 10/13/2015 ORLEN Upstream (N/A) All Cash 119 million $1.15 $1.14 113,023 12/31/2015 0.88% 18.83%
+ TSYS 11/23/2015 Comtech Telecommunications Corp. (CMTL) All Cash $339.7 million $5.00 $4.965 629,227 03/31/2016 0.70% 2.38%
+ BMR 10/08/2015 Blackstone Real Estate Partners VIII (BX) All Cash $8 billion $23.75 $23.59 3,138,274 03/31/2016 0.68% 2.29%
+ SIRO 09/15/2015 DENTSPLY International Inc. (XRAY) All Stock $5.51 billion $108.47 $107.76 299,313 03/31/2016 0.66% 2.23%
+ NVSL 06/04/2015 Liberty Bank (N/A) All Cash $78 million $11.00 $10.93 1,478 12/31/2016 0.64% 0.61%
+ ARPI 12/03/2015 American Homes 4 Rent (AMH) All Stock $1.5 billion $18.06 $17.95 763,491 06/30/2016 0.60% 1.10%
+ LBMH 11/20/2015 CR Bard Inc. (BCR) All Cash $181 million $3.35 $3.33 135,553 03/31/2016 0.60% 2.03%
+ RNDY 11/11/2015 The Kroger Co. (KR) All Cash $800 million $3.60 $3.59 606,617 12/31/2015 0.28% 5.98%
+ BDBD 11/24/2015 Pinnacle Foods (N/A) All Cash $710 million $11.00 $10.97 1,591,294 03/31/2016 0.27% 0.92%
+ OCAT 11/10/2015 Astellas Pharma Inc. (N/A) All Cash $379 million $8.50 $8.48 723,906 05/09/2016 0.24% 0.59%
+ BEE 09/08/2015 Blackstone Real Estate Partners VIII L.P. (N/A) All Cash $6 billion $14.25 $14.22 33,066,796 03/31/2016 0.21% 0.71%
+ BZC 11/19/2015 TransDigm Group Incorporated (TDG) All Cash $206 million $19.61 $19.57 115,386 03/31/2016 0.20% 0.69%
+ AWAY 11/04/2015 Expedia Inc. (EXPE) Cash Plus Stock $3.9 billion $35.59 $35.56 5,245,511 03/31/2016 0.09% 0.31%
+ JMG 10/07/2015 Gannett Co., Inc. (GCI) All Cash $280 million $12.00 $11.99 113,529 03/31/2016 0.08% 0.28%
+ WPP 10/13/2015 SCA (N/A) All Cash $513 million $10.25 $10.25 196,234 01/31/2016 0.00% 0.00%
+ ASBI 06/29/2015 First Merchants Corporation (FRME) All Stock $68.8 million $22.88 $22.90 14,750 12/31/2015 -0.08% -1.72%
+ DYAX 11/02/2015 Shire plc (SHPG) All Cash $5.9 billion $37.30 $37.36 3,978,360 06/30/2016 -0.16% -0.29%
+ FXCB 12/08/2015 Univest Corporation of Pennsylvania (UVSP) All Stock $244.3 million $19.74 $19.80 234,194 09/30/2016 -0.28% -0.35%
+ GPT 07/01/2015 Chambers Street Properties (CSG) All Stock $2.5 billion $22.65 $22.84 452,481 12/31/2015 -0.84% -18.09%
+ RENT 09/29/2015 comScore, Inc. (SCOR) All Stock $732 million $44.76 $45.37 117,645 01/31/2016 -1.35% -10.26%
+ HFFC 11/30/2015 Great Western Bancorp. Inc. (GWB) All Stock $139.5 million $19.08 $19.46 39,396 06/30/2016 -1.93% -3.54%
+ FCS 11/18/2015 ON Semiconductor Corp. (ON) All Cash $2.4 billion $20.00 $20.65 1,865,724 06/30/2016 -3.15% -5.77%
+ TW 06/30/2015 Willis Group Holdings Public Limited Company (WSH) Cash Plus Stock $8.7 billion $128.50 $132.96 1,297,921 12/31/2015 -3.36% -72.04%
+ BRCM 05/28/2015 Avago Technologies Limited (AVGO) Special Conditions $37 billion $54.50 $57.34 3,097,105 03/31/2016 -4.95% -16.74%
+ PBY 10/26/2015 Bridgestone Americas, Inc. (N/A) All Cash $863 million $15.50 $16.34 1,423,651 03/31/2016 -5.14% -17.37%
+ ANAD 11/12/2015 GaAs Labs, LLC (N/A) All Cash $32 million $0.35 $0.370 576,755 01/31/2016 -5.41% -41.10%
+ FSYS 09/01/2015 Westport Innovations Inc. (WPRT) All Stock $126.36 million $3.87 $4.16 50,860 12/31/2015 -6.86% -147.21%
+ CACQ 12/22/2014 Caesars Entertainment Corporation (CZR) All Stock N/A $5.21 $7.41 82,150 03/31/2015 -29.75% 42.08%
+ MWE 07/13/2015 MPLX LP (MPLX) Cash Plus Stock $20 billion $38.28 $N/A N/A 12/31/2015 0.00% 0.00%

Disclaimer: Clients of Signal Partners, LLC  and I may have positions in any of these stocks at any time. Please do your own due diligence before buying or selling any securities mentioned in this article. We do not warrant the completeness or accuracy of the content or data provided in this article.

Connect with me on LinkedIn: http://www.linkedin.com/in/asifsuria or follow me on Twitter@asifsuria




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