Merger Arbitrage Mondays – March 07, 2011

  • March 7, 2011

Merger activity decreased last week with four new deals announced and three deals closing.

You can find all the deals listed below in our Merger Arbitrage Tool that automatically updates itself during market hours.

Deal Statistics:

Total Number of Deals Closed in 201131
Total Number of Deals Not Completed in 20111
Total Number of Pending Deals
Cash Deals45
Stock Deals23
Stock & Cash Deals12
Total Number of Pending Deals70

New Deals:

  1. The acquisition of Nationwide Health Properties (NHP) by Ventas (VTR) for $7.4 billion in an all stock deal where NHP shareholders will receive a fixed exchange ratio of 0.7866 Ventas shares for each share of NHP common stock they own.
  2. The acquisition of America Service Group (ASGR) by Valitás Health Services for $250 million or $26.00 per share in cash.
  3. The acquisition of Global Defense Technology & Systems (GTEC) by an affiliate of Ares Management LLC for $315 million or $24.25 per share in cash.
  4. The acquisition of Cascade Financial Corp (CASB) by Opus Bank for $0.45 per share in cash. Opus Bank will pay approximately $16.25 million to retire Cascade Financial’s $39 million in preferred stock and associated warrants issued to the United States Department of the Treasury under the Treasury’s Capital Purchase Program, and $5.5 million in cash to the holders of Cascade Financial’s common stock.


Closed Deals:

  1. The acquisition of Martek (MATK) by Royal DSM KON on February 28, 2011
  2. The acquisition of King Pharma (KG) by Pfizer (PFE) on March 01, 2011
  3. The acquisition of McAfee (MFE) by Intel (INTC) on March 01, 2011


Updated Deals:

  1. Grifols and Talecris (TLCR) Announce the Outside Date of Their Merger Agreement has been Extended to June 30, 2011.
  2. On March 04, 2011, CPEX Pharmaceutical Partners (CPEXreceived a letter from Athyrium Capital Management LLC,  in response to recent incomplete and inaccurate statements by Mangrove Partners.
  3. CVS Caremark and Universal American (UAM) Announce Termination of Hart-Scott-Rodino Waiting Period on March 01, 2011.
  4. Mangrove Partners Questions the proposed sale of CPEX Pharmaceuticals (CPEX) and intends to vote ‘No’ on the merger on February 28, 2011.
  5. Zoran Corporation (ZRANissued an open letter to its stockholders on March 01, 2011.


Top 10 Deals with largest spreads:

SymbolAnnounced
Date
Acquiring

Company

Closing

Price

Last
Price
Closing
Date
ProfitAnnu.
Profit
LTXC11/18/2010Verigy Ltd (VRGY)$12.76$9.3906/30/2011

35.87%

113.86%
TLCR06/07/2010Grifols (GRF.MC)$29.69$25.5406/30/2011 16.23% 51.51%
TAM01/19/2011LAN Airlines S.A. (LFL)$24.60$21.7009/30/2011 13.35% 23.54%
DNBK01/20/2011People's United Financial Inc. (PBCT)$23.00$21.4706/30/2011 7.13% 22.62%
AAI09/27/2010Southwest Airlines (LUV)$7.75$7.2803/31/2011 6.46% 98.19%
SHMR10/15/2010Essilor (N/A)$14.50$13.643706/30/2011 6.28% 19.92%
PVG09/21/2010Penn Virginia Resource Partners (PVR)$28.34$26.9303/31/2011 5.24% 79.72%
MAJC09/21/2010Bayside Capital Partners (N/A)$4.50$4.3003/31/2011

4.65%

70.74%
NOVL11/21/2010Attachment Corporation (N/A)$6.10$5.8304/30/2011

4.63%

31.30%
MEE01/29/2011Alpha Natural Resources, Inc. (ANR)$68.19$65.3306/30/2011 4.38% 13.89%

List of all pending deals:

The list of all pending deals is only available to InsideArbitrage Premium and Plus members.


