Merger Arbitrage Mondays – December 21, 2015

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December 20, 2015 | Merger Arbitrage | | Author Asif

Merger activity decreased last week with five new deals announced and three 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 198
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 $1525.03 billion

New Deals:

  1. The acquisition of Jarden (JAH) by Newell Rubbermaid (NWL) for $13 billion in a cash plus stock deal. Under the terms of the agreement, Jarden shareholders will receive $21 in cash and 0.862 shares of Newell Rubbermaid stock at closing.
  2. The acquisition of Inland Real Estate (IRC) by real estate funds managed by DRA Advisors for $2.3 billion or $10.60 per share in cash.
  3. The acquisition of Bona Film Group Limited (BONA) by Mountain Tiger International Limited for $1 billion or $13.70 per share in cash.
  4. The acquisition of Heartland Payment Systems (HPY) by Global Payments (GPN) for $4.3 billion in a cash plus stock deal. Under the terms of the agreement, Heartland shareholders will receive 0.6687 shares of Global Payments stock and $53.28 for each share of Heartland stock at closing.
  5. The acquisition of Monarch Financial Holdings (MNRK) by Towne Bank (TOWN) for $221 million in an all stock deal. Under the terms of the agreement, shareholders of Monarch Financial Holdings will receive 0.8830 shares of TowneBank common stock for each share of Monarch.

Deal Updates:

  1. On December 14, 2015, Energy Transfer Equity (ETE) and Williams Companies (WMB) announced that they have entered into a Timing Agreement with the Federal Trade Commission. Under the terms of the Timing Agreement, ETE and WMB have agreed (1) not to consummate the proposed acquisition prior to 60 days after substantial compliance with the Second Requests, and (2) not to consummate the proposed acquisition before March 18, 2016. ETE and WMB continue to work cooperatively with the staff of the FTC as it conducts its review of the proposed acquisition.
  2. On December 15, 2015, Baker Hughes (BHI) and Halliburton (HAL) extended the deadline for their merger to April 30, 2016.

Closed Deals:

  1. The acquisition of HomeAway (AWAY) by Expedia (EXPE) on December 16, 2015. It took 42 days for this deal to be completed.
  2. The acquisition of Gramercy Property Trust (GPT) by Chambers Street Properties on December 17, 2015. It took 169 days for this deal to be completed.
  3. The acquisition of Roundy’s (RNDY) by The Kroger Co. (KR) on December 18, 2015. It took 37 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 $21.54 06/30/2016 101.95% 193.81%
ODP 02/04/2015 Staples, Inc. (SPLS) $9.31 $5.41 12/31/2015 72.11% 2631.98%
NKA 06/14/2015 Brookfield Infrastructure (N/A) $4.23 $2.89 12/31/2016 46.37% 45.01%
VSLR 07/20/2015 SunEdison, Inc. (SUNE) $15.25 $10.53 12/31/2015 44.82% 1636.09%
PRSN 10/27/2015 Galil Medical (N/A) $1.00 $0.714 12/21/2015 40.06% 0.00%
TRIV 10/26/2015 Endologix Inc. (ELGX) $9.10 $6.95 01/31/2016 30.94% 275.40%
BHI 11/16/2014 Halliburton Company (HAL) $56.45 $43.92 04/30/2016 28.54% 79.51%
HUM 07/03/2015 Aetna Inc. (AET) $215.84 $175.38 12/31/2016 23.07% 22.40%
MDP 09/08/2015 Media General, Inc. (MEG) $51.53 $42.43 06/30/2016 21.45% 40.77%
CI 07/24/2015 Anthem, Inc. (ANTM) $174.37 $143.97 12/31/2016 21.11% 20.50%

