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Merger Arbitrage Mondays – May 26, 2014

  • May 25, 2014

Merger Activity declined with two new mergers 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 201466
Total Number of Pending Deals
Cash Deals39
Stock Deals17
Stock & Cash Deals10
Total Number of Pending Deals66
Total Deal Size$301.65 billion

New Deals:

  1. The acquisition of Charm Communications (CHRM) by Engadin Parent Limited in a going private transaction. Under the terms of the agreement, shareholders of Charm Communications will receive US$4.70 in cash per American Depositary Share of the Company (“ADS”, each ADS representing two Class A ordinary shares of the Company).
  2. The acquisition of Aeroflex Holding (ARX) by Cobham plc for $1.46 billion or $10.50 per share in cash.

Closed Deals:

  1. The acquisition of Home Federal Bancorp (HOME) by Cascade Bancorp (CACB) on May 19, 2014. It took 208 days for this deal to be completed.
  2. The acquisition of UNS Energy Corporation (UNS) by Fortis on May 21, 2014. It took 161 days for this deal to be completed.
  3. The acquisition of Pepco Holdings (POM) by Exelon Corporation (EXC) on May 22, 2014. It took 22 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

WH02/21/2013WSP OCTG GROUP Ltd. (N/A)$3.20$2.1905/31/201446.12%3366.67%
CHTP05/08/2014H. Lundbeck A/S (N/A)$7.94$6.56509/30/201420.94%60.19%
OVRL05/15/2014Sphere 3D Corporation (SPIHF)$4.22$3.5109/30/201420.30%58.35%
SYNM12/17/2013Renewable Energy Group, Inc. (REGI)$4.36$3.7903/31/201415.07%-98.25%
DTV05/18/2014AT&T, Inc. (T)$95.00$83.5905/31/201513.65%13.47%
LIN03/22/2014Media General, Inc. (MEG)$27.82$24.6303/31/201512.95%15.30%
TWGP01/06/2014ACP Re Ltd. (N/A)$2.50$2.2211/15/201412.61%26.61%
RDA11/11/2013Tsinghua Unigroup Ltd. (N/A)$18.50$16.6406/30/201411.18%116.57%
QCOR04/07/2014Mallinckrodt plc (MNK)$101.02$91.2009/30/201410.77%30.96%
DCIN05/15/2014Carmike Cinemas Inc. (CKEC)$5.85$5.3109/30/201410.24%29.44%

