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Merger Arbitrage Mondays – December 1, 2014

  • November 30, 2014

Merger Activity decreased last week with three new mergers announced and four 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 2014151
Total Number of Deals Not Completed in 20142
Total Number of Pending Deals
Cash Deals29
Stock Deals20
Stock & Cash Deals19
Special Conditions10
Total Number of Pending Deals78
Total Deal Size$638.36 billion

New Deals:

  1. The acquisition of Platinum Underwriters Holdings (PTP) by RenaissanceRe Holdings (RNR) for $1.9 billion. Under the terms of the agreement, shareholders of Platinum Underwriters Holdings will receive a $10.00 per share special pre-closing dividend with the remainder of the consideration, at their election, consisting of (i) $66.00 per Platinum share in cash, (ii) 0.6504 RenaissanceRe common shares per Platinum share, or (iii) a combination of $35.96 in cash and 0.2960 RenaissanceRe common shares per Platinum share, subject to proration.
  2. The acquisition of Prosensa Holding (RNA) by BioMarin Pharmaceutical (BMRN) for $680 million or $17.75 per share in cash. In addition, two approximately $80 million contingent milestones are payable for the approval of drisapersen in the U.S. no later than May 15, 2016 and Europe no later than February 15, 2017, respectively.
  3. The acquisition of Cimatron (CIMT) by 3D Systems Corporation (DDD) by $97 million or $8.97 per share in cash.

Deal Updates:

  1. On November 26, 2014, The Federal Trade Commission approved GlaxoSmithKline’s (GSK) proposed acquisition of Novartis’ (NVS) vaccines business and the proposed creation of a consumer healthcare joint venture between the two firms.
  2. On November 26, 2014, The Federal Trade Commission and the European Commission approved the merger between Medtronic (MDT) and Covidien plc (COV) with the proviso that Covidien divest its drug-coated catheter business before completing the transaction. Covidien agreed to sell the business for $30M to Spectranetics (SPNC) several weeks ago.

Closed Deals:

  1. The acquisition of Bally Technologies (BYI) by Scientific Games Corporation (SGMS) on November 24, 2014. It took 115 days for this deal to be completed.
  2. The acquisition of Kinder Morgan Energy Partners (KMP) by Kinder Morgan (KMI) on November 26, 2014. It took 108 days for this deal to be completed.
  3. The acquisition of Kinder Morgan Management (KMR) by Kinder Morgan (KMI) on November 26, 2014. It took 108 days for this deal to be completed.
  4. The acquisition of El Paso Pipeline Partners (EPB) by Kinder Morgan (KMI) on November 26, 2014. It took 108 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

BHI11/16/2014Halliburton Company (HAL)$66.26$57.0012/31/201516.25%15.02%
FFKY04/22/2014Community Bank Shares of Indiana Inc. (CBIN)$4.12$3.6010/30/201414.54%-165.82%
EDS12/02/2013Pan Long Company Limited (N/A)$1.78$1.6012/31/201411.25%136.88%
LO07/15/2014Reynolds American Inc. (RAI)$69.67$63.1406/30/201510.35%17.90%
TWC02/13/2014Comcast Corporation (CMCSA)$163.99$149.2812/31/20149.85%119.89%
DTV05/18/2014AT&T, Inc. (T)$95.00$87.7105/31/20158.31%16.76%
HCBK08/27/2012M&T Bank Corporation (MTB)$10.59$9.7912/31/20148.17%99.35%
LIN03/22/2014Media General, Inc. (MEG)$25.97$24.1303/31/20157.63%23.19%
IGT07/16/2014GTECH S.p.A. (GTKYY)$18.25$17.0306/30/20157.16%12.39%
AGN11/16/2014Actavis plc (ACT)$228.89$213.8906/30/20157.01%12.13%

