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Merger Arbitrage Mondays – February 4, 2013

  • February 3, 2013

Merger activity increased last week with eight new deals announced and three deals 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 20139
Total Number of Pending Deals
Cash Deals49
Stock Deals15
Stock & Cash Deals7
Total Number of Pending Deals71
Total Deal Size$116.22 billion

New Deals:

  1. The acquisition of Pervasive Software (PVSW) by an affiliate of Actian Corporation for $161.9 million or $9.20 per share in cash.
  2. The acquisition of Somerset Hills Bancorp (SOMH) by Lakeland Bancorp (LBAI) for $64.4 million. Under the terms of the agreement, shareholders of Somerset Hills will receive either 1.1962 shares of Lakeland Bancorp common stock or $12.00 in cash, subject to proration as described in the Merger Agreement, so that 90% of the aggregate merger consideration will be shares of Lakeland Bancorp common stock and 10% will be cash. We are treating this as an all stock deal.
  3. The acquisition of Copano Energy (CPNO) by Kinder Morgan Energy Partners (KMP) for $5 billion. Under the terms of the agreement, unitholders of Copano Energy will receive 0.4563 KMP units per Copano unit.
  4. The acquisition of Virginia Commerce Bancorp (VCBI) by United Bankshares (UBSI) for $490.6 million. Under the terms of the agreement, shareholders of Virginia Commerce will receive 0.5442 of United’s shares for each share of VCBI.
  5. The acquisition of BioClinica (BIOC) by JLL Partners, Inc. for $123 million or $7.25 per share in cash.
  6. The acquisition of Crexus Investment (CXS) by Annaly Capital Management (NLY) for $1 billion or $13.00 per share in cash.
  7. The acquisition of WMS Industries (WMS) by Scientific Games Corporation (SGMS) for $1.5 billion or $26.00 per share in cash.
  8. The acquisition of Online Resources (ORCC) by ACI Worldwide (ACIW) for $263 million or $3.85 per share in cash.

Updated Deals:

  1. On January 28, 2013, CH Energy Group and (CHG) and Fortis filed a settlement agreement. The closing of the acquisition is now expected to take place during the second quarter of 2013.

Closed Deals:

  1. The acquisition of Ralcorp Holdings (RAH) by ConAgra Foods (CAG) on January 29, 2013.
  2. The acquisition of GeoEye (GEOY) by DigitalGlobe (DGI) on January 31, 2013.
  3. The acquisition of Young Innovations (YDNT) by an affiliate of Linden Capital Partners on January 21, 2013.

Top 10 deals with largest spreads:

SymbolAnnounced

Date

Acquiring

Company

Closing

Price

Last

Price

Closing

Date

ProfitAnnualized

Profit

SOMX12/11/2012Pernix Therapeutics Holdings, Inc. (PTX)$3.48$3.0006/30/201316.00%40.00%
VRTA05/31/2012Vestin Realty Mortgage II, Inc. (VRTB)$1.26$1.1603/31/20138.86%58.81%
FMCN12/19/2012Giovanna Parent Limited (N/A)$27.50$25.5006/30/20137.84%19.61%
WSB09/10/2012Old Line Bancshares, Inc. (OLBK)$6.60$6.1606/30/20137.15%17.88%
HOGS11/26/2012Chairman and CEO Xianfu Zhu (N/A)$13.50$12.7303/31/20136.05%40.14%
OUTD11/16/2012InterMedia Outdoors Holdings, LLC (N/A)$8.00$7.5803/31/20135.54%36.77%
VCBI01/30/2013United Bankshares Inc. (UBSI)$14.07$13.3509/30/20135.42%8.31%
WMS01/31/2013Scientific Games Corporation (SGMS)$26.00$24.6912/31/20135.31%5.87%
WCBO09/26/2012Columbia Banking System, Inc. (COLB)$25.08$23.8903/31/20134.96%32.94%
CPNO01/29/2013Kinder Morgan Energy Partners, L.P. (KMP)$40.57$38.7009/30/20134.84%7.43%