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 $21.54 31,978,034 06/30/2016 101.95% 193.81%
+ ODP 02/04/2015 Staples, Inc. (SPLS) Cash Plus Stock $6.3 billion $9.31 $5.41 13,684,312 12/31/2015 72.11% 2631.98%
+ NKA 06/14/2015 Brookfield Infrastructure (N/A) All Cash $911.9 million $4.23 $2.89 156,047 12/31/2016 46.37% 45.01%
+ VSLR 07/20/2015 SunEdison, Inc. (SUNE) Special Conditions $2.2 billion $15.25 $10.53 753,515 12/31/2015 44.82% 1636.09%
+ PRSN 10/27/2015 Galil Medical (N/A) All Cash $10.6 million $1.00 $0.714 51,199 12/21/2015 40.06% 0.00%
+ TRIV 10/26/2015 Endologix Inc. (ELGX) Special Conditions $211 million $9.10 $6.95 10,695 01/31/2016 30.94% 275.40%
+ BHI 11/16/2014 Halliburton Company (HAL) Cash Plus Stock N/A $56.45 $43.92 9,370,854 04/30/2016 28.54% 79.51%
+ HUM 07/03/2015 Aetna Inc. (AET) Cash Plus Stock $37 billion $215.84 $175.38 1,186,147 12/31/2016 23.07% 22.40%
+ MDP 09/08/2015 Media General, Inc. (MEG) Special Conditions $3.1 billion $51.53 $42.43 426,707 06/30/2016 21.45% 40.77%
+ CI 07/24/2015 Anthem, Inc. (ANTM) Cash Plus Stock $54.2 billion $174.37 $143.97 2,713,763 12/31/2016 21.11% 20.50%
+ HOT 11/16/2015 Marriott International, Inc. (MAR) Special Conditions $12.2 billion $79.88 $66.08 3,231,565 06/30/2016 20.88% 39.70%
+ AGN 11/23/2015 Pfizer Inc. (PFE) All Stock $160 billion $361.49 $306.49 4,266,231 12/31/2016 17.94% 17.42%
+ HE 12/03/2014 NextEra Energy, Inc. (NEE) Special Conditions $4.3 billion $33.50 $28.48 583,723 06/30/2016 17.63% 33.51%
+ SNDK 10/21/2015 Western Digital Corporation (WDC) Special Conditions $19 billion $86.50 $73.89 4,145,029 09/30/2016 17.07% 21.93%
+ RAD 10/27/2015 Walgreens Boots Alliance, Inc. (WBA) All Cash $17.2 billion $9.00 $7.84 13,249,740 12/31/2016 14.80% 14.36%
+ HTCH 11/02/2015 TDK Corporation (N/A) Special Conditions $126 million $4.00 $3.54 467,764 03/31/2016 12.99% 46.96%
+ CVC 09/17/2015 Altice (N/A) All Cash $17.7 billion $34.90 $31.00 6,329,308 06/30/2016 12.58% 23.92%
+ CTCT 11/02/2015 Endurance International Group Holdings, Inc. (EIGI) All Cash $1.1 billion $32.00 $28.95 747,138 12/31/2016 10.54% 10.23%
+ MTSN 12/01/2015 Beijing E-Town Dragon Semiconductor Industry Investment Center (N/A) All Cash $300 million $3.80 $3.50 754,091 03/31/2016 8.57% 30.98%
+ TWC 05/26/2015 Charter Communications, Inc. (CHTR) Cash Plus Stock $78.7 billion $196.44 $181.13 2,811,992 12/31/2015 8.45% 308.46%
+ NTI 10/26/2015 Western Refining, Inc. (WNR) Cash Plus Stock N/A $25.89 $24.00 1,504,093 03/31/2016 7.89% 28.51%
+ NPBC 08/17/2015 BB&T Corporation (BBT) Special Conditions $1.8 billion $13.00 $12.08 6,269,153 06/30/2016 7.62% 14.48%
+ RLD 11/09/2015 Rizvi Traverse Management, LLC (N/A) All Cash $551 million $11.00 $10.24 369,013 03/31/2016 7.42% 26.82%
+ FGL 11/09/2015 Anbang Insurance Group Co., Ltd. (N/A) All Cash N/A $26.80 $25.15 198,439 06/30/2016 6.56% 12.47%
+ AF 10/29/2015 New York Community Bancorp Inc. (NYCB) Cash Plus Stock $2 billion $16.66 $15.64 1,255,394 12/31/2016 6.52% 6.33%
+ FSYS 09/01/2015 Westport Innovations Inc. (WPRT) All Stock $126.36 million $4.85 $4.56 363,374 12/31/2015 6.45% 235.43%
