Merger Arbitrage Mondays – August 27, 2012

Merger activity decreased last week with four new deals announced and four 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 2012 119
Total Number of Deals Not Completed in 2012 1
Total Number of Pending Deals
Cash Deals 43
Stock Deals 11
Stock & Cash Deals 7
Total Number of Pending Deals 61
Total Deal Size $466.9 billion

New Deals:

  1. The acquisition of Coventry Health Care (CVH) by Aetna (AET) for $7.3 billion. Under the terms of the agreement, Coventry stockholders will receive $27.30 in cash and 0.3885 Aetna common shares for each Coventry share.
  2. The stock-for-stock merger of Dex One Corporation (DEXO) and SuperMedia Inc. (SPMD). Under the terms of the agreement, Dex One and SuperMedia shareholders will exchange their shares for shares in Dex Media. Dex One shareholders will receive 0.20 shares for each Dex One share they own, and Super Media shareholders will receive 0.4386 shares for each SuperMedia share they own. On account of the unique nature of this deal where a new entity Dex Media will be created, we have not added this deal to our database and hence it is not accessible from the Merger Arbitrage Tool.
  3. The acquisition of Sunrise Senior Living (SRZ) by Health Care REIT (HCN) for $845 million or $14.50 per share in cash. According to the company, “If the transaction does not close on or prior to February 21, 2013, as a result of certain closing extension rights which may be exercised by Health Care REIT, Sunrise shareholders will be entitled to receive additional transaction consideration during the period beginning on February 21, 2013”
  4. The acquisition of Presstek (PRST) by MAI Holdings, Inc., an entity affiliated with American Industrial Partners Capital Fund IV, L.P. for $0.50 per share in cash.

Closed Deals:

  1. The acquisition of FX Alliance (FX) by Thomson Reuters Corporation (TRI) on August 20, 2012.
  2. The acquisition of Benihana (BNHN) by Angelo, Gordon & Co. on August 22, 2012.
  3. The acquisition of Extorre Gold Mines Limited (XG) by Yamana Gold, Inc. (AUY) on August 22, 2012.
  4. The acquisition of Tudou Holdings Limited (TUDO) by Youku Inc. (YOKU) on August 23, 2012.

Top 10 deals with largest spreads:

Symbol Announced

Date

Acquiring

Company

Closing

Price

Last

Price

Closing

Date

Profit Annualized

Profit

VQ 01/16/2012 Denver Parent Corporation (N/A) $12.50 $10.80 09/14/2012 15.74% 319.19%
ABVA 05/03/2012 Washington First Bankshares (WFBI) $4.88 $4.40 12/31/2012 10.88% 31.50%
PLXT 04/30/2012 Integrated Device Technology, Inc. (IDTI) $6.29 $5.72 09/06/2012 9.93% 362.29%
SHAW 07/30/2012 Chicago Bridge & Iron Company (CBI) $45.83 $41.96 03/31/2013 9.23% 15.59%
GU 06/04/2012 Trillion Energy Holdings Limited And Trillion Energy Investments Holdings Limited (N/A) $1.62 $1.50 09/30/2012 8.00% 85.88%
YTEC 08/13/2012 New Sihitech Limited (N/A) $3.90 $3.65 12/31/2012 6.85% 19.84%
NXY 07/23/2012 CNOOC Ltd. (CEO) $27.50 $25.74 12/31/2012 6.84% 19.81%
BTFG 05/29/2012 Trustmark Corporation (TRMK) $2.98 $2.81 12/31/2012 5.87% 17.01%
WWIN 07/24/2012 Winner Holding Limited (N/A) $4.50 $4.26 03/31/2013 5.63% 9.52%
FSIN 06/28/2012 Chairman and Co-Chief Executive Officer, Mr. Li Fu, and Abax Global Capital (Hong Kong) Limited (N/A) $9.50 $9.03 12/31/2012 5.20% 15.08%

List of all pending deals:

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


Symbol Announced

Date

Acquiring

Company

Deal

Type

Closing

Value

Closing

Price

Last

Price

Volume Closing

Date

Profit Annu.