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

+SOMX12/11/2012Pernix Therapeutics Holdings, Inc. (PTX)All Cash$25 million$3.48$3.0019,05506/30/201316.00%40.00%
+VRTA05/31/2012Vestin Realty Mortgage II, Inc. (VRTB)All StockN/A$1.26$1.167,30003/31/20138.86%58.81%
+FMCN12/19/2012Giovanna Parent Limited (N/A)All Cash$3.7 billion$27.50$25.50691,42106/30/20137.84%19.61%
+WSB09/10/2012Old Line Bancshares, Inc. (OLBK)All Stock$49 million$6.60$6.1619,94206/30/20137.15%17.88%
+HOGS11/26/2012Chairman and CEO Xianfu Zhu (N/A)All Cash$418 million$13.50$12.7379,55903/31/20136.05%40.14%
+OUTD11/16/2012InterMedia Outdoors Holdings, LLC (N/A)All CashN/A$8.00$7.5875,34003/31/20135.54%36.77%
+VCBI01/30/2013United Bankshares Inc. (UBSI)All Stock$490.6 million$14.07$13.35221,12109/30/20135.42%8.31%
+WMS01/31/2013Scientific Games Corporation (SGMS)All Cash1.5 billion$26.00$24.697,100,90012/31/20135.31%5.87%
+WCBO09/26/2012Columbia Banking System, Inc. (COLB)All Stock$506 million$25.08$23.8955,17403/31/20134.96%32.94%
+CPNO01/29/2013Kinder Morgan Energy Partners, L.P. (KMP)All Stock$5 billion$40.57$38.70956,01409/30/20134.84%7.43%
+NYX12/20/2012IntercontinentalExchange, Inc. (ICE)All Stock$8.2 billion$36.36$34.792,676,98012/31/20134.52%5.00%
+CYMI10/17/2012ASML Holding NV (ASML)Cash Plus Stock$2.5 billion$109.96$105.83829,16406/30/20133.90%9.75%
+RBN08/09/2012National Oilwell Varco, Inc. (NOV)All Cash$2.5 billion$60.00$57.752,078,84302/18/20133.90%101.58%
+PRWT10/30/2012AmericanWest Bank (N/A)All Cash$16.6 million$1.65$1.5912,04106/30/20133.77%9.43%
+BXG11/14/2011BFC Financial Corporation (BFCF)All Cash$150 million$10.00$9.6534,69703/31/20133.63%24.07%
+NLP12/27/2012J.D. Nichols & Brian F. Lavin (N/A)All CashN/A$7.50$7.252,42206/30/20133.45%8.62%
+SHP12/21/2012ShangPharma Holdings Limited (N/A)All Cash$173 million$9.00$8.7123,20906/30/20133.33%8.32%
+NXY07/23/2012CNOOC Ltd. (CEO)All Cash$15.1 billion$27.50$26.685,190,81403/02/20133.07%43.15%
+JEF11/12/2012Leucadia National Corp. (LUK)All Stock$3.59 billion$20.49$19.953,027,83303/31/20132.72%18.06%
+SOMH01/29/2013Lakeland Bancorp Inc. (LBAI)All Stock$64.4 million$11.72$11.4485,45609/30/20132.47%3.79%
+ECBE09/25/2012Crescent Financial Bancshares, Inc. (CRFN)All Stock$51.6 million$15.30$14.943,30003/31/20132.41%16.01%
+RVR11/15/2012Parthenon Capital Partners (N/A)All Cash$79.5 million$21.93$21.453,34103/31/20132.24%14.85%
+ARB12/18/2012Nielsen Holdings N.V. (NLSN)All CashN/A$48.00$47.00330,78503/31/20132.13%14.12%
+BCDS12/26/2012Diodes Incorporated (DIOD)All Cash$151 million$8.00$7.8456,49503/31/20132.04%13.54%
+CRBC09/13/2012FirstMerit Corporation (FMER)All Stock$912 million$20.96$20.55403,16306/30/20132.00%5.00%
+FCFC12/21/2012Varde Partners Inc. (N/A)All Cash$225 million$10.00$9.8318,49306/30/20131.73%4.32%
+ANNB10/23/2012F.N.B. Corporation (FNB)All Stock$51 million$13.51$13.3024,50004/30/20131.58%6.79%
+ALNC10/08/2012NBT Bancorp Inc. (NBTB)All Stock$233.4 million$45.63$45.074,92606/30/20131.24%3.09%
+IN12/10/2012Honeywell International Inc. (HON)All Cash$600 million$10.00$9.897,119,23306/30/20131.11%2.78%
+GNOM09/17/2012BGI-Shenzhen (N/A)All Cash$117.6 million$3.15$3.12143,22301/25/20130.96%0.00%
+KSWS01/17/2013E. Land (N/A)All Cash$170 million$4.75$4.705378,82706/30/20130.96%2.39%
+ZZ09/27/2012Tempur-Pedic International Inc. (TPX)All Cash$1.3 billion$2.20$2.18337,83006/30/20130.92%2.29%
+ROMA12/19/2012Investors Bancorp Inc. (ISBC)All Stock$113.5 million$15.50$15.3713,42306/30/20130.83%2.07%
+KCG12/19/2012GETCO Holding Company (N/A)All Cash$1.4 billion$3.75$3.721,401,83906/30/20130.81%2.02%
+CYBI10/17/2012UM Holdings, Ltd. (N/A)All CashN/A$2.55$2.537,74703/31/20130.79%5.25%
+ORCC01/31/2013ACI Worldwide, Inc. (ACIW)All Cash$263 million$3.85$3.82864,14603/31/20130.79%5.21%
