Merger Arbitrage Mondays – February 22, 2016

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February 21, 2016 | Merger Arbitrage | | Author Asif

Merger activity decreased last week with two new deals announced and two 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 25
Total Number of Deals Not Completed in 2016 1
Total Number of Pending Deals
Cash Deals 45
Stock Deals 21
Stock & Cash Deals 21
Special Conditions 10
Total Number of Pending Deals 97
Total Deal Size $900.19 billion

New Deals:

  1. The acquisition of The ADT Corporation (ADT) by an affiliate of certain funds managed by affiliates of Apollo Global Management for $6.94 billion or $42.00 per share in cash.
  2. The acquisition of Ingram Micro (IM) by Tianjin Tianhai Investment Company for $6 billion or $38.90 per share in cash.

Deal Updates:

  1. On February 18, 2016, Anadigics (ANAD) announced that it had received a proposed amendment to the merger agreement by II-VI Incorporated (IIVI) to increase the offer price to $0.73 per share. The Company’s Board of Directors intends to consider carefully the February 18, 2016 II-VI Proposed Amendment.
  2. On February 19, 2016, ON Semiconductor Corporation (ON) announced that it has extended its previously announced tender offer to purchase all of the outstanding shares of common stock of Fairchild Semiconductor International (FCS) to March 3, 2016.

Closed Deals:

  1. The acquisition of Metro Bancorp (METR) by F.N.B. Corporation (FNB) on February 16, 2016. It took 196 days for this deal to be completed.
  2. The acquisition of Targa Resources Partners (NGLS) by Targa Resources (TRGP) on February 17, 2016. It took 106 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 $15.51 06/30/2016 180.46% 510.62%
VSLR 07/20/2015 SunEdison, Inc. (SUNE) $15.25 $5.79 03/31/2016 163.39% 1569.36%
ODP 02/04/2015 Staples, Inc. (SPLS) $9.32 $5.16 05/16/2016 80.70% 350.67%
NKA 06/14/2015 Brookfield Infrastructure (N/A) $4.23 $3.25 12/31/2016 30.15% 35.16%
BHI 11/16/2014 Halliburton Company (HAL) $54.13 $42.14 04/30/2016 28.46% 152.78%
HUM 07/03/2015 Aetna Inc. (AET) $211.64 $165.34 12/31/2016 28.00% 32.65%
CI 07/24/2015 Anthem, Inc. (ANTM) $168.95 $133.98 12/31/2016 26.10% 30.44%
SNDK 10/21/2015 Western Digital Corporation (WDC) $86.50 $68.85 09/30/2016 25.64% 42.34%
AGN 11/23/2015 Pfizer Inc. (PFE) $333.24 $275.24 12/31/2016 21.07% 24.57%
HOT 11/16/2015 Marriott International, Inc. (MAR) $79.88 $66.33 06/30/2016 20.43% 57.80%