+ 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 $52.13 1,158,231 12/31/2015 6.22% 226.86%
+ PNY 10/26/2015 Duke Energy Corporation (DUK) All Cash $6.7 billion $60.00 $56.73 1,413,590 12/31/2016 5.76% 5.60%
+ FRM 11/02/2015 Team, Inc. (TISI) All Stock $335 million $6.83 $6.47 238,671 03/31/2016 5.57% 20.14%
+ KLAC 10/21/2015 Lam Research Corporation (LRCX) Cash Plus Stock $10.6 billion $70.52 $66.86 4,632,710 06/30/2016 5.47% 10.41%
+ POM 04/30/2014 Exelon Corporation (EXC) All Cash $7.2 billion $27.25 $25.84 2,830,283 12/10/2015 5.46% 0.00%
+ SWI 10/21/2015 Silver Lake Partners and Thoma Bravo, LLC (N/A) All Cash $4.5 billion $60.10 $57.12 1,388,465 03/31/2016 5.22% 18.85%
+ GAS 08/24/2015 Southern Company (SO) All Cash $12 billion $66.00 $62.88 1,018,828 12/31/2016 4.96% 4.82%
+ HMIN 12/07/2015 BTG Hotels Group (N/A) All Cash N/A $35.80 $34.19 471,411 06/30/2016 4.71% 8.95%
+ MR 11/04/2015 Excelsior Union Limited and Solid Union Limited (N/A) All Cash $3.3 billion $28.00 $26.75 680,177 03/31/2016 4.67% 16.89%
+ FNFG 10/30/2015 KeyCorp. (KEY) Cash Plus Stock $4.1 billion $10.92 $10.45 5,577,591 09/30/2016 4.46% 5.73%
+ TE 09/05/2015 Emera (N/A) All Cash $10.4 billion $27.55 $26.42 10,997,312 06/30/2016 4.28% 8.13%
+ ARG 11/17/2015 Air Liquide (N/A) All Cash $13.4 billion $143.00 $137.14 1,766,562 03/31/2016 4.27% 15.44%
+ GMCR 12/07/2015 JAB Holding Company (N/A) All Cash $13.9 billion $92.00 $88.25 10,678,171 03/31/2016 4.25% 15.36%
+ WIBC 12/07/2015 BBCN Bancorp, Inc. (BBCN) All Stock $1 billion $11.69 $11.22 6,789,326 06/30/2016 4.19% 7.97%
+ NGLS 11/03/2015 Targa Resources Corp. (TRGP) All Stock $5.54 billion $15.96 $15.32 3,368,004 03/31/2016 4.17% 15.07%
+ EZCH 09/30/2015 Mellanox Technologies, Ltd. (MLNX) All Cash $620 million $25.50 $24.53 129,925 03/31/2016 3.95% 14.29%
+ BNK 11/09/2015 Bank of the Ozarks, Inc. (OZRK) Special Conditions $402.5 million $25.00 $24.09 177,899 04/30/2016 3.78% 10.53%
+ JAH 12/14/2015 Newell Rubbermaid Inc. (NWL) Cash Plus Stock $13 billion $59.54 $57.42 6,275,883 06/30/2016 3.69% 7.02%
+ CCG 10/16/2015 affiliates of Harrison Street Real Estate Capital, LLC (N/A) All Cash $1.9 billion $7.03 $6.78 568,984 03/31/2016 3.69% 13.33%
+ MNRK 12/17/2015 Towne Bank (TOWN) All Stock $221 million $17.67 $17.06 187,514 06/30/2016 3.57% 6.78%
+ SLH 09/13/2015 an affiliate of Vista Equity Partners (N/A) All Cash $6.5 billion $55.85 $53.96 608,897 03/31/2016 3.50% 12.66%
+ 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 $28.84 833,613 04/30/2016 3.16% 8.79%
+ PULB 12/03/2015 First Busey Corporation (BUSE) All Stock $210.7 million $16.43 $15.94 63,838 06/30/2016 3.09% 5.87%
+ BONA 12/15/2015 Mountain Tiger International Limited (N/A) All Cash $1 billion $13.70 $13.30 346,472 06/30/2016 3.01% 5.72%
+ SYA 08/11/2015 Sumitomo Life Insurance Company (N/A) All Cash $3.8 billion $32.50 $31.60 1,903,808 05/15/2016 2.85% 7.12%
+ PNX 09/29/2015 Nassau Reinsurance Group Holdings L.P. (N/A) All Cash $217.2 million $37.50 $36.52 81,243 01/31/2016 2.68% 23.89%
+ NBBC 10/13/2015 Yadkin Financial Corporation (YDKN) All Stock $456 million $12.31 $12.02 406,676 06/30/2016 2.37% 4.51%
