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Merger Arbitrage Mondays – September 23, 2013

  • September 23, 2013

Merger activity increased last week with four new deals announced and three 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 2013116
Total Number of Deals Not Completed in 20132
Total Number of Pending Deals
Cash Deals54
Stock Deals19
Stock & Cash Deals7
Total Number of Pending Deals80
Total Deal Size$339.99 billion

New Deals:

  1. The acquisition of Boise (BZ) by Packaging Corporation of America (PKG) for $1.995 billion or $12.55 per share in cash.
  2. The acquisition of Cornerstone Therapeutics (CRTX) by Chiesi Farmaceutici for $9.50 per share in cash.
  3. The acquisition of Camelot Information Systems (CIS) by Camelot Employee Scheme (Parent) for $2.05 per American Depositary Shares, each representing four (4) Shares (an “ADS”).
  4. The acquisition of Metrocorp Bancshares (MCBI) by East West Bancorp (EWBC) for $273 million. Under the terms of the definitive agreement, East West will acquire the outstanding shares of MetroCorp for the lesser of $14.60 per share and 1.72 times the per share tangible equity, as adjusted, for an aggregate purchase price of approximately $273 million based on the 18,699,638 shares currently outstanding. The shareholders of MetroCorp will receive two thirds of the merger consideration in shares of East West common stock and the remainder in cash. The exchange ratio for determining the number of shares of East West common stock deliverable to shareholders of MetroCorp will be based on the weighted average closing price of East West’s common stock over a 60 trading day measurement period ending five days prior to the closing.

Closed Deals:

  1. The acquisition of Intermec (IN) by Honeywell International (HON) on September 17, 2013. It took 281 days for this deal to be completed.
  2. The acquisition of MEMSIC, Inc. (MEMS) by IDG-Accel China Capital II, L.P. on September 17, 2013.  It took 147 days for this deal to be completed.
  3. The acquisition of Steinway Musical Instruments (LVB) by Kohlberg & Company on September 19, 2013. It took 80 days for this deal to be completed.

Top 10 deals with largest spreads:

SymbolAnnounced

Date

Acquiring

Company

Closing

Price

Last

Price

Closing

Date

ProfitAnnualized

Profit

NLP12/27/2012J.D. Nichols & Brian F. Lavin (N/A)$7.50$4.6509/30/201361.29%3195.85%
WH02/21/2013WSP OCTG GROUP Ltd. (N/A)$3.20$2.6612/31/201320.30%74.85%
ISS06/06/2013Mr. Tianwen Liu, the Company’s CEO and the chairman of its Board of Directors, and ChinaAMC Capital Management Limited (N/A)$5.85$5.0009/30/201317.00%886.43%
CTB06/12/2013Apollo Tyres Ltd (N/A)$35.00$30.9412/31/201313.12%48.38%
NYX12/20/2012IntercontinentalExchange, Inc. (ICE)$47.01$42.0312/31/201311.84%43.66%
CIS09/18/2013Camelot Employee Scheme Inc. (N/A)$2.05$1.9101/15/20147.33%23.47%
EVAC08/19/2013Atlas Copco Group (N/A)$10.50$9.9103/31/20145.95%11.50%
MFLR05/14/2013Independent Bank Corp. (INDB)$20.31$19.3012/31/20135.24%19.33%
STSA09/11/2013Umpqua Holdings Corporation (UMPQ)$29.22$28.1806/30/20143.68%4.80%
HCBK08/27/2012M&T Bank Corporation (MTB)$9.37$9.05501/31/20143.50%9.83%