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 $15.51 8,540,371 06/30/2016 180.46% 510.62%
+ VSLR 07/20/2015 SunEdison, Inc. (SUNE) Special Conditions $2.2 billion $15.25 $5.79 148,419 03/31/2016 163.39% 1569.36%
+ ODP 02/04/2015 Staples, Inc. (SPLS) Cash Plus Stock $6.3 billion $9.32 $5.16 4,844,434 05/16/2016 80.70% 350.67%
+ NKA 06/14/2015 Brookfield Infrastructure (N/A) All Cash $911.9 million $4.23 $3.25 52,444 12/31/2016 30.15% 35.16%
+ BHI 11/16/2014 Halliburton Company (HAL) Cash Plus Stock N/A $54.13 $42.14 2,582,418 04/30/2016 28.46% 152.78%
+ HUM 07/03/2015 Aetna Inc. (AET) Cash Plus Stock $37 billion $211.64 $165.34 900,159 12/31/2016 28.00% 32.65%
+ CI 07/24/2015 Anthem, Inc. (ANTM) Cash Plus Stock $54.2 billion $168.95 $133.98 1,085,879 12/31/2016 26.10% 30.44%
+ SNDK 10/21/2015 Western Digital Corporation (WDC) Special Conditions $19 billion $86.50 $68.85 1,383,092 09/30/2016 25.64% 42.34%
+ AGN 11/23/2015 Pfizer Inc. (PFE) All Stock $160 billion $333.24 $275.24 3,443,725 12/31/2016 21.07% 24.57%
+ HOT 11/16/2015 Marriott International, Inc. (MAR) Special Conditions $12.2 billion $79.88 $66.33 2,166,978 06/30/2016 20.43% 57.80%
+ NPBC 08/17/2015 BB&T Corporation (BBT) Special Conditions $1.8 billion $13.00 $11.14 1,014,933 04/01/2016 16.70% 156.26%
+ RAD 10/27/2015 Walgreens Boots Alliance, Inc. (WBA) All Cash $17.2 billion $9.00 $7.93 10,130,880 12/31/2016 13.49% 15.73%
+ BNK 11/09/2015 Bank of the Ozarks, Inc. (OZRK) Special Conditions $402.5 million $25.00 $22.10 132,733 04/30/2016 13.12% 70.44%
+ HE 12/03/2014 NextEra Energy, Inc. (NEE) Special Conditions $4.3 billion $33.50 $29.91 193,011 06/30/2016 12.00% 33.96%
+ RNF 08/10/2015 CVR Partners, LP (UAN) Cash Plus Stock $840 million $9.33 $8.40 58,907 04/30/2016 11.07% 59.43%
+ MEG 01/27/2016 Nexstar Broadcasting Group, Inc. (NXST) Special Conditions $4.6 billion $17.14 $15.64 756,149 12/15/2016 9.59% 11.79%
+ APOL 02/08/2016 A consortium of investors including The Vistria Group, LLC, funds affiliated with Apollo Global Management, LLC and and Najafi Companies (N/A) All Cash $1.1 billion $9.50 $8.68 1,571,662 12/31/2016 9.45% 11.02%
+ HTCH 11/02/2015 TDK Corporation (N/A) Special Conditions $126 million $4.00 $3.70 245,852 03/31/2016 8.11% 77.88%
+ MTSN 12/01/2015 Beijing E-Town Dragon Semiconductor Industry Investment Center (N/A) All Cash $300 million $3.80 $3.52 356,202 03/31/2016 7.95% 76.41%
+ CVC 09/17/2015 Altice (N/A) All Cash $17.7 billion $34.90 $32.44 1,567,731 06/30/2016 7.58% 21.46%
+ BXLT 01/11/2016 Shire plc (SHPG) Cash Plus Stock $32 billion $42.34 $39.41 3,776,906 06/30/2016 7.43% 21.02%
+ FGL 11/09/2015 Anbang Insurance Group Co., Ltd. (N/A) All Cash N/A $26.80 $24.95 310,331 06/30/2016 7.41% 20.98%
+ IM 02/17/2016 Tianjin Tianhai Investment Company, Ltd. (N/A) All Cash $6 billion $38.90 $36.31 7,534,306 12/31/2016 7.13% 8.32%
+ ITC 02/09/2016 Fortis Inc. (FTS.TO) Cash Plus Stock $11.3 billion $43.51 $40.63 2,451,958 12/31/2016 7.09% 8.26%