+ CAM 08/26/2015 Schlumberger Limited (SLB) Cash Plus Stock $14.8 billion $62.66 $61.32 3,585,238 03/31/2016 2.18% 7.87%
+ ALTR 06/01/2015 Intel Corporation (INTC) All Cash $16.7 billion $54.00 $52.85 4,041,013 03/31/2016 2.18% 7.86%
+ YOKU 11/06/2015 Alibaba Group Holding Limited (BABA) All Cash $5.37 billion $27.60 $27.02 1,866,919 03/31/2016 2.15% 7.76%
+ METR 08/04/2015 F.N.B. Corporation (FNB) All Stock $474 million $31.44 $30.83 142,245 03/31/2016 1.99% 7.18%
+ BLT 12/10/2015 American Securities LLC and P2 Capital Partners, LLC (N/A) All Cash $855 million $10.00 $9.81 1,164,747 06/30/2016 1.94% 3.68%
+ PCL 11/09/2015 Weyerhaeuser Co. (WY) All Stock $8.44 billion $47.22 $46.35 2,033,833 05/15/2016 1.87% 4.67%
+ UTIW 10/09/2015 DSV (N/A) All Cash $1.35 billion $7.10 $6.97 2,822,738 03/31/2016 1.87% 6.74%
+ ATML 09/20/2015 Dialog Semiconductor Plc (DLGNF) Cash Plus Stock $4.4 billion $8.81 $8.65 5,343,742 03/31/2016 1.86% 6.72%
+ MDAS 11/02/2015 Pamplona Capital Management (N/A) All Cash $2.7 billion $31.35 $30.78 477,751 03/31/2016 1.85% 6.69%
+ PCP 08/10/2015 Berkshire Hathaway Inc. (BRK-A) All Cash $37.2 billion $235.00 $230.76 2,043,065 03/31/2016 1.84% 6.64%
+ HPY 12/15/2015 Global Payments Inc. (GPN) Cash Plus Stock $4.3 billion $95.94 $94.30 1,801,516 05/31/2016 1.74% 3.93%
+ SIRO 09/15/2015 DENTSPLY International Inc. (XRAY) All Stock $5.51 billion $108.18 $106.35 361,610 03/31/2016 1.72% 6.22%
+ RIVR 10/26/2015 German American Bancorp Inc. (GABC) Cash Plus Stock N/A $35.03 $34.47 3,739 03/31/2016 1.61% 5.82%
+ HNT 07/02/2015 Centene Corp. (CNC) Cash Plus Stock $6.8 billion $68.52 $67.47 1,813,172 03/31/2016 1.56% 5.65%
+ DATE 12/07/2015 FutureWorld Inc. (N/A) All Cash N/A $7.56 $7.45 186,584 03/31/2016 1.48% 5.34%
+ BZC 11/19/2015 TransDigm Group Incorporated (TDG) All Cash $206 million $19.61 $19.35 87,508 03/31/2016 1.34% 4.86%
+ SFG 07/23/2015 Meiji Yasuda Life Insurance Company (N/A) All Cash $5 billion $115.00 $113.53 522,907 03/31/2016 1.29% 4.68%
+ CB 07/01/2015 ACE Limited (ACE) Cash Plus Stock $28.3 billion $131.36 $129.84 2,818,864 03/31/2016 1.17% 4.23%
+ ARPI 12/03/2015 American Homes 4 Rent (AMH) All Stock $1.5 billion $18.23 $18.03 1,428,848 06/30/2016 1.10% 2.09%
+ NTLS 08/10/2015 Shenandoah Telecommunications Co. (SHEN) All Cash $640 million $9.25 $9.15 219,956 03/31/2016 1.09% 3.95%
+ PRE 08/03/2015 EXOR S.p.A. (N/A) All Cash $6.9 billion $140.50 $139.00 317,693 03/31/2016 1.08% 3.90%
+ PMCS 11/24/2015 Microsemi Corporation (MSCC) Cash Plus Stock $2.5 billion $11.65 $11.54 4,851,951 03/31/2016 0.95% 3.43%
+ DMND 10/28/2015 Snyder’s-Lance, Inc. (LNCE) Cash Plus Stock $1.91 billion $40.14 $39.77 367,431 03/31/2016 0.94% 3.40%
+ LBMH 11/20/2015 CR Bard Inc. (BCR) All Cash $181 million $3.35 $3.32 169,034 03/31/2016 0.90% 3.27%
+ BMR 10/08/2015 Blackstone Real Estate Partners VIII (BX) All Cash $8 billion $23.75 $23.54 5,190,767 03/31/2016 0.89% 3.22%
+ ALU 04/15/2015 Nokia Corporation (NOK) All Stock $16.6 billion $3.76 $3.73 6,100,064 06/30/2016 0.86% 1.63%
+ RENT 09/29/2015 comScore, Inc. (SCOR) All Stock $732 million $43.96 $43.60 135,730 01/31/2016 0.84% 7.44%
