Merger Arbitrage Mondays – August 14, 2017
Merger activity decreased last week with three new deals announced and three deals closing. You can find all the active deals listed below in our Merger Arbitrage Tool (MAT) that automatically updates itself during market hours.
There were three new deals announced in the Deals in the Works section.
Deal Statistics:
| Total Number of Deals Closed in 2017 | 128 |
| Total Number of Deals Not Completed in 2017 | 7 |
| Total Number of Pending Deals |
| Cash Deals | 61 |
| Stock Deals | 23 |
| Stock & Cash Deals | 11 |
| Special Conditions | 6 |
| Total Number of Pending Deals | 101 |
| Total Deal Size | $854.25 billion |
New Deals:
- The acquisition of Nxstage Medical (NXTM) by Fresenius Medical Care for $1.62 billion or $30.00 per share in cash.
- The acquisition of Supreme Industries (STS) by Wabash National Corporation (WNC) for $260.9 million or $21.00 per share in cash.
- The acquisition of Invitation Homes (INVH) by Starwood Waypoint Homes (SFR) for $7.36 billion in an all stock deal. Under the terms of the agreement, each Starwood Waypoint Homes share will be converted into 1.614 Invitation Homes shares, based on a fixed exchange ratio. The all-stock merger is intended to be a tax-free transaction.
Deal Updates:
- On August 7, 2017, Thermo Fisher Scientific (TMO) announced that its wholly owned subsidiary, Thermo Fisher has extended the offering period of its previously announced all-cash tender offer to purchase all of the outstanding ordinary shares of Patheon (PTHN). Based on progress to date, Thermo Fisher now expects to complete the transaction around the end of the third quarter of 2017.
- On August 8, 2017, Intel Corporation (INTC) and Mobileye (MBLY) announced the completion of Intel’s tender offer for outstanding ordinary shares of Mobileye. Intel and Mobileye also announced the commencement of a subsequent offering period scheduled to expire on August 21, 2017, as it may be further extended to provide for a minority exit offering period of at least 5 business days to provide Mobileye shareholders who have not yet tendered their shares the opportunity to do so.
- On August 8, 2017, C. R. Bard (BCR) and Becton, Dickinson and Company (BDX) announced the results of Bard’s special meeting of shareholders at which a quorum was present, for Bard shareholders to consider and vote upon the proposed merger of Bard with BD. Bard shareholders approved the definitive merger agreement, with approximately 99% of shares voting cast in favor of the proposal.
- On August 10, 2017, NOVADAQ Technologies (NVDQ) announced that the Ontario Superior Court of Justice has issued a final order approving its previously announced plan of arrangement under the Canada Business Corporations Act pursuant to which Stryker Corporation has agreed to acquire all of the issued and outstanding shares of NOVADAQ for US$11.75 per share in cash.
Closed Deals:
- The acquisition of EnerNOC (ENOC) by Enel Green Power North America on August 7, 2017. It took 46 days for this deal to be completed.
- The acquisition of NeuStar (NSR) by private investment group led by Golden Gate Capital on August 8, 2017. It took 237 days for this deal to be completed.
- The acquisition of The Spectranetics Corporation (SPNC) by Philips (PHG) on August 9, 2017. It took 42 days for this deal to be completed.
Top 10 deals with largest spreads:
Closing
Price |
|---|
| GNW | 10/23/2016 | China Oceanwide Holdings Group Co., Ltd. (N/A) | $5.43 | $3.48 | 11/30/2017 | 56.03% | 189.38% |
| LSCC | 11/03/2016 | Canyon Bridge Capital Partners, Inc. (N/A) | $8.30 | $6.03 | 09/30/2017 | 37.65% | 292.35% |
| CBMX | 07/31/2017 | Invitae Corporation (NVTA) | $8.33 | $7.10 | 12/31/2017 | 17.32% | 45.49% |
| MGI | 01/26/2017 | Ant Financial Services Group (N/A) | $18.00 | $15.64 | 12/31/2017 | 15.09% | 39.62% |
| CAB | 10/03/2016 | Bass Pro Shops (N/A) | $61.50 | $53.61 | 09/30/2017 | 14.72% | 114.29% |
| ATW | 05/30/2017 | Ensco plc (ESV) | $7.38 | $6.64 | 09/30/2017 | 11.08% | 86.08% |
| XCRA | 04/10/2017 | an affiliate of Sino IC Capital and Unic Capital Management (N/A) | $10.25 | $9.23 | 12/31/2017 | 11.05% | 29.02% |
| MON | 09/14/2016 | Bayer AG (BAYRY) | $128.00 | $116.55 | 12/31/2017 | 9.82% | 25.80% |
| HUN | 05/22/2017 | CLARIANT N (CLN.VX) | $27.45 | $25.15 | 12/31/2017 | 9.16% | 24.05% |
| TWX | 10/22/2016 | AT&T, Inc. (T) | $107.50 | $101.90 | 12/31/2017 | 5.50% | 14.43% |
List of all pending deals:
The list of all pending deals is only available to InsideArbitrage Premium and Plus members.
Disclaimer: I hold positions in Staples (SPLS), Whole Foods (WFM), Cabela’s (CAB) and Fortress Investment Group (FIG). 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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