+ AF 10/29/2015 New York Community Bancorp Inc. (NYCB) Cash Plus Stock $2 billion $15.96 $14.99 1,129,402 12/31/2016 6.47% 7.55%
+ MCOX 12/22/2015 Minat Associated Co. Ltd. (N/A) All Cash N/A $4.00 $3.76 14 06/30/2016 6.38% 18.06%
+ MY 02/03/2016 A consortium of investors (the �Buyer Consortium�), including Mr. Chuanwei Zhang , the Chairman and Chief Executive Officer of the Company (N/A) All Cash $408 million $2.51 $2.36 255,065 06/30/2016 6.36% 17.98%
+ BLT 12/10/2015 American Securities LLC and P2 Capital Partners, LLC (N/A) All Cash $855 million $10.00 $9.42 228,840 06/30/2016 6.16% 17.42%
+ DSKY 12/31/2015 Dream Investment Holdings Limited (N/A) All Cash N/A $14.00 $13.30 100,452 06/30/2016 5.26% 14.89%
+ ADT 02/16/2016 An Affiliate of Certain Funds Managed By Affiliates of Apollo Global Management, LLC (N/A) All Cash $6.94 billion $42.00 $40.00 8,083,857 06/30/2016 5.00% 14.15%
+ BITI 01/19/2016 Acorda Therapeutics, Inc. (ACOR) All Cash $363 million $25.60 $24.41 17,512 09/30/2016 4.88% 8.05%
+ ALR 02/01/2016 Abbott Laboratories (ABT) All Cash $5.8 billion $56.00 $53.43 1,468,730 06/30/2016 4.81% 13.61%
+ 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 $52.88 916,911 03/31/2016 4.71% 45.23%
+ DATE 12/07/2015 FutureWorld Inc. (N/A) All Cash N/A $7.56 $7.26 88,380 03/31/2016 4.13% 39.69%
+ HMIN 12/07/2015 BTG Hotels Group (N/A) All Cash N/A $35.80 $34.59 851,959 06/30/2016 3.50% 9.90%
+ TYC 01/25/2016 Johnson Controls Inc. (JCI) All Stock $16.5 billion $34.71 $33.57 8,035,354 09/30/2016 3.38% 5.59%
+ RLD 11/09/2015 Rizvi Traverse Management, LLC (N/A) All Cash $551 million $11.00 $10.66 283,636 03/31/2016 3.19% 30.64%
+ POM 04/30/2014 Exelon Corporation (EXC) All Cash $7.2 billion $27.25 $26.42 1,870,817 03/31/2016 3.14% 30.18%
+ MNRK 12/17/2015 Towne Bank (TOWN) All Stock $221 million $15.36 $14.94 22,758 06/30/2016 2.84% 8.03%
+ HNT 07/02/2015 Centene Corp. (CNC) Cash Plus Stock $6.8 billion $62.73 $61.08 1,360,786 03/31/2016 2.70% 25.91%
+ TWC 05/26/2015 Charter Communications, Inc. (CHTR) Cash Plus Stock $78.7 billion $193.88 $188.84 1,860,328 06/30/2016 2.67% 7.56%
+ PNX 09/29/2015 Nassau Reinsurance Group Holdings L.P. (N/A) All Cash $217.2 million $37.50 $36.54 15,256 01/31/2016 2.63% 0.00%
+ FMER 01/26/2016 Huntington Bancshares Incorporated (HBAN) Cash Plus Stock $3.4 billion $19.91 $19.41 2,380,308 09/30/2016 2.59% 4.27%
+ LF 02/05/2016 VTech Holdings Limited (N/A) All Cash $72 million $1.00 $0.975 189,224 06/30/2016 2.56% 7.26%
+ NBBC 10/13/2015 Yadkin Financial Corporation (YDKN) All Stock $456 million $10.83 $10.56 36,413 06/30/2016 2.51% 7.10%
+ PULB 12/03/2015 First Busey Corporation (BUSE) All Stock $210.7 million $14.80 $14.48 11,484 06/30/2016 2.24% 6.34%
+ AVNU 01/29/2016 Pinnacle Financial Partners Inc. (PNFP) Cash Plus Stock $201.4 million $18.69 $18.29 23,839 09/15/2016 2.17% 3.84%
+ JAH 12/14/2015 Newell Rubbermaid Inc. (NWL) Cash Plus Stock $13 billion $53.29 $52.17 1,662,715 06/30/2016 2.15% 6.08%