 SymbolAnnounced
Date
Acquiring
Company
Deal
Type
Closing
Value
Closing
Price
Last
Price
VolumeClosing

Date

ProfitAnnu.
Profit
+LTXC11/18/2010Verigy Ltd (VRGY)All Stock$422 million$12.76$9.39242,07806/30/2011 35.87% 113.86%
+TLCR06/07/2010Grifols (GRF.MC)Cash Plus Stock$3.4 billion$29.68$25.542,466,03006/30/2011 16.22% 51.48%
+TAM01/19/2011LAN Airlines S.A. (LFL)All StockN/A$24.60$21.70983,65709/30/2011 13.35% 23.54%
+DNBK01/20/2011People's United Financial Inc. (PBCT)All Cash$493 million$23.00$21.4741,18206/30/2011 7.13% 22.62%
+AAI09/27/2010Southwest Airlines (LUV)Cash Plus Stock$1.4 billion$7.75$7.281,357,53403/31/2011 6.46% 98.19%
+SHMR10/15/2010Essilor (N/A)All Cash$130 million$14.50$13.64371,69906/30/2011 6.28% 19.92%
+PVG09/21/2010Penn Virginia Resource Partners (PVR)All Stock$954 million$28.34$26.93170,14303/31/2011 5.24% 79.72%
+MAJC09/21/2010Bayside Capital Partners (N/A)All Cash$7.8 million$4.50$4.3012,47403/31/2011 4.65% 70.74%
+NOVL11/21/2010Attachment Corporation (N/A)All Cash$2.2 billion$6.10$5.833,217,30504/30/2011 4.63% 31.30%
+MEE01/29/2011Alpha Natural Resources, Inc. (ANR)Cash Plus Stock$8.5 billion$68.19$65.334,388,21606/30/2011 4.38% 13.89%
+HYC11/17/2010Verifone Systems (PAY)All Stock$485 million$11.48$11.051,200,93909/30/2011 3.89% 6.85%
+MI12/17/2010BMO Financial Group (BMO)All Stock$4.1 billion$7.99$7.705,719,25707/31/2011 3.79% 9.48%
+ROME10/12/2010Berkshire Hills Bancorp (BHLB)All Stock$74 million$12.45$12.0031,23803/31/2011

3.73%

56.73%
+PNNW11/12/2010City of Nashua (N/A)All Cash$138 million$29.00$28.0618,28309/30/2011 3.35% 5.91%
+NGAS12/27/2010Magnum Hunter Resources Corp. (MHR)All Stock$98 million$0.64$0.6153,677,76306/30/2011 3.31% 10.50%
+DTG04/26/2010Avis (CAR)Cash Plus Stock$1.56 billion$56.26$54.49698,72703/31/2011 3.25% 49.37%
+LEGC12/21/2010Berkshire Hills Bancorp (BHLB)Cash Plus Stock$108 million$13.70$13.3010,18206/30/2011 3.04% 9.66%
+CLFC12/09/2010Nara Bancorp Inc. (NARA)All Stock$285.7 million$7.73$7.51144,61209/30/2011 2.98% 5.25%
+PGN01/10/2011Duke Energy Corporation (DUK)All Stock$13.7 billion$46.97$45.701,502,68112/31/2011 2.79% 3.40%
+WTNY12/22/2010Hancock Holding Company (HBHC)All Stock$1.5 billion$13.82$13.461,308,90306/30/2011 2.67% 8.47%
+NAL08/19/2010First Niagara Financial Group (FNFG)Cash Plus Stock$1.5 billion$15.70$15.33874,00605/15/2011 2.39% 12.66%
+NHP02/28/2011Ventas Inc. (VTR)All Stock$7.4 billion$41.56$40.592,604,53109/30/2011 2.38% 4.20%
+DEP02/23/2011Enterprise Products Partners (EPD)All StockN/A$41.14$40.20149,01212/31/2069 2.34% 0.04%
+TCM11/01/2010Hanmax Investment Limited (N/A)All CashN/A$4.50$4.413,32003/31/2011 2.04% 31.04%
+SBIB01/18/2011Comerica Incorporated (CMA)All Stock$1.027 billion$9.07$8.91798,88106/30/2011 1.82% 5.78%
+GAS12/07/2010AGL Resources Inc. (AGL)Cash Plus Stock$2.4 billion$53.65$52.82724,46909/30/2011 1.57% 2.76%
+HUGH02/14/2011EchoStar Corp (SATS)All Cash$2 billion$60.70$59.8082,32012/31/2011 1.51% 1.84%
+ABBC01/26/2011Susquehanna Bancshares, Inc. (SUSQ)All Stock$273 million$12.61$12.4265,70009/30/2011 1.50% 2.64%
+WL11/01/2010M & T Bank Corporation (MTB)All Stock$351 million$4.52$4.455938,04906/30/2011 1.49% 4.72%
+ASGR03/03/2011Valit�s Health Services, Inc. (N/A)All Cash$250 million$26.00$25.65676,17206/30/2011 1.36% 4.33%
+RHB02/08/2011Kindred Healthcare (KND)Cash Plus Stock$877 million$37.94$37.46154,49006/30/2011 1.27% 4.03%
+CNXT02/23/2011Golden Gate Capital (N/A)All CashN/A$2.40$2.37513,96006/30/2011 1.27% 4.02%
+RVI02/08/2011DSW Inc (DSW)All StockN/A$17.90$17.68247,35506/30/2011 1.22% 3.88%
+SVLF02/03/2011Cerberus Capital Management (N/A)All Cash$94 million$2.50$2.4776,90104/15/2011 1.21% 11.37%
+ACL12/15/2010Novartis (NVS)All Cash$12.9 billion$168.00$166.031,070,99106/30/2011