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

+WH02/21/2013WSP OCTG GROUP Ltd. (N/A)All Cash$893.6 million$3.20$2.1941,95005/31/201446.12%3366.67%
+CHTP05/08/2014H. Lundbeck A/S (N/A)All Cash$658 million$7.94$6.5651,808,98109/30/201420.94%60.19%
+OVRL05/15/2014Sphere 3D Corporation (SPIHF)All Stock$81.13 million$4.22$3.51156,08009/30/201420.30%58.35%
+SYNM12/17/2013Renewable Energy Group, Inc. (REGI)All StockN/A$4.36$3.7970,80303/31/201415.07%0.00%
+DTV05/18/2014AT&T, Inc. (T)All Cash$48.5 billion$95.00$83.597,391,61505/31/201513.65%13.47%
+LIN03/22/2014Media General, Inc. (MEG)All Cash$2.6 billion$27.82$24.63378,52103/31/201512.95%15.30%
+TWGP01/06/2014ACP Re Ltd. (N/A)All Cash$172.1$2.50$2.22304,33011/15/201412.61%26.61%
+RDA11/11/2013Tsinghua Unigroup Ltd. (N/A)All Cash$910 million$18.50$16.6491,18806/30/201411.18%116.57%
+QCOR04/07/2014Mallinckrodt plc (MNK)Cash Plus Stock$5.6 billion$101.02$91.20951,45609/30/201410.77%30.96%
+DCIN05/15/2014Carmike Cinemas Inc. (CKEC)All StockN/A$5.85$5.31316,58109/30/201410.24%29.44%
+EDS12/02/2013Pan Long Company Limited (N/A)All Cash$60.1 million$1.78$1.6216,98503/31/20149.88%0.00%
+NICK12/18/2013an indirect wholly-owned subsidiary of Prospect Capital Corporation (“Prospect”) (N/A)All Cash$340 million$16.00$14.5759,93706/12/20149.81%210.73%
+PF05/12/2014The Hillshire Brands Company (HSH)Cash Plus Stock$4.3 billion$36.51$33.272,727,88409/30/20149.74%27.99%
+TWC02/13/2014Comcast Corporation (CMCSA)All Stock$45.2 billion$149.41$141.28864,33112/31/20145.76%9.60%
+SWY03/06/2014AB Acquisition LLC (N/A)All CashN/A$36.15$34.241,348,47112/31/20145.58%9.30%
+FFKY04/22/2014Community Bank Shares of Indiana Inc. (CBIN)All Stock$17.9 million$3.90$3.70812/31/20145.45%9.08%
+CHRM05/19/2014Engadin Parent Limited (N/A)All CashN/A$4.70$4.4733,00109/30/20145.15%14.79%
+FFCO04/14/2014CB Financial Services, Inc. (CBFV)All Stock54.5 million$22.88$21.85N/A11/15/20144.71%9.93%
+FUBC05/08/2014Valley National Bancorp (VLY)All Stock$312 million$8.67$8.30152,84710/31/20144.44%10.26%
+HCBK08/27/2012M&T Bank Corporation (MTB)All Stock$3.7 billion$10.18$9.801,070,98112/31/20143.90%6.50%
+PTEK04/30/2014Multimedia Games, Inc. (N/A)All CashN/A$1.35$1.306,85012/31/20143.85%6.41%
+FWLT02/13/2014AMEC PLC (AMCBF)Cash Plus Stock$3.3 billion$34.67$33.50244,42412/31/20143.50%5.83%
+EQU12/09/2013Petroflow Energy Corporation (N/A)All Cash$230 million$5.43$5.25184,20907/31/20143.43%18.96%
+OBAF04/08/2014F.N.B. Corporation (FNB)All Stock$94 million$21.85$21.1520309/30/20143.32%9.55%
+SPBC05/05/2014Green Bank (N/A)All Cash$46.2 million$29.55$28.6524,25909/30/20143.14%9.03%
+NINE01/29/2014Ninetowns Holdings Limited (“Parent”) (N/A)All CashN/A$1.80$1.754,55306/30/20142.86%29.80%
+SUSS04/28/2014Energy Transfer Partners, L.P. (ETP)All Stock$1.8 billion$80.99$78.91126,85909/30/20142.63%7.56%
+CHC01/13/2014CPT Wyndham Holdings Ltd. (N/A)All CashN/A$3.51$3.42223,74006/30/20142.63%27.44%
+NED04/02/2014Rainbow Education Holding Limited (N/A)All CashN/A$2.85$2.7819,87608/15/20142.52%11.35%
+OABC04/29/2014Southside Bancshares Inc. (SBSI)Cash Plus Stock$307 million$24.62$24.05108,26912/31/20142.39%3.98%
+NTS10/21/2013Tower Three Partners LLC (N/A)All Cash$83 million$2.00$1.9669,20003/31/20142.04%0.00%
+GA03/16/2014Giant Investment Limited (�Parent�) and Giant Merger Limited (N/A)All Cash$3 billion$12.00$11.79788,50312/31/20141.78%2.97%
+HAST03/17/2014Affiliate of Joel Weinshanker (N/A)All Cash$21.4 million$3.00$2.951,67806/30/20141.69%17.68%
+DLLR04/02/2014affiliate of Lone Star Funds (N/A)All Cash$1.3 billion$9.50$9.38194,99409/30/20141.28%3.68%