+ FNFG 10/30/2015 KeyCorp. (KEY) Cash Plus Stock $4.1 billion $9.58 $9.38 2,576,082 09/30/2016 2.09% 3.45%
+ CBNJ 01/05/2016 OceanFirst Financial Corp. (OCFC) Cash Plus Stock $208.1 million $12.97 $12.72 30,028 09/30/2016 1.94% 3.20%
+ GAS 08/24/2015 Southern Company (SO) All Cash $12 billion $66.00 $64.75 559,508 12/31/2016 1.93% 2.25%
+ MR 11/04/2015 Excelsior Union Limited and Solid Union Limited (N/A) All Cash $3.3 billion $28.00 $27.49 1,173,972 03/31/2016 1.86% 17.82%
+ KLAC 10/21/2015 Lam Research Corporation (LRCX) Cash Plus Stock $10.6 billion $66.89 $65.69 7,406,544 06/30/2016 1.82% 5.15%
+ FRM 11/02/2015 Team, Inc. (TISI) All Stock $335 million $5.17 $5.09 46,197 03/31/2016 1.54% 14.83%
+ ARG 11/17/2015 Air Liquide (N/A) All Cash $13.4 billion $143.00 $141.03 1,159,667 03/31/2016 1.40% 13.42%
+ EDE 02/09/2016 Algonquin Power & Utilities Corp. (AQN.TO) All Cash $2.4 billion $34.00 $33.54 1,322,037 03/31/2017 1.37% 1.24%
+ BONA 12/15/2015 Mountain Tiger International Limited (N/A) All Cash $1 billion $13.70 $13.53 443,762 06/30/2016 1.26% 3.56%
+ LSG 02/08/2016 Tahoe Resources Inc. (TAHO) All Stock $677 million $1.33 $1.31 851,599 04/15/2016 1.23% 8.50%
+ ATML 01/19/2016 Microchip Technology Inc. (MCHP) Special Conditions $3.40 billion $8.15 $8.06 3,693,330 06/30/2016 1.12% 3.16%
+ WIBC 12/07/2015 BBCN Bancorp, Inc. (BBCN) All Stock $1 billion $9.80 $9.70 214,901 06/30/2016 1.01% 2.87%
+ COB 11/23/2015 Capital Bank Financial Corp. (CBF) All Stock $350 million $12.88 $12.75 16,773 03/31/2016 1.01% 9.68%
+ NTLS 08/10/2015 Shenandoah Telecommunications Co. (SHEN) All Cash $640 million $9.25 $9.16 108,750 03/31/2016 0.98% 9.44%
+ PNY 10/26/2015 Duke Energy Corporation (DUK) All Cash $6.7 billion $60.00 $59.45 482,109 12/31/2016 0.93% 1.08%
+ SLH 09/13/2015 an affiliate of Vista Equity Partners (N/A) All Cash $6.5 billion $55.85 $55.37 771,332 03/31/2016 0.87% 8.33%
+ CCG 10/16/2015 affiliates of Harrison Street Real Estate Capital, LLC (N/A) All Cash $1.9 billion $7.03 $6.97 9,239,091 03/31/2016 0.86% 8.27%
+ YOKU 11/06/2015 Alibaba Group Holding Limited (BABA) All Cash $5.37 billion $27.60 $27.37 754,224 03/31/2016 0.84% 8.07%
+ RIVR 10/26/2015 German American Bancorp Inc. (GABC) Cash Plus Stock N/A $33.74 $33.48 588 03/31/2016 0.77% 7.44%
+ DMND 10/28/2015 Snyder’s-Lance, Inc. (LNCE) Cash Plus Stock $1.91 billion $36.42 $36.21 100,985 03/31/2016 0.57% 5.48%
+ HPY 12/15/2015 Global Payments Inc. (GPN) Cash Plus Stock $4.3 billion $92.84 $92.33 174,822 05/31/2016 0.55% 2.04%
+ GMCR 12/07/2015 JAB Holding Company (N/A) All Cash $13.9 billion $92.00 $91.52 12,989,676 03/31/2016 0.52% 5.04%
+ CAM 08/26/2015 Schlumberger Limited (SLB) Cash Plus Stock $14.8 billion $66.61 $66.33 1,875,900 03/31/2016 0.43% 4.13%
+ TE 09/05/2015 Emera (N/A) All Cash $10.4 billion $27.55 $27.45 3,335,782 06/30/2016 0.36% 1.03%
+ JMG 10/07/2015 Gannett Co., Inc. (GCI) All Cash $280 million $12.00 $11.96 230,836 03/31/2016 0.33% 3.21%