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

+NLP12/27/2012J.D. Nichols & Brian F. Lavin (N/A)All CashN/A$7.50$4.6510,47009/30/201361.29%3195.85%
+WH02/21/2013WSP OCTG GROUP Ltd. (N/A)All Cash$893.6 million$3.20$2.667,40012/31/201320.30%74.85%
+ISS06/06/2013Mr. Tianwen Liu, the Company’s CEO and the chairman of its Board of Directors, and ChinaAMC Capital Management Limited (N/A)All CashN/A$5.85$5.00561,84409/30/201317.00%886.43%
+CTB06/12/2013Apollo Tyres Ltd (N/A)All Cash$2.5 billion$35.00$30.941,428,55012/31/201313.12%48.38%
+NYX12/20/2012IntercontinentalExchange, Inc. (ICE)All Stock$8.2 billion$47.01$42.032,178,27012/31/201311.84%43.66%
+CIS09/18/2013Camelot Employee Scheme Inc. (N/A)All CashN/A$2.05$1.91533,97701/15/20147.33%23.47%
+EVAC08/19/2013Atlas Copco Group (N/A)All Cash$1.6 billion$10.50$9.911,73403/31/20145.95%11.50%
+MFLR05/14/2013Independent Bank Corp. (INDB)All Stock$37.2 million$20.31$19.3035812/31/20135.24%19.33%
+STSA09/11/2013Umpqua Holdings Corporation (UMPQ)Cash Plus Stock$2.0 billion$29.22$28.181,430,43506/30/20143.68%4.80%
+HCBK08/27/2012M&T Bank Corporation (MTB)All Stock$3.7 billion$9.37$9.0554,207,82001/31/20143.50%9.83%
+CSE07/22/2013PacWest Bancorp (PACW)Cash Plus Stock$2.3 billion$12.14$11.775,216,44203/31/20143.15%6.09%
+ASIA05/13/2013CITIC Capital Partners (N/A)All Cash$890 million$12.00$11.64240,86009/30/20133.09%161.27%
+TOFC09/10/2013Old National Bancorp. (ONB)Cash Plus Stock$107.7 million$23.62$22.9239,03403/31/20143.06%5.91%
+RUE05/23/2013Apax Partners (N/A)All Cash$1.1 billion$42.00$40.86865,23612/31/20132.79%10.29%
+SHFL07/16/2013Bally Technologies, Inc. (BYI)All Cash$1.3 billion$23.25$22.651,301,20206/15/20142.65%3.65%
+HWG06/05/2013Hallwood Financial Limited (N/A)All CashN/A$10.00$9.753,69009/30/20132.56%133.70%
+CITZ05/13/2013First Merchants Corporation (FRME)All Stock114.7 million$11.15$10.889,93612/31/20132.52%9.28%
+TPGI09/05/2013Parkway Properties Inc. (PKY)All Stock$1.2 billion$6.60$6.45377,50512/31/20132.28%8.39%
+SCR08/28/2013Simcere Holding Limited (N/A)All Cash$495 million$9.66$9.4567,89612/31/20132.22%8.19%
+SPRD07/12/2013Tsinghua Unigroup Ltd. (N/A)All Cash$1.78 billion$31.00$30.33326,31209/30/20132.21%115.19%
+BCSB06/14/2013F.N.B. Corporation (FNB)All Stock$79 million$25.25$24.722,26012/31/20132.15%7.92%
+OMX02/20/2013Office Depot, Inc. (ODP)All Stock$1.17 billion$11.49$11.283,507,11912/31/20131.83%6.74%
+LIFE04/15/2013Thermo Fisher Scientific, Inc. (TMO)All Cash$13.6 billion$76.00$74.912,090,37801/31/20141.46%4.09%
+GCOM08/26/2013an affiliate of Wasserstein & Co. (N/A)All Cash$340 million$14.15$13.95397,73212/31/20131.43%5.29%
+CRTX09/16/2013Chiesi Farmaceutici (N/A)All CashN/A$9.50$9.38198,80003/31/20141.28%2.47%
+STEL06/10/2013Union First Market Bankshares Corporation (UBSH)All Stock$445.1 million$22.53$22.2568,74701/01/20141.24%4.53%
+ELN07/29/2013Perrigo Company (PRGO)Cash Plus Stock$8.6 billion$15.79$15.603,738,96612/31/20131.24%4.57%
