Merger Arbitrage Mondays – January 18, 2016

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January 18, 2016 | Merger Arbitrage | | Author Asif

Merger activity increased last week with two 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 2016 6
Total Number of Pending Deals
Cash Deals 48
Stock Deals 21
Stock & Cash Deals 19
Special Conditions 11
Total Number of Pending Deals 99
Total Deal Size $851.47 billion

New Deals:

  1. The acquisition of Baxalta Incorporated (BXLT) by Shire (SHPG) for $32 billion in a cash plus stock deal. Under the terms of the agreement,Baxalta shareholders will receive $18.00 in cash and 0.1482 Shire ADS per Baxalta share.
  2. The acquisition of Anchor BanCorp Wisconsin (ABCW) by Old National Bancorp (ONB) for $461 million in a cash or stock deal. Under the terms of the agreement, Anchor shareholders may elect to receive either 3.5505 shares of Old National common stock or $48.50 in cash for each share of Anchor they hold, subject to no more than 40% of the outstanding shares of Anchor may receive cash.

Closed Deals:

  1. The acquisition of The Chubb Corporation (CB) by ACE Limited (ACE) on January 14, 2016. It took 197 days for this deal to be completed.
  2. The acquisition of PMC-Sierra (PMCS) by Microsemi Corporation (MSCC) on January 15, 2016. It took 52 days for this deal to be completed.
  3. The acquisition of Boulder Brands (BDBD) by Pinnacle Foods on January 15, 2016. It took 52 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 $16.10 06/30/2016 170.19% 378.77%
ODP 02/04/2015 Staples, Inc. (SPLS) $9.23 $4.94 03/31/2016 86.76% 433.78%
VSLR 07/20/2015 SunEdison, Inc. (SUNE) $15.25 $9.12 03/31/2016 67.21% 336.07%
TRIV 10/26/2015 Endologix Inc. (ELGX) $9.10 $6.36 01/31/2016 43.08% 1209.60%
BHI 11/16/2014 Halliburton Company (HAL) $53.55 $39.89 04/30/2016 34.25% 121.37%
HOT 11/16/2015 Marriott International, Inc. (MAR) $79.88 $59.82 06/30/2016 33.53% 74.63%
HUM 07/03/2015 Aetna Inc. (AET) $212.98 $162.16 12/31/2016 31.34% 32.87%
MDP 09/08/2015 Media General, Inc. (MEG) $51.53 $39.51 06/30/2016 30.42% 67.71%
NKA 06/14/2015 Brookfield Infrastructure (N/A) $4.23 $3.31 12/31/2016 27.79% 29.15%
CI 07/24/2015 Anthem, Inc. (ANTM) $172.95 $136.23 12/31/2016 26.95% 28.27%

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 $16.10 23,931,939 06/30/2016 170.19% 378.77%
+ ODP 02/04/2015 Staples, Inc. (SPLS) Cash Plus Stock $6.3 billion $9.23 $4.94 9,033,144 03/31/2016 86.76% 433.78%
+ VSLR 07/20/2015 SunEdison, Inc. (SUNE) Special Conditions $2.2 billion $15.25 $9.12 182,814 03/31/2016 67.21% 336.07%
+ TRIV 10/26/2015 Endologix Inc. (ELGX) Special Conditions $211 million $9.10 $6.36 10,532 01/31/2016 43.08% 1209.60%
+ BHI 11/16/2014 Halliburton Company (HAL) Cash Plus Stock N/A $53.55 $39.89 2,421,701 04/30/2016 34.25% 121.37%