+JFBI01/23/2014HomeTrust Bancshares, Inc. (HTBI)All Cash$51.2 million$8.00$7.9012,63606/30/20141.27%13.20%
+FRX02/18/2014Actavis plc (ACT)Cash Plus Stock$25 billion$96.71$95.571,076,58206/30/20141.20%12.47%
+CBEY04/21/2014Birch Communications, Inc. (N/A)All Cash$323 million$9.97$9.87228,04010/31/20141.01%2.34%
+TQNT02/24/2014RF Micro Devices Inc. (RFMD)All Stock$1.6 billion$15.83$15.674,938,91112/31/20141.01%1.69%
+ICH10/28/2013RCS Capital Corporation (N/A)All Cash$52.5 million$7.25$7.185403/31/20140.97%0.00%
+NOVB01/21/2014TriCo Bancshares (TCBK)All Stock$178.4 million$21.83$21.6310,61506/30/20140.92%9.54%
+YONG04/09/2014Full Alliance International Limited (N/A)All Cash$339 million$7.10$7.04116,91909/30/20140.85%2.45%
+JOSB03/11/2014The Men’s Wearhouse, Inc. (MW)All Cash$1.8 billion$65.00$64.57138,75406/30/20140.67%6.94%
+PACR01/06/2014XPO Logistics, Inc. (XPO)All Cash$296 million$9.00$8.96N/A06/30/20140.45%4.66%
+AMAP04/11/2014affiliate of Alibaba Group Holding Limited (“Alibaba”) (N/A)All Cash$1.5 billion$21.00$20.91421,48809/30/20140.43%1.24%
+DFZ05/02/2014Mill Road Capital (N/A)All Cash$215 million$19.00$18.9224,86409/30/20140.42%1.22%
+TSH01/13/2014IberiaBank Corp. (IBKC)All Stock$161 million$72.43$72.161,92906/30/20140.37%3.87%
+EPL03/12/2014Energy XXI (Bermuda) Limited (EXXI)Cash Plus Stock$2.3 billion$37.86$37.72243,97906/30/20140.37%3.85%
+ESC02/20/2014Brookdale Senior Living Inc. (BKD)All Stock$2.8 billion$31.45$31.34375,11809/30/20140.34%0.96%
+ANLY08/28/2013ACS Motion Control, Ltd. (ACSEF)All Cash$35 million$6.45$6.44N/A12/31/20130.16%0.00%
+TXI01/28/2014Martin Marietta Materials Inc. (MLM)All Stock$2.7 billion$86.60$86.4773,13006/30/20140.15%1.62%
+TAYC07/15/2013MB Financial Inc. (MBFI)Cash Plus Stock$680 million$21.34$21.3143,56406/30/20140.14%1.47%
+MKTG12/20/2013Oracle Corporation (ORCL)All Cash$1.5 billion$27.00$26.98N/A06/30/20140.07%0.77%
+VOCS04/07/2014GTCR Valor Merger Sub, Inc., an affiliate of GTCR LLC (N/A)All Cash$446.5 million$18.00$17.99250,31106/30/20140.06%0.58%
+ZIGO04/11/2014AMETEK, Inc. (AME)All Cash$280 million$19.25$19.2443,12206/30/20140.05%0.54%
+SGK03/17/2014Matthews International Corporation (MATW)Cash Plus Stock$577 million$20.10$20.10118,14709/30/20140.01%0.04%
+ARX05/20/2014Cobham plc (N/A)All Cash$1.46 billion$10.50$10.53729,96109/30/2014-0.28%-0.82%
+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$5.45$5.4852,46809/30/2014-0.55%-1.57%
+ARTC02/03/2014Smith & Nephew (N/A)All Cash$1.7 billion$48.25$48.58151,70606/30/2014-0.68%-7.08%
+SWS04/01/2014Hilltop Holdings Inc. (HTH)Cash Plus Stock$260 million$6.98$7.04168,55312/31/2014-0.83%-1.38%
+CNOB01/21/2014Center Bancorp, Inc. (CNBC)All Stock$243 million$48.05$48.503,11709/30/2014-0.93%-2.68%
+VSB01/27/2014Yadkin Financial Corporation (YDKN)All Stock$299 million$5.91$6.0768,69206/30/2014-2.65%-27.60%
+NDZ03/28/2014Sterigenics (N/A)All Cash$727 million$11.75$12.14115,72912/31/2014-3.21%-5.35%
+ZLC02/19/2014Signet Jewelers Limited (SIG)All Cash$1.4 billion$21.00$21.751,162,95206/30/2014-3.45%-35.96%
+FURX04/28/2014Forest Laboratories Inc. (FRX)All Cash$1.1 billion$95.00$104.25113,24609/30/2014-8.87%-25.50%
+FBMI08/15/2013Mercantile Bank Corp. (MBWM)Cash Plus Stock$151.5 million$18.91$20.8624,67906/30/2014-9.35%-97.49%
+CHDX02/17/2014a buyer consortium (the “Buyer Consortium”) of an affiliate of TPG (together with its affiliates, “TPG”), an affiliate of Shanghai Fosun Pharmaceutical (Group) Co., Ltd. (“Fosun”), and Ms. Roberta Lipson, the CEO of the Company (N/A)All Cash$369 million$19.50$23.7915,39412/31/2014-18.03%-30.05%

Voluntary Disclosure: I hold a long position in Safeway (SWY).

Connect with me on LinkedIn: http://www.linkedin.com/in/asifsuria