+VCBI01/30/2013United Bankshares Inc. (UBSI)All Stock$490.6 million$15.57$15.3888,90909/30/20131.23%64.27%
+HITK08/27/2013Akorn, Inc. (AKRX)All Cash$640 million$43.50$43.00245,53703/31/20141.16%2.25%
+NVE05/29/2013MidAmerican Energy Holdings Company (N/A)All Cash$10 billion$23.75$23.493,674,70903/31/20141.11%2.14%
+LPS05/28/2013Fidelity National Financial, Inc. (FNF)All Cash$2.9 billion$33.25$32.891,025,12412/31/20131.09%4.04%
+PVFC02/19/2013F.N.B. Corporation (FNB)All Stock$106.4 million$4.13$4.0914,08009/30/20131.07%55.67%
+MPG04/25/2013Affiliate of Brookfield Office Properties Inc. (N/A)All CashN/A$3.15$3.12575,83809/30/20130.96%50.14%
+STEI05/29/2013Service Corp. International (SCI)All Cash$1.4 billion$13.25$13.13674,93109/30/20130.91%47.66%
+ROMA12/19/2012Investors Bancorp Inc. (ISBC)All Stock$113.5 million$19.13$18.9624,27606/30/20130.91%0.00%
+STL04/04/2013Provident New York Bancorp (PBNY)All Stock$344 million$13.42$13.30377,27112/31/20130.91%3.34%
+ARB12/18/2012Nielsen Holdings N.V. (NLSN)All CashN/A$48.00$47.601,480,19209/30/20130.84%43.82%
+NAFC07/22/2013Spartan Stores Inc. (SPTN)All Stock$1.3 billion$26.62$26.4577,68212/31/20130.63%2.31%
+LSE05/28/2013American Realty Capital Properties, Inc. (ARCP)All Cash$2.2 billion$8.50$8.451,246,87409/30/20130.59%30.85%
+CLP06/03/2013Mid-America Apartment Communities Inc. (MAA)All Stock$8.6 billion$22.82$22.691,387,49309/30/20130.57%29.97%
+TMS08/26/2013The Pritzger Organization (N/A)All Cash$1 billion$17.50$17.41133,41712/31/20130.52%1.91%
+HTSI07/09/2013The Kroger Co. (KR)All Cash$2.5 billion$49.38$49.15922,51512/31/20130.47%1.73%
+ANLY08/28/2013ACS Motion Control, Ltd. (ACSEF)All Cash$35 million$6.45$6.4212,76812/31/20130.47%1.72%
+TGX08/05/2013Juniper Investment Company, LLC (N/A)All CashN/A$2.20$2.1957,52212/31/20130.46%1.68%
+ROCM09/04/2013C. R. Bard (N/A)All Cash$262 million$20.00$19.91104,55712/31/20130.45%1.67%
+ONXX08/25/2013Amgen Inc. (AMGN)All Cash$10.4 billion$125.00$124.492,423,50910/31/20130.41%3.94%
+CMLP05/06/2013Inergy Midstream (NRGM)Cash Plus StockN/A$25.00$24.9088,31909/30/20130.39%20.52%
+WMS01/31/2013Scientific Games Corporation (SGMS)All Cash1.5 billion$26.00$25.90371,18812/31/20130.39%1.42%
+CXPO04/30/2013Contango Oil & Gas Company (MCF)All Stock$390 million$3.05$3.0469,17709/30/20130.38%19.97%
+SKS07/29/2013Hudson’s Bay Company (N/A)All Cash$2.9 billion$16.00$15.943,056,18112/31/20130.38%1.39%
+NTSC08/16/2013Aurora Capital Group (N/A)All CashN/A$23.00$22.9281,15212/31/20130.35%1.29%
+BZ09/16/2013Packaging Corporation of America (PKG)All Cash$1.995 billion$12.55$12.532,025,76012/31/20130.16%0.59%
+FIRE07/23/2013Cisco Systems, Inc. (CSCO)All Cash$2.7 billion$76.00$75.88914,99712/31/20130.16%0.58%
+BKR07/29/2013Integrated Mission Solutions LLC (N/A)All Cash$391.6 million$40.50$40.4450,73410/31/20130.15%1.43%