1.19%

3.77%
+BUCY11/15/2010Caterpillar Inc (CAT)All Cash$8.6 billion$92.00$90.951,240,43506/30/2011 1.15% 3.66%
+Q04/22/2010Century Link (CTL)All Stock$10.6 billion$6.72$6.6520,568,12004/21/2011 1.09% 8.85%
+EMS02/14/2011Clayton, Dubilier & Rice (N/A)All Cash$3 billion$64.00$63.32867,16006/30/2011 1.07% 3.41%
+TLGD02/22/2011Golden Gate Capital (N/A)All Cash$137 million$10.10$10.00178,83606/30/2011 1.00% 3.17%
+XETA02/09/2011PAETEC Holding Corp (PAET)All Cash$61 million$5.50$5.45108,21604/30/2011 0.92% 6.20%
+VCGH11/10/2010Company's chairman of the Board, CEO, President and COO (N/A)All Cash$37 million$2.25$2.234,35703/31/2011 0.90% 13.64%
+PPD01/31/2011MidOcean Partners (N/A)All Cash$650 million$66.50$65.9732,50707/31/2011 0.80% 2.01%
+ID09/20/2010Safran (N/A)All Cash$1.1 billion$12.00$11.911,354,09103/31/2011 0.76% 11.49%
+BEC02/07/2011Danaher (DHR)All Cash$6.8 billion$83.50$82.911,178,21506/30/2011 0.71% 2.26%
+LDSH11/17/2010Allegheny Technologies (ATI)Cash Plus Stock$778 million$53.81$53.4331,69303/31/2011 0.71% 10.81%
+DNEX12/13/2010Thermo Fisher Scientific Inc. (TMO)All Cash$2.1 billion$118.50$117.67248,30303/31/2011 0.71% 10.73%
+ACV09/27/2010Unilever PLC (N/A)All Cash$3.7 billion$37.50$37.25554,37303/31/2011 0.67% 10.21%
+ATHR01/05/2011QUALCOMM Incorporated (QCOM)All Cash$3.1 billion$45.00$44.731,322,63706/30/2011 0.60% 1.92%
+GIW10/25/2010Community Bank System (CBU)All Cash$101.8 million$9.50$9.44329,90003/31/2011 0.60% 9.15%
+FTO02/22/2011Holly Corporation (HOC)All Stock$3 billion$27.81$27.652,453,80709/30/2011 0.59% 1.04%
+PDE02/07/2011Ensco plc (ESV)Cash Plus Stock$7.31 billion$42.85$42.604,619,90406/30/2011 0.58% 1.85%
+CPD02/22/2011Sun Pharmaceutical Industries ltd (N/A)All CashN/A$5.25$5.2228,74612/31/2011 0.57% 0.70%
+LZR02/07/2011Universal Hospital Services (N/A)All Cash$70 million$8.46$8.428,72604/30/2011 0.48% 3.21%
+CADE10/06/2010Community Bancorp LLC (N/A)All Cash$38 million$2.50$2.4922,59103/31/2011 0.40% 6.11%
+NOVA01/21/2011Surgery Partners (N/A)All Cash$214 million$13.25$13.2074,13706/30/2011 0.38% 1.20%
+MIGP12/01/2010United Fire & Casualty (UFCS)All Cash$191 million$28.25$28.158,95003/31/2011 0.36% 5.40%
+CRXL10/06/2010Johnson & Johnson (JNJ)All Cash$2.41 billion$34.58$34.4614,63303/31/2011 0.35% 5.33%
+PLD01/31/2011AMB Property Corporation (AMB)All StockN/A$15.91$15.853,918,70906/30/2011