+BTFG05/29/2012Trustmark Corporation (TRMK)All Stock$55.4 million$2.93$2.914,35602/28/20130.77%11.76%
+MAPP01/22/2013Allergan Inc. (AGN)All Cash$958 million$25.00$24.83914,26206/30/20130.68%1.71%
+YMI12/12/2012Gilead Sciences Inc. (GILD)All Cash$510 million$2.95$2.93270,79203/31/20130.68%4.53%
+CASC10/22/2012Toyota Industries Corporation (N/A)All Cash$759 million$65.00$64.5940,40202/28/20130.63%9.65%
+HCBK08/27/2012M&T Bank Corporation (MTB)All Stock$3.7 billion$8.73$8.683,725,65703/31/20130.60%4.01%
+PVSW01/28/2013an affiliate of Actian Corporation (N/A)All Cash$161.9 million$9.20$9.1544,64606/30/20130.55%1.37%
+EPOC01/07/2013athenahealth, Inc. (ATHN)All Cash$293 million$11.75$11.69168,99204/30/20130.51%2.20%
+SHAW07/30/2012Chicago Bridge & Iron Company (CBI)Cash Plus Stock$3 billion$47.60$47.36656,71603/31/20130.51%3.40%
+RTLX11/28/2012NCR Corp. (NCR)All Cash$660 million$30.00$29.866,77403/31/20130.47%3.11%
+ASCA12/21/2012Pinnacle Entertainment Inc. (PNK)All Cash$2.8 billion$26.50$26.38896,80109/30/20130.45%0.70%
+PXP12/05/2012Freeport-McMoRan Copper & Gold Inc. (FCX)Cash Plus Stock$6.9 billion$48.34$48.121,098,32906/30/20130.45%1.12%
+CVH08/20/2012Aetna Inc. (AET)Cash Plus Stock$7.3 billion$46.13$45.95974,28406/30/20130.40%1.00%
+ALTE12/19/2012Markel Corp. (MKL)Cash Plus Stock$3.13 billion$30.64$30.53693,44406/30/20130.36%0.90%
+TNS12/11/2012an Affiliate of Siris Capital Group (N/A)All Cash$862 million$21.00$20.94267,13503/31/20130.29%1.90%
+SBX08/28/2012Enstar Group Limited (ESGR)All Cash$249 million$11.11$11.08114,68003/31/20130.27%1.80%
+WRC10/31/2012PVH Corp. (PVH)Cash Plus Stock$2.9 billion$72.93$72.74360,61003/31/20130.26%1.76%
+PSSI10/25/2012McKesson Corporation (MCK)All Cash$2.1 billion$29.00$28.93738,10603/31/20130.24%1.61%
+SEH10/24/2012PolyOne Corporation (POL)Cash Plus Stock$393 million$9.84$9.83103,28503/31/20130.13%0.89%
+ZIP01/02/2013Avis Budget Group, Inc. (CAR)All Cash$500 million$12.25$12.24538,03004/30/20130.08%0.35%
+ELOQ12/20/2012Oracle Corporation (ORCL)All Cash$871 million$23.50$23.49128,11806/30/20130.04%0.11%
+CHG02/21/2012Fortis Inc. (N/A)All Cash$1.5 billion$65.00$65.0078,36006/30/20130.00%0.00%
+EPHC12/06/2012TD Bank Group (N/A)All Cash$668 million$28.00$28.0064,47906/30/20130.00%0.00%
+BOX01/22/2013Ontario Teachers’ Pension Plan (N/A)All Cash$467 million$23.00$23.0063,33406/30/20130.00%0.00%
+BIOC01/30/2013a holding company controlled by JLL Partners, Inc. (N/A)All Cash$123 million$7.25$7.26150,53803/31/2013-0.14%-0.91%
+KYAK11/08/2012priceline.com Incorporated (PCLN)All Cash$1.65 billion$40.00$40.3063,25703/31/2013-0.74%-4.94%
+FCAL11/06/2012PacWest Bancorp (PACW)All Cash$231 million$8.00$8.08235,81903/31/2013-0.99%-6.57%
+WWAY12/20/2012EQT Infrastructure II (N/A)All Cash$419 million$6.70$6.80N/A03/31/2013-1.47%-9.76%
+DUF12/30/2012a consortium comprising controlled affiliates of or funds managed by The Carlyle Group, Stone Point Capital LLC, Pictet & Cie and Edmond de Rothschild Group (N/A)All Cash$665.5 million$15.55$15.83230,18906/30/2013-1.77%-4.42%
+CXS01/31/2013Annaly Capital Management, Inc. (NLY)All Cash$1 billion$13.00$13.303,967,54604/30/2013-2.26%-9.69%
+ES01/07/2013a subsidiary of Energy Capital Partners II, LLC (N/A)All Cash$1.1 billion$3.75$3.86654,75506/30/2013-2.85%-7.12%
+KBW11/05/2012Stifel Financial Corp. (SF)All Cash$575 million$15.50$16.13132,90303/31/2013-3.91%-25.92%
+CLWR12/17/2012Sprint Nextel Corp. (S)All Cash$2.2 billion$2.97$3.198,266,33603/31/2013-6.90%-45.77%
+MMR12/05/2012Freeport-McMoRan Copper & Gold Inc. (FCX)All Cash3.4 billion$14.75$16.054,783,61306/30/2013-8.10%-20.25%
+TARO08/13/2012Sun Pharmaceutical (N/A)All Cash$1.45 billion$39.50$48.768,39503/31/2013-18.99%-126.03%
+WAVE08/02/2012AT&T, Inc. (T)All Cash$600 million$1.00$1.44N/A03/31/2013-30.56%-202.78%

Voluntary Disclosure: I hold a long position in CYBI.