+TAYC07/15/2013MB Financial Inc. (MBFI)Cash Plus Stock$680 million$21.88$21.85100,64606/30/20140.14%0.18%
+VLTR08/15/2013Maxim Integrated Products, Inc. (MXIM)All Cash$605 million$23.00$22.97292,46010/31/20130.13%1.25%
+SFD05/29/2013Shuanghui International (N/A)All Cash$7.1 billion$34.00$33.967,705,83312/31/20130.12%0.43%
+FCFC12/21/2012Varde Partners Inc. (N/A)All Cash$225 million$10.00$9.99N/A06/30/20130.10%0.00%
+VHS06/24/2013Tenet Healthcare Corp. (THC)All Cash$4.3 billion$21.00$20.98480,66912/31/20130.10%0.35%
+MFB07/24/2013Hanesbrands Inc. (HBI)All Cash$575 million$23.50$23.48164,94912/31/20130.09%0.31%
+KDN09/05/2013AB SKF (N/A)All Cash$1.25 billion$35.50$35.501,247,48612/31/20130.00%0.00%
+ASTX09/05/2013Otsuka Pharmaceutical Co., Ltd. (N/A)All Cash$886 million$8.50$8.524,104,71511/15/2013-0.23%-1.62%
+FBMI08/15/2013Mercantile Bank Corp. (MBWM)Cash Plus Stock$151.5 million$18.55$18.6514,43003/31/2014-0.54%-1.04%
+MOLX09/09/2013Koch Industries, Inc. (N/A)All Cash$7.2 billion$38.50$38.711,961,28912/31/2013-0.54%-2.00%
+ALCS07/25/2013Argonne Capital Group LLC (N/A)All Cash$47 million$14.00$14.093,93212/31/2013-0.64%-2.35%
+PSE08/12/2013Pioneer Natural Resources Company (PXD)All Stock$1.46 billion$42.49$42.8348,27412/31/2013-0.80%-2.95%
+BLC06/13/2013Gannett Co., Inc. (GCI)All Cash$2.2 billion$13.75$13.875,394,15312/31/2013-0.87%-3.19%
+DELL02/05/2013Michael Dell, Dell�s Founder, Chairman and Chief Executive Officer, in partnership with global technology investment firm Silver Lake (N/A)All Cash$24.4 billion$13.75$13.8814,528,17209/15/2013-0.94%42.73%
+TSRX07/30/2013Cubist Pharmaceuticals Inc. (CBST)All Cash$707 million$13.50$13.63N/A12/31/2013-0.95%-3.52%
+DOLE08/12/2013David H. Murdock, Dole�s Chairman and Chief Executive Officer (N/A)All Cash$1.6 billion$13.50$13.661,241,19012/31/2013-1.17%-4.32%
+WCRX05/20/2013Actavis, Inc. (ACT)All Stock$8.5 billion$21.68$22.063,878,92612/31/2013-1.72%-6.35%
+ASI06/03/2013Fairfax Financial Holdings Limited (N/A)All Cash$306 million$29.25$30.15146,84112/31/2013-2.99%-11.01%
+LEAP07/12/2013AT&T, Inc. (T)All Cash$1.19 billion$15.00$15.781,999,90203/31/2014-4.94%-9.55%
+MPAC04/11/2013Kevin T. Keane, Chairman of the Company, and Daniel G. Keane, President and Chief Executive Officer of the Company (N/A)All CashN/A$8.40$9.151,19406/30/2013-8.20%35.20%
+LEDR05/08/2013Trulia, Inc. (TRLA)All Cash$355 million$11.33$12.66N/A09/30/2013-10.51%-547.79%
+BRY02/21/2013LinnCo, LLC (LNCO)All Stock$4.3 billion$36.30$42.56574,47409/30/2013-14.71%-766.95%
+OPTR07/30/2013Cubist Pharmaceuticals Inc. (CBST)All Cash$535 million$10.75$12.711,910,12212/31/2013-15.42%-56.85%
+MEAD05/17/2013Jinghua Optics & Electronics Co., Ltd. (N/A)All Cash$4.5 million$3.45$4.52N/A09/30/2013-23.67%-1234.36%
+VRTA05/31/2012Vestin Realty Mortgage II, Inc. (VRTB)All StockN/A$1.43$1.904,26603/31/2013-24.91%51.65%
+WAVE08/02/2012AT&T, Inc. (T)All Cash$600 million$1.00$1.44N/A03/31/2013-30.56%63.37%