Profit

+ VQ 01/16/2012 Denver Parent Corporation (N/A) All Cash $1.5 billion $12.50 $10.80 147,308 09/14/2012 15.74% 319.19%
+ ABVA 05/03/2012 Washington First Bankshares (WFBI) All Stock $24.4 million $4.88 $4.40 N/A 12/31/2012 10.88% 31.50%
+ PLXT 04/30/2012 Integrated Device Technology, Inc. (IDTI) Cash Plus Stock $330 million $6.29 $5.72 147,464 09/06/2012 9.93% 362.29%
+ SHAW 07/30/2012 Chicago Bridge & Iron Company (CBI) Cash Plus Stock $3 billion $45.83 $41.96 1,226,490 03/31/2013 9.23% 15.59%
+ GU 06/04/2012 Trillion Energy Holdings Limited And Trillion Energy Investments Holdings Limited (N/A) All Cash N/A $1.62 $1.50 119,461 09/30/2012 8.00% 85.88%
+ YTEC 08/13/2012 New Sihitech Limited (N/A) All Cash $79.5 million $3.90 $3.65 21,450 12/31/2012 6.85% 19.84%
+ NXY 07/23/2012 CNOOC Ltd. (CEO) All Cash $15.1 billion $27.50 $25.74 4,407,678 12/31/2012 6.84% 19.81%
+ BTFG 05/29/2012 Trustmark Corporation (TRMK) All Stock $55.4 million $2.98 $2.81 11,789 12/31/2012 5.87% 17.01%
+ WWIN 07/24/2012 Winner Holding Limited (N/A) All Cash N/A $4.50 $4.26 26,574 03/31/2013 5.63% 9.52%
+ FSIN 06/28/2012 Chairman and Co-Chief Executive Officer, Mr. Li Fu, and Abax Global Capital (Hong Kong) Limited (N/A) All Cash N/A $9.50 $9.03 93,609 12/31/2012 5.20% 15.08%
+ CFFC 08/02/2012 City Holding Company (CHCO) All Stock $26.1 million $5.84 $5.60 22,293 03/31/2013 4.24% 7.17%
+ CTFO 06/08/2012 TransCloud Company Limited (N/A) All Cash $146.6 million $5.80 $5.57 110,327 09/30/2012 4.13% 44.33%
+ BIDZ 05/17/2012 Glendon Group, Inc. (N/A) All Cash N/A $0.78 $0.75 36,320 12/31/2012 4.00% 11.59%
+ FSBI 07/19/2012 WesBanco Inc. (WSBC) Cash Plus Stock $70.8 million $21.15 $20.52 N/A 03/31/2013 3.07% 5.18%
+ VRTA 05/31/2012 Vestin Realty Mortgage II, Inc. (VRTB) All Stock N/A $1.01 $0.980 N/A 12/31/2012 2.92% 8.45%
+ NEBS 05/31/2012 United Financial Bancorp, Inc. (UBNK) All Stock $91.0 million $13.66 $13.28 2,178 12/31/2012 2.89% 8.37%
+ CEBK 05/01/2012 Independent Bank Corp. (INDB) All Cash $54.8 million $32.00 $31.19 N/A 12/31/2012 2.60% 7.52%
+ SAVB 08/08/2012 SCBT Financial Corporation (SCBT) All Stock $67.1 million $9.78 $9.54 10,880 12/31/2012 2.51% 7.26%
+ GEOY 07/23/2012 DigitalGlobe, Inc. (DGI) Cash Plus Stock $900 million $27.25 $26.60 205,893 03/31/2013 2.44% 4.12%
+ ALTH 04/05/2012 Spectrum Pharmaceuticals (SPPI) All Cash $206 million $1.82 $1.78 542,638 08/20/2012 2.25% 0.00%
+ PSOF 05/17/2012 Timesway Group Limited (N/A) All Cash N/A $4.15 $4.06 51,998 09/30/2012 2.22% 23.80%
+ CSBC 05/14/2012 Park Sterling Corporation (PSTB) All Stock $77.8 million $7.15 $7.00 16,841 12/31/2012 2.11% 6.12%
+ PRST 08/23/2012 MAI Holdings, Inc., an entity affiliated with American Industrial Partners Capital Fund IV, L.P. (N/A) All Cash N/A $0.50 $0.49 117,529 12/31/2012 2.04% 5.91%
+ INCB 01/25/2012 Old National Bancorp Capital (ONB) All Stock $79.2 million $25.00 $24.55 3,591 09/30/2012 1.85% 19.85%
+ GEN 07/23/2012 NRG Energy, Inc. (NRG) All Stock $1.7 billion $2.58 $2.53 14,923,199 03/31/2013 1.80% 3.04%
+ CVH 08/20/2012 Aetna Inc. (AET) Cash Plus Stock $7.3 billion $42.34 $41.74 2,704,990 06/30/2013 1.44% 1.72%
+ SRZ 08/22/2012 Health Care REIT, Inc. (HCN) All Cash $845 million $14.50 $14.30 4,911,783 06/30/2013 1.40% 1.66%
+ AGP 07/09/2012 WellPoint Inc. (WLP) All Cash $4.9 billion $92.00 $90.82 1,691,219 03/31/2013 1.30% 2.20%
+ ARBA 05/22/2012 SAP AG (SAP) All Cash $4.3 billion $45.00 $44.54 263,538 12/31/2012 1.03% 2.99%
+ BFED 05/31/2012 Berkshire Hills Bancorp Inc. (BHLB) All Stock $132 million $20.41 $20.21 2,020 12/31/2012 0.97% 2.80%