+ LOJN 02/01/2016 CalAmp Corp. (CAMP) All Cash $134 million $6.45 $6.43 142,758 05/31/2016 0.31% 1.15%
+ PRE 08/03/2015 EXOR S.p.A. (N/A) All Cash $6.9 billion $140.50 $140.15 388,808 03/31/2016 0.25% 2.40%
+ EZCH 09/30/2015 Mellanox Technologies, Ltd. (MLNX) All Cash $620 million $25.50 $25.45 685,617 03/31/2016 0.20% 1.89%
+ STR 02/01/2016 Dominion Resources, Inc. (D) All Cash $4.4 billion $25.00 $24.96 2,756,866 12/15/2016 0.16% 0.20%
+ ARPI 12/03/2015 American Homes 4 Rent (AMH) All Stock $1.5 billion $15.67 $15.65 266,238 06/30/2016 0.16% 0.44%
+ AFFX 01/26/2016 Thermo Fisher Scientific, Inc. (TMO) All Cash $1.3 billion $14.00 $13.98 1,228,257 06/30/2016 0.14% 0.40%
+ PCL 11/09/2015 Weyerhaeuser Co. (WY) All Stock $8.44 billion $36.59 $36.54 14,802,773 05/15/2016 0.14% 0.63%
+ SIRO 09/15/2015 DENTSPLY International Inc. (XRAY) All Stock $5.51 billion $102.27 $102.17 145,008 03/31/2016 0.09% 0.91%
+ SFG 07/23/2015 Meiji Yasuda Life Insurance Company (N/A) All Cash $5 billion $115.00 $114.90 241,259 03/31/2016 0.09% 0.84%
+ ALU 04/15/2015 Nokia Corporation (NOK) All Stock $16.6 billion $3.30 $3.30 2,299,782 06/30/2016 0.00% 0.00%
+ KING 11/02/2015 Activision Blizzard, Inc. (ATVI) All Cash $5.9 billion $18.00 $18.00 655,776 03/31/2016 0.00% 0.00%
+ TSYS 11/23/2015 Comtech Telecommunications Corp. (CMTL) All Cash $339.7 million $5.00 $5.00 962,233 03/31/2016 0.00% 0.00%
+ IRC 12/15/2015 real estate funds managed by DRA Advisors LLC (N/A) All Cash $2.3 billion $10.60 $10.60 620,533 06/30/2016 0.00% 0.00%
+ FCS 11/18/2015 ON Semiconductor Corp. (ON) All Cash $2.4 billion $20.00 $20.06 1,284,077 03/03/2016 -0.30% -10.92%
+ NTI 12/21/2015 Western Refining, Inc. (WNR) Cash Plus Stock N/A $22.55 $22.64 307,221 06/30/2016 -0.39% -1.10%
+ CHEV 11/24/2015 MainSource Financial Group, Inc. (MSFG) All Stock $107.4 million $14.36 $14.48 3,987 09/30/2016 -0.80% -1.32%
+ WCN 01/19/2016 Progressive Waste Solutions Ltd. (BIN) All Stock N/A $61.50 $62.12 934,924 06/30/2016 -1.01% -2.85%
+ FXCB 12/08/2015 Univest Corporation of Pennsylvania (UVSP) All Stock $244.3 million $18.49 $18.95 64,514 09/30/2016 -2.43% -4.02%
+ ABCW 01/12/2016 Old National Bancorp. (ONB) All Stock 461 million $40.44 $41.71 133,844 06/30/2016 -3.04% -8.61%
+ VBIV 10/26/2015 SciVac Therapeutics Inc. (SVACF) All Stock N/A $2.06 $2.18 26,645 03/31/2016 -5.50% -52.86%
+ HFFC 11/30/2015 Great Western Bancorp. Inc. (GWB) All Stock $139.5 million $15.53 $16.49 12,011 06/30/2016 -5.83% -16.50%
+ FSYS 09/01/2015 Westport Innovations Inc. (WPRT) All Stock $126.36 million $3.81 $4.18 6,685 02/20/2016 -8.83% 1611.46%
+ ANAD 01/19/2016 II-VI Incorporated (IIVI) All Cash $61 million $0.66 $0.736 134,984 03/31/2016 -10.33% -99.18%
+ CACQ 12/22/2014 Caesars Entertainment Corporation (CZR) All Stock N/A $4.83 $6.37 156,384 03/31/2015 -24.11% 26.83%

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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