Merger Arbitrage Mondays – September 16, 2013

Merger activity decreased last week with three new deals announced and one 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 2013 112
Total Number of Deals Not Completed in 2013 2
Total Number of Pending Deals
Cash Deals 55
Stock Deals 19
Stock & Cash Deals 7
Total Number of Pending Deals 81
Total Deal Size $337.99 billion

New Deals:

  1. The acquisition of Molex Incorporated (MOLX) by Koch Industries for $7.2 billion or $38.50 per share in cash.
  2. The acquisition of Tower Financial Corporation (TOFC) by Old National Bancorp (ONB) for $107.7 million in a cash plus stock deal. Under the terms of the agreement, shareholders of Tower Financial Corporation will receive 1.20 shares of Old National Bancorp common stock and $6.75 in cash for each share of Tower Financial common stock. The exchange ratio is subject to adjustment (calculated prior to closing) in the event shareholders’ equity of Tower Financial Corporation is below a specified amount.
  3. The acquisition of Sterling Financial Corporation (STSA) by Umpqua Holdings Corporation (UMPQ) for $2 billion in a cash plus stock deal. Under the terms of the agreeement, shareholders of Sterling Financial Corporation will receive 1.671 shares of Umpqua common stock and $2.18 cash for each share of Sterling common stock.

Closed Deals:

  1. The acquisition of STEC, Inc. (STEC) by Western Digital Corporation (WDC) on September 12, 2013. It took 80 days for this deal to be completed.

Top 10 deals with largest spreads:

Symbol Announced

Date

Acquiring

Company

Closing

Price

Last

Price

Closing

Date

Profit Annualized

Profit

NLP 12/27/2012 J.D. Nichols & Brian F. Lavin (N/A) $7.50 $5.03 09/30/2013 49.11% 1280.25%
WH 02/21/2013 WSP OCTG GROUP Ltd. (N/A) $3.20 $2.67 12/31/2013 19.85% 68.35%
ISS 06/06/2013 Mr. Tianwen Liu, the Company’s CEO and the chairman of its Board of Directors, and ChinaAMC Capital Management Limited (N/A) $5.85 $4.95 09/30/2013 18.18% 474.03%
NYX 12/20/2012 IntercontinentalExchange, Inc. (ICE) $46.59 $41.82 12/31/2013 11.42% 39.31%
EVAC 08/19/2013 Atlas Copco Group (N/A) $10.50 $9.91 03/31/2014 5.95% 11.09%
MFLR 05/14/2013 Independent Bank Corp. (INDB) $20.22 $19.16 12/31/2013 5.54% 19.07%
CTB 06/12/2013 Apollo Tyres Ltd (N/A) $35.00 $33.22 12/31/2013 5.36% 18.45%
HWG 06/05/2013 Hallwood Financial Limited (N/A) $10.00 $9.51 09/30/2013 5.15% 134.33%
HCBK 08/27/2012 M&T Bank Corporation (MTB) $9.41 $9.03 01/31/2014 4.16% 11.08%
BCSB 06/14/2013 F.N.B. Corporation (FNB) $25.17 $24.19 12/31/2013 4.04% 13.92%

List of all pending deals:

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


Comments are closed.