0.35%

1.11%
+JAS12/23/2010affiliate of Leonard Green & Partners LP (N/A)All Cash$1.6 billion$61.00$60.81289,94703/31/2011 0.31% 4.75%
+HRLY02/07/2011Kratos Defense & Security Solutions, Inc. (KTOS)All Cash$270 million$19.00$18.95120,65303/31/2011 0.26% 4.01%
+TMRK01/27/2011Verizon Communications Inc. (VZ)All Cash$1.4 billion$19.00$18.95459,99803/31/2011

0.26%

4.01%
+CPEX01/04/2011FCB I Holdings Inc. (N/A)All CashN/A$27.25$27.2097,30106/30/2011 0.18% 0.58%
+SSCC01/23/2011Rock-Tenn Co. (RKT)Cash Plus Stock$3.5 billion$38.92$38.86469,39506/30/2011 0.16% 0.49%
+CGC10/01/2010Gammon Gold (GRS)Cash Plus Stock$288 million$5.45$5.44217,93003/31/2011 0.13% 1.91%
+DLM11/25/2010Kohlberg Kravis Roberts & Co (KKR)All Cash$4 billion$19.00$18.998,349,44303/31/2011 0.05% 0.80%
+GXDX01/24/2011Novartis AG (NVS)All Cash$470 million$25.00$24.99111,46306/30/2011

0.04%

0.13%
+GTEC03/03/2011affiliate of Ares Management LLC (N/A)All Cash$315 million$24.25$24.25461,25206/30/2011 0.00% 0.00%
+ANSW02/03/2011AFCV Holdings LLC (N/A)All Cash$127 million$10.50$10.5071,54906/30/2011 0.00% 0.00%
+JCG11/23/2010private equity firms TPG Capital and Leonard Green & Partners (N/A)All Cash$3 billion$43.50$43.532,610,58003/31/2011

-0.07%

-1.05%
+NST10/18/2010Northeast Utilities (NU)All Stock$4.17 billion$44.38$44.72291,31809/30/2011 -0.75% -1.32%
+MCCC11/15/2010Chief Executive Rocco Commisso (N/A)All Cash$600 million$8.75$8.842,212,67306/30/2011 -1.02% -3.23%
+CLDA02/22/2011Forest Laboratories Inc. (FRX)All Cash$1.2 billion$30.00$30.31249,39606/30/2011 -1.02% -3.25%
+PLA01/10/2011Icon Acquisition Holdings, L.P. (N/A)All CashN/A$6.15$6.22581,93003/31/2011 -1.13% -17.12%
+RAE01/18/2011Vector Capital (N/A)All CashN/A$1.75$1.785,90006/30/2011 -1.69% -5.35%
+GENZ02/16/2011Sanofi-Aventis (SNY)All Cash$20.1 billion$74.00$75.653,939,10606/15/2011 -2.18% -7.96%
+CASB03/04/2011Opus Bank (N/A)All CashN/A$0.45$0.53169,77206/30/2011 -15.09% -47.91%
+LAB02/17/2011Cowen Group (COWN)All Stock$192.8 millionN/A$4.04204,56207/31/2011 N/A N/A
+NYX02/15/2011Deutsche Boerse (N/A)All StockN/AN/A$36.004,444,78612/31/2011 N/A N/A
+UAM12/31/2010CVS Caremark Corporation (CVS)All Cash$1.25 billionN/A$21.06113,88406/30/2011 N/A N/A
+ZRAN02/21/2011CSR PLC (N/A)All Stock$679 millionN/A$10.90395,63906/30/2011

N/A

N/A