+ HOT 11/16/2015 Marriott International, Inc. (MAR) Special Conditions $12.2 billion $79.88 $59.82 4,309,848 06/30/2016 33.53% 74.63%
+ HUM 07/03/2015 Aetna Inc. (AET) Cash Plus Stock $37 billion $212.98 $162.16 1,615,321 12/31/2016 31.34% 32.87%
+ MDP 09/08/2015 Media General, Inc. (MEG) Special Conditions $3.1 billion $51.53 $39.51 285,117 06/30/2016 30.42% 67.71%
+ NKA 06/14/2015 Brookfield Infrastructure (N/A) All Cash $911.9 million $4.23 $3.31 121,687 12/31/2016 27.79% 29.15%
+ CI 07/24/2015 Anthem, Inc. (ANTM) Cash Plus Stock $54.2 billion $172.95 $136.23 1,687,119 12/31/2016 26.95% 28.27%
+ SNDK 10/21/2015 Western Digital Corporation (WDC) Special Conditions $19 billion $86.50 $71.48 4,573,769 09/30/2016 21.01% 29.96%
+ HE 12/03/2014 NextEra Energy, Inc. (NEE) Special Conditions $4.3 billion $33.50 $28.00 424,107 06/30/2016 19.64% 43.72%
+ AGN 11/23/2015 Pfizer Inc. (PFE) All Stock $160 billion $348.15 $295.04 3,322,042 12/31/2016 18.00% 18.88%
+ RAD 10/27/2015 Walgreens Boots Alliance, Inc. (WBA) All Cash $17.2 billion $9.00 $7.64 19,199,624 12/31/2016 17.80% 18.67%
+ HTCH 11/02/2015 TDK Corporation (N/A) Special Conditions $126 million $4.00 $3.49 322,722 03/31/2016 14.61% 73.07%
+ NPBC 08/17/2015 BB&T Corporation (BBT) Special Conditions $1.8 billion $13.00 $11.38 2,008,798 06/30/2016 14.24% 31.68%
+ CVC 09/17/2015 Altice (N/A) All Cash $17.7 billion $34.90 $30.95 4,541,423 06/30/2016 12.76% 28.40%
+ VBIV 10/26/2015 SciVac Therapeutics Inc. (SVACF) All Stock N/A $2.27 $2.02 20,442 03/31/2016 12.28% 61.41%
+ MTSN 12/01/2015 Beijing E-Town Dragon Semiconductor Industry Investment Center (N/A) All Cash $300 million $3.80 $3.41 583,944 03/31/2016 11.44% 57.18%
+ BXLT 01/11/2016 Shire plc (SHPG) Cash Plus Stock $32 billion $44.32 $40.13 11,534,774 06/30/2016 10.43% 23.22%
+ DSKY 12/31/2015 Dream Investment Holdings Limited (N/A) All Cash N/A $14.00 $12.95 173,490 06/30/2016 8.11% 18.05%
+ RNF 08/10/2015 CVR Partners, LP (UAN) Cash Plus Stock $840 million $8.56 $7.95 81,381 04/30/2016 7.68% 27.21%
+ BLT 12/10/2015 American Securities LLC and P2 Capital Partners, LLC (N/A) All Cash $855 million $10.00 $9.29 1,114,137 06/30/2016 7.64% 17.01%
+ MCOX 12/22/2015 Minat Associated Co. Ltd. (N/A) All Cash N/A $4.00 $3.72 24,008 06/30/2016 7.53% 16.75%
+ CTCT 11/02/2015 Endurance International Group Holdings, Inc. (EIGI) All Cash $1.1 billion $32.00 $29.80 815,525 12/31/2016 7.38% 7.74%
+ TWC 05/26/2015 Charter Communications, Inc. (CHTR) Cash Plus Stock $78.7 billion $189.23 $177.03 2,840,453 06/30/2016 6.89% 15.33%
+ MR 11/04/2015 Excelsior Union Limited and Solid Union Limited (N/A) All Cash $3.3 billion $28.00 $26.21 981,339 03/31/2016 6.83% 34.15%
+ HMIN 12/07/2015 BTG Hotels Group (N/A) All Cash N/A $35.80 $33.62 346,396 06/30/2016 6.48% 14.43%
