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Merger Arbitrage Mondays – August 19, 2013

  • August 19, 2013

Merger activity increased last week with four 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:

New Deals:

  1. The acquisition of Dole Food Company (DOLE) by David H. Murdock, Dole’s Chairman and Chief Executive Officer for $1.6 billion or $13.50 per share in cash. This offer is $1.50 higher than Mr. Murdock’s prior offer of $12 per share, which was considered too low by most investors.
  2. The acquisition of Pioneer Southwest Energy Partners (PSE) by Pioneer Natural Resources Company (PXD) for $1.46 billion in an all stock deal. Under the terms of the agreement, shareholders of Pioneer Southwest Energy Partners will receive 0.2325 of a share of a common stock of Pioneer Natural Resources.
  3. The acquisition of Firstbank Corporation (FBMI) by Mercantile Bank (MBWM) for $151.5 million in an all stock deal. Under the terms of the agreement, shareholders of Firstbank Corporation will receive 1 share of Mercantile common stock for each share of Firstbank common stock. In addition, Mercantile expects to pay a special cash dividend of $2.00 per share to Mercantile shareholders prior to the closing of the merger, subject to the satisfaction of the closing conditions in the merger agreement. In order to take this $2 special dividend into account, we are going to treat this as a cash plus stock deal with a cash value of negative $2.

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