+ SUN 04/30/2012 Energy Transfer Partners, L.P. (ETP) Cash Plus Stock $5.3 billion $47.13 $46.75 489,598 12/31/2012 0.82% 2.38%
+ CBE 05/21/2012 Eaton Corporation (ETN) Cash Plus Stock $11.46 billion $75.13 $74.57 1,515,564 12/31/2012 0.75% 2.18%
+ NEI 06/19/2012 UNICOM Systems (N/A) All Cash $63.2 million $1.45 $1.44 88,129 09/30/2012 0.69% 7.46%
+ KCP 06/06/2012 Kenneth D. Cole, Chairman and Chief Creative Officer of the Company (N/A) All Cash $245 million $15.25 $15.15 21,771 09/30/2012 0.66% 7.09%
+ PSS 05/01/2012 a consortium comprised of Wolverine Worldwide, Blum Capital Partners and Golden Gate Capital (WWW) All Cash $2 billion $21.75 $21.61 318,120 10/31/2012 0.65% 3.64%
+ EF 04/16/2012 Lee Equity Partners, LLC (N/A) All Cash $258 million $8.85 $8.81 55,973 09/30/2012 0.45% 4.87%
+ CELL 07/02/2012 Ingram Micro Inc. (IM) All Cash $840 million $9.00 $8.96 176,624 12/31/2012 0.45% 1.29%
+ PLFE 07/13/2012 Athene Annuity (N/A) All Cash $415 million $14.00 $13.94 90,273 12/31/2012 0.43% 1.25%
+ INMD 06/11/2012 Sagard Capital Partners, L.P. (N/A) All Cash $169.5 million $14.05 $13.99 16,788 11/15/2012 0.43% 1.96%
+ PCBC 03/12/2012 UnionBanCal Corp. (N/A) All Cash $1.51 billion $46.00 $45.81 6,190 12/31/2012 0.41% 1.20%
+ FSII 08/13/2012 Tokyo Electron (N/A) All Cash $252.5 million $6.20 $6.175 207,540 12/31/2012 0.40% 1.17%
+ USHS 08/07/2012 The Home Depot (HD) All Cash $93.4 million $12.50 $12.45 51,400 12/31/2012 0.40% 1.16%
+ RA 07/23/2012 Genesee & Wyoming Inc. (GWR) All Cash $1.39 billion $27.50 $27.43 150,159 09/30/2012 0.26% 2.74%
+ CONM 07/16/2012 Correct Care Solutions, LLC (N/A) All Cash $59 million $3.95 $3.94 1,204 09/30/2012 0.25% 2.72%
+ PRX 07/16/2012 an affiliate of TPG (N/A) All Cash $1.9 billion $50.00 $49.88 162,775 12/31/2012 0.24% 0.70%
+ FACE 08/13/2012 Swander Pace Capital (N/A) All Cash $65 million $4.25 $4.24 95,032 12/31/2012 0.24% 0.68%
+ IBI 05/29/2012 GS Capital Partners LP and P2 Capital Partners, LLC (N/A) All Cash $1.1 billion $25.50 $25.46 46,134 09/30/2012 0.16% 1.69%
+ QSFT 07/02/2012 Dell Inc. (DELL) All Cash $2.4 billion $28.00 $27.96 703,105 09/30/2012 0.14% 1.54%
+ SUNH 06/20/2012 Genesis HealthCare (N/A) All Cash $275 million $8.50 $8.49 393,580 09/30/2012 0.12% 1.26%
+ CRED 06/04/2012 Forestar Group Inc. (FOR) All Cash $146 million $14.50 $14.49 16,174 12/31/2012 0.07% 0.20%
+ RBN 08/09/2012 National Oilwell Varco, Inc. (NOV) All Cash $2.5 billion $60.00 $59.96 857,190 12/31/2012 0.07% 0.19%
+ NWK 06/19/2012 Sonus Networks, Inc. (SONS) All Cash $42 million $1.35 $1.35 31,100 09/30/2012 0.00% 0.00%
+ ELT 06/29/2012 Melrose PLC (N/A) All Cash $2.3 billion $20.50 $20.50 21,988 09/30/2012 0.00% 0.00%
+ CHG 02/21/2012 Fortis Inc. (N/A) All Cash $1.5 billion $65.00 $65.16 15,043 03/31/2013 -0.25% -0.41%
+ PEET 07/23/2012 Joh. A. Benckiser (N/A) All Cash $1 billion $73.50 $73.73 182,002 10/31/2012 -0.31% -1.75%
+ AUTH 07/27/2012 Apple Inc. (AAPL) All Cash $356 million $8.00 $8.10 212,814 12/31/2069 -1.23% -0.02%
+ BXG 11/14/2011 BFC Financial Corporation (BFCF) All Stock N/A $5.60 $5.81 6,767 06/30/2012 -3.61% 22.75%
+ JAX 06/25/2012 Fidelity National Financial, Inc. (FNF) All Cash $78 million $13.00 $13.53 46,396 12/31/2012 -3.92% -11.35%
+ TARO 08/13/2012 Sun Pharmaceutical (N/A) All Cash $1.45 billion $39.50 $41.83 18,592 12/31/2012 -5.57% -16.14%
+ SCMF 03/27/2012 Capital Bank Financial Corp (N/A) All Cash N/A $2.88 $3.17 1,965 09/30/2012 -9.15% -98.21%
+ WAVE 08/02/2012 AT&T, Inc. (T) All Cash $600 million $1.00 $1.28 7,070 12/31/2069 -21.88% -0.38%

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