+ AF 10/29/2015 New York Community Bancorp Inc. (NYCB) Cash Plus Stock $2 billion $15.36 $14.47 2,185,308 12/31/2016 6.15% 6.45%
+ FGL 11/09/2015 Anbang Insurance Group Co., Ltd. (N/A) All Cash N/A $26.80 $25.50 131,935 06/30/2016 5.10% 11.35%
+ 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 $52.96 416,791 03/31/2016 4.55% 22.75%
+ JAH 12/14/2015 Newell Rubbermaid Inc. (NWL) Cash Plus Stock $13 billion $53.01 $50.70 4,110,370 06/30/2016 4.55% 10.12%
+ BONA 12/15/2015 Mountain Tiger International Limited (N/A) All Cash $1 billion $13.70 $13.12 156,007 06/30/2016 4.42% 9.84%
+ PNX 09/29/2015 Nassau Reinsurance Group Holdings L.P. (N/A) All Cash $217.2 million $37.50 $35.93 62,833 01/31/2016 4.37% 122.69%
+ DATE 12/07/2015 FutureWorld Inc. (N/A) All Cash N/A $7.56 $7.25 181,252 03/31/2016 4.28% 21.38%
+ ATML 09/20/2015 Dialog Semiconductor Plc (DLGNF) Cash Plus Stock $4.4 billion $8.23 $7.90 22,684,212 03/31/2016 4.23% 21.14%
+ BNK 11/09/2015 Bank of the Ozarks, Inc. (OZRK) Special Conditions $402.5 million $25.00 $23.99 81,786 04/30/2016 4.21% 14.92%
+ POM 04/30/2014 Exelon Corporation (EXC) All Cash $7.2 billion $27.25 $26.17 1,531,686 03/31/2016 4.13% 20.63%
+ NBBC 10/13/2015 Yadkin Financial Corporation (YDKN) All Stock $456 million $11.00 $10.56 118,044 06/30/2016 4.12% 9.17%
+ 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 $28.62 1,010,295 04/30/2016 3.95% 13.99%
+ MNRK 12/17/2015 Towne Bank (TOWN) All Stock $221 million $17.60 $16.94 39,329 06/30/2016 3.89% 8.65%
+ CCG 10/16/2015 affiliates of Harrison Street Real Estate Capital, LLC (N/A) All Cash $1.9 billion $7.03 $6.77 1,466,292 03/31/2016 3.84% 19.20%
+ WIBC 12/07/2015 BBCN Bancorp, Inc. (BBCN) All Stock $1 billion $10.92 $10.52 818,234 06/30/2016 3.84% 8.54%
+ GAS 08/24/2015 Southern Company (SO) All Cash $12 billion $66.00 $63.58 838,143 12/31/2016 3.81% 3.99%
+ SLH 09/13/2015 an affiliate of Vista Equity Partners (N/A) All Cash $6.5 billion $55.85 $53.81 564,405 03/31/2016 3.79% 18.96%
+ FNFG 10/30/2015 KeyCorp. (KEY) Cash Plus Stock $4.1 billion $10.13 $9.78 4,222,623 09/30/2016 3.55% 5.06%
+ RLD 11/09/2015 Rizvi Traverse Management, LLC (N/A) All Cash $551 million $11.00 $10.63 545,355 03/31/2016 3.48% 17.40%
+ PNY 10/26/2015 Duke Energy Corporation (DUK) All Cash $6.7 billion $60.00 $58.00 788,362 12/31/2016 3.45% 3.62%
+ ARG 11/17/2015 Air Liquide (N/A) All Cash $13.4 billion $143.00 $138.30 1,507,233 03/31/2016 3.40% 16.99%
+ BRCM 05/28/2015 Avago Technologies Limited (AVGO) Special Conditions $37 billion $54.50 $52.94 13,516,054 03/31/2016 2.95% 14.73%
+ TE 09/05/2015 Emera (N/A) All Cash $10.4 billion $27.55 $26.91 1,946,533 06/30/2016 2.38% 5.29%
+ CBNJ 01/05/2016 OceanFirst Financial Corp. (OCFC) Cash Plus Stock $208.1 million $13.80 $13.48 49,161 09/30/2016 2.34% 3.33%