+ TSYS 11/23/2015 Comtech Telecommunications Corp. (CMTL) All Cash $339.7 million $5.00 $4.96 607,263 03/31/2016 0.81% 2.91%
+ COB 11/23/2015 Capital Bank Financial Corp. (CBF) All Stock $350 million $13.61 $13.50 158,765 03/31/2016 0.78% 2.82%
+ AVOL 09/03/2015 Bohai Leasing Co., Ltd. (N/A) All Cash $7.6 billion $31.00 $30.78 201,447 03/31/2016 0.71% 2.58%
+ NVSL 06/04/2015 Liberty Bank (N/A) All Cash $78 million $11.00 $10.94 41,200 12/31/2016 0.55% 0.53%
+ VIMC 09/15/2015 Vimicro China (N/A) All Cash N/A $13.50 $13.43 384,069 12/31/2015 0.52% 19.02%
+ FXCB 12/08/2015 Univest Corporation of Pennsylvania (UVSP) All Stock $244.3 million $20.15 $20.06 73,829 09/30/2016 0.46% 0.60%
+ KING 11/02/2015 Activision Blizzard, Inc. (ATVI) All Cash $5.9 billion $18.00 $17.92 2,958,346 03/31/2016 0.45% 1.61%
+ WPP 10/13/2015 SCA (N/A) All Cash $513 million $10.25 $10.22 997,704 01/31/2016 0.29% 2.61%
+ BDBD 11/24/2015 Pinnacle Foods (N/A) All Cash $710 million $11.00 $10.97 1,048,554 03/31/2016 0.27% 0.99%
+ JMG 10/07/2015 Gannett Co., Inc. (GCI) All Cash $280 million $12.00 $11.97 198,849 03/31/2016 0.25% 0.91%
+ OCAT 11/10/2015 Astellas Pharma Inc. (N/A) All Cash $379 million $8.50 $8.49 2,264,820 05/09/2016 0.12% 0.31%
+ FXEN 10/13/2015 ORLEN Upstream (N/A) All Cash 119 million $1.15 $1.15 169,605 12/31/2015 0.00% 0.00%
+ RNF 08/10/2015 CVR Partners, LP (UAN) Cash Plus Stock $840 million $10.02 $10.02 69,604 04/30/2016 -0.04% -0.10%
+ FCS 11/18/2015 ON Semiconductor Corp. (ON) All Cash $2.4 billion $20.00 $20.01 3,143,661 06/30/2016 -0.05% -0.10%
+ DYAX 11/02/2015 Shire plc (SHPG) All Cash $5.9 billion $37.30 $37.40 4,572,398 06/30/2016 -0.27% -0.51%
+ ASBI 06/29/2015 First Merchants Corporation (FRME) All Stock $68.8 million $22.57 $22.65 2,211 12/31/2015 -0.33% -12.18%
+ ALTV 09/03/2015 Momentum Telecom, Inc. (N/A) All Cash $28.7 million $4.70 $4.74 274,209 12/31/2015 -0.84% -30.80%
+ IRC 12/15/2015 real estate funds managed by DRA Advisors LLC (N/A) All Cash $2.3 billion $10.60 $10.71 2,059,457 06/30/2016 -1.03% -1.95%
+ CHEV 11/24/2015 MainSource Financial Group, Inc. (MSFG) All Stock $107.4 million $15.64 $15.82 96,242 09/30/2016 -1.16% -1.49%
+ PBY 10/26/2015 Bridgestone Americas, Inc. (N/A) All Cash $863 million $15.50 $15.76 1,995,817 03/31/2016 -1.65% -5.96%
+ VBIV 10/26/2015 SciVac Therapeutics Inc. (SVACF) All Stock N/A $2.68 $2.75 67,474 03/31/2016 -2.39% -8.64%
+ HFFC 11/30/2015 Great Western Bancorp. Inc. (GWB) All Stock $139.5 million $19.08 $19.65 217,731 06/30/2016 -2.88% -5.48%
+ BRCM 05/28/2015 Avago Technologies Limited (AVGO) Special Conditions $37 billion $54.50 $56.28 8,506,469 03/31/2016 -3.16% -11.43%
+ TW 06/30/2015 Willis Group Holdings Public Limited Company (WSH) Cash Plus Stock $8.7 billion $127.20 $131.95 921,350 12/31/2015 -3.60% -131.37%
+ ANAD 11/12/2015 GaAs Labs, LLC (N/A) All Cash $32 million $0.35 $0.485 2,124,111 01/31/2016 -27.84% -247.80%
+ CACQ 12/22/2014 Caesars Entertainment Corporation (CZR) All Stock N/A $5.04 $7.21 322,083 03/31/2015 -30.10% 41.46%

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.

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