+ KLAC 10/21/2015 Lam Research Corporation (LRCX) Cash Plus Stock $10.6 billion $65.98 $64.55 1,713,901 06/30/2016 2.22% 4.93%
+ GMCR 12/07/2015 JAB Holding Company (N/A) All Cash $13.9 billion $92.00 $90.02 3,089,774 03/31/2016 2.20% 11.00%
+ FRM 11/02/2015 Team, Inc. (TISI) All Stock $335 million $5.51 $5.40 91,347 03/31/2016 2.05% 10.23%
+ SYA 08/11/2015 Sumitomo Life Insurance Company (N/A) All Cash $3.8 billion $32.50 $31.85 676,987 05/15/2016 2.04% 6.31%
+ SWI 10/21/2015 Silver Lake Partners and Thoma Bravo, LLC (N/A) All Cash $4.5 billion $60.10 $58.96 1,017,505 03/31/2016 1.93% 9.67%
+ YOKU 11/06/2015 Alibaba Group Holding Limited (BABA) All Cash $5.37 billion $27.60 $27.09 3,044,113 03/31/2016 1.88% 9.41%
+ EZCH 09/30/2015 Mellanox Technologies, Ltd. (MLNX) All Cash $620 million $25.50 $25.04 928,135 03/31/2016 1.84% 9.19%
+ CAM 08/26/2015 Schlumberger Limited (SLB) Cash Plus Stock $14.8 billion $59.56 $58.57 3,062,328 03/31/2016 1.68% 8.41%
+ ARPI 12/03/2015 American Homes 4 Rent (AMH) All Stock $1.5 billion $16.84 $16.60 886,659 06/30/2016 1.47% 3.26%
+ HPY 12/15/2015 Global Payments Inc. (GPN) Cash Plus Stock $4.3 billion $91.46 $90.18 915,465 05/31/2016 1.42% 3.87%
+ PULB 12/03/2015 First Busey Corporation (BUSE) All Stock $210.7 million $15.43 $15.23 22,848 06/30/2016 1.30% 2.90%
+ PCP 08/10/2015 Berkshire Hathaway Inc. (BRK-A) All Cash $37.2 billion $235.00 $232.06 1,484,949 03/31/2016 1.27% 6.33%
+ SFG 07/23/2015 Meiji Yasuda Life Insurance Company (N/A) All Cash $5 billion $115.00 $113.85 442,503 03/31/2016 1.01% 5.05%
+ NTLS 08/10/2015 Shenandoah Telecommunications Co. (SHEN) All Cash $640 million $9.25 $9.16 533,004 03/31/2016 0.98% 4.91%
+ DMND 10/28/2015 Snyder’s-Lance, Inc. (LNCE) Cash Plus Stock $1.91 billion $39.79 $39.41 482,150 03/31/2016 0.96% 4.79%
+ OCAT 11/10/2015 Astellas Pharma Inc. (N/A) All Cash $379 million $8.50 $8.42 1,009,502 05/09/2016 0.95% 3.10%
+ TSYS 11/23/2015 Comtech Telecommunications Corp. (CMTL) All Cash $339.7 million $5.00 $4.955 1,095,851 03/31/2016 0.91% 4.54%
+ HNT 07/02/2015 Centene Corp. (CNC) Cash Plus Stock $6.8 billion $66.14 $65.56 481,113 03/31/2016 0.88% 4.39%
+ JMG 10/07/2015 Gannett Co., Inc. (GCI) All Cash $280 million $12.00 $11.91 206,527 03/31/2016 0.76% 3.78%
+ ALU 04/15/2015 Nokia Corporation (NOK) All Stock $16.6 billion $3.94 $3.91 3,262,002 06/30/2016 0.72% 1.59%
+ KING 11/02/2015 Activision Blizzard, Inc. (ATVI) All Cash $5.9 billion $18.00 $17.88 1,803,960 03/31/2016 0.67% 3.36%
+ MDAS 11/02/2015 Pamplona Capital Management (N/A) All Cash $2.7 billion $31.35 $31.16 1,515,506 03/31/2016 0.61% 3.05%
+ SIRO 09/15/2015 DENTSPLY International Inc. (XRAY) All Stock $5.51 billion $102.48 $101.98 379,688 03/31/2016 0.49% 2.47%
+ NVSL 06/04/2015 Liberty Bank (N/A) All Cash $78 million $11.00 $10.95 5,213 12/31/2016 0.46% 0.48%
+ BMR 10/08/2015 Blackstone Real Estate Partners VIII (BX) All Cash $8 billion $23.75 $23.65 7,171,896 03/31/2016 0.42% 2.11%
+ PRE 08/03/2015 EXOR S.p.A. (N/A) All Cash $6.9 billion $140.50 $139.98 341,541 03/31/2016 0.37% 1.86%
+ PBY 12/30/2015 Icahn Enterprises, L.P. (IEP) All Cash $1.031 billion $18.50 $18.46 1,087,806 03/31/2016 0.22% 1.08%
+ WPP 10/13/2015 SCA (N/A) All Cash $513 million $10.25 $10.23 649,397 01/31/2016 0.20% 5.49%
+ IRC 12/15/2015 real estate funds managed by DRA Advisors LLC (N/A) All Cash $2.3 billion $10.60 $10.59 954,720 06/30/2016 0.09% 0.21%
+ PCL 11/09/2015 Weyerhaeuser Co. (WY) All Stock $8.44 billion $41.31 $41.29 1,247,500 05/15/2016 0.05% 0.16%
+ METR 08/04/2015 F.N.B. Corporation (FNB) All Stock $474 million $28.14 $28.13 35,971 03/31/2016 0.05% 0.24%
+ UTIW 10/09/2015 DSV (N/A) All Cash $1.35 billion $7.10 $7.10 2,749,455 03/31/2016 0.00% 0.00%
+ LBMH 11/20/2015 CR Bard Inc. (BCR) All Cash $181 million $3.35 $3.35 300,387 03/31/2016 0.00% 0.00%
+ ABCW 01/12/2016 Old National Bancorp. (ONB) All Stock 461 million $42.39 $42.43 176,602 06/30/2016 -0.09% -0.19%
+ RIVR 10/26/2015 German American Bancorp Inc. (GABC) Cash Plus Stock N/A $34.07 $34.13 68 03/31/2016 -0.17% -0.87%
+ RENT 09/29/2015 comScore, Inc. (SCOR) All Stock $732 million $48.70 $48.79 190,427 01/31/2016 -0.18% -5.04%
+ COB 11/23/2015 Capital Bank Financial Corp. (CBF) All Stock $350 million $12.41 $12.49 59,823 03/31/2016 -0.68% -3.38%
+ NGLS 11/03/2015 Targa Resources Corp. (TRGP) All Stock $5.54 billion $10.56 $10.65 1,896,092 03/31/2016 -0.80% -4.00%
+ CHEV 11/24/2015 MainSource Financial Group, Inc. (MSFG) All Stock $107.4 million $14.13 $14.30 3,443 09/30/2016 -1.19% -1.70%
+ NTI 12/21/2015 Western Refining, Inc. (WNR) Cash Plus Stock N/A $25.27 $25.59 488,274 06/30/2016 -1.24% -2.77%
+ FCS 11/18/2015 ON Semiconductor Corp. (ON) All Cash $2.4 billion $20.00 $20.38 1,924,310 06/30/2016 -1.86% -4.15%
+ DYAX 11/02/2015 Shire plc (SHPG) All Cash $5.9 billion $37.30 $38.09 17,250,325 06/30/2016 -2.07% -4.62%
+ FXCB 12/08/2015 Univest Corporation of Pennsylvania (UVSP) All Stock $244.3 million $18.70 $19.20 95,920 09/30/2016 -2.59% -3.69%
+ HFFC 11/30/2015 Great Western Bancorp. Inc. (GWB) All Stock $139.5 million $16.21 $16.86 7,537 06/30/2016 -3.85% -8.57%
+ CACQ 12/22/2014 Caesars Entertainment Corporation (CZR) All Stock N/A $4.34 $5.04 71,298 03/31/2015 -13.84% 17.24%
+ FSYS 09/01/2015 Westport Innovations Inc. (WPRT) All Stock $126.36 million $2.80 $3.27 86,380 12/31/2015 -14.38% 291.68%
+ ANAD 11/12/2015 GaAs Labs, LLC (N/A) All Cash $32 million $0.48 $0.666 749,687 01/31/2016 -27.93% -784.13%

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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