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

+BHI11/16/2014Halliburton Company (HAL)Cash Plus StockN/A$66.26$57.008,822,44112/31/201516.25%15.02%
+FFKY04/22/2014Community Bank Shares of Indiana Inc. (CBIN)All Stock$17.9 million$4.12$3.6030010/30/201414.54%0.00%
+EDS12/02/2013Pan Long Company Limited (N/A)All Cash$60.1 million$1.78$1.607,60012/31/201411.25%136.88%
+LO07/15/2014Reynolds American Inc. (RAI)Cash Plus Stock$27.4 billion$69.67$63.141,037,51606/30/201510.35%17.90%
+TWC02/13/2014Comcast Corporation (CMCSA)All Stock$45.2 billion$163.99$149.281,160,62212/31/20149.85%119.89%
+DTV05/18/2014AT&T, Inc. (T)Special Conditions$48.5 billion$95.00$87.71899,26805/31/20158.31%16.76%
+HCBK08/27/2012M&T Bank Corporation (MTB)All Stock$3.7 billion$10.59$9.791,020,65212/31/20148.17%99.35%
+LIN03/22/2014Media General, Inc. (MEG)Special Conditions$2.6 billion$25.97$24.1357,57303/31/20157.63%23.19%
+IGT07/16/2014GTECH S.p.A. (GTKYY)Special Conditions$6.4 billion$18.25$17.03934,86806/30/20157.16%12.39%
+AGN11/16/2014Actavis plc (ACT)Cash Plus StockN/A$228.89$213.89869,81306/30/20157.01%12.13%
+HCT06/02/2014Ventas, Inc. (VTR)All Stock$2.6 billion$12.08$11.332,092,90412/31/20146.60%80.28%
+CPWR09/02/2014Thoma Bravo, LLC (N/A)All Cash$2.5 billion$10.92$10.32588,59201/31/20155.81%34.79%
+WPZ10/27/2014Access Midstream Partners, L.P. (ACMP)All Stock$50 billion$54.33$51.741,073,98801/31/20155.00%29.91%
+COV06/15/2014Medtronic, Inc. (MDT)Cash Plus Stock$42.9 billion$105.81$101.001,482,18501/31/20154.76%28.49%
+DWSN10/09/2014TGC Industries Inc. (TGE)All StockN/A$14.12$13.5355,43003/31/20154.39%13.35%
+APAGF10/03/2014Pluspetrol Resources Corporation (N/A)All Cash$427 million$14.50$13.9284,78012/31/20144.17%50.69%
+SWY03/06/2014AB Acquisition LLC (N/A)Special ConditionsN/A$36.15$34.84567,30812/31/20143.76%45.75%
+VYFC11/17/2014BNC Bancorp (BNCN)Special Conditions$101.3 million$20.50$19.7642006/30/20153.74%6.48%
+CIMT11/24/20143D Systems Corporation (DDD)All Cash$97 million$8.97$8.67209,55403/31/20153.46%10.52%
+TRLA07/28/2014Zillow, Inc. (Z)All Stock$3.5 billion$52.55$50.83133,36503/31/20153.39%10.30%
+CMSB09/25/2014Putnam County Savings Bank (N/A)All Cash$25.4 million$13.25$12.83N/A06/30/20153.27%5.66%
+CNL10/20/2014Macquarie Infrastructure and Real Assets (MIRA) and British Columbia Investment Management Corporation (bcIMC) (N/A)All Cash$4.7 billion$55.37$53.73218,83112/31/20153.05%2.82%
+VIAS09/22/2014TTM Technologies Inc. (TTMI)Cash Plus Stock$927 million$16.10$15.632,74106/30/20153.02%5.23%
+SUSQ11/12/2014BB&T Corporation (BBT)Cash Plus Stock$2.5 billion$13.56$13.17949,63106/30/20152.96%5.13%
+HVB11/05/2014Sterling Bancorp. (STL)All Stock$539 million$25.69$25.0218,93006/30/20152.68%4.63%
+ESBF10/29/2014WesBanco Inc. (WSBC)Cash Plus Stock$324.4 million$18.43$17.969,89706/30/20152.62%4.54%
+OABC04/29/2014Southside Bancshares Inc. (SBSI)Cash Plus Stock$307 million$27.54$26.8717,25112/31/20142.50%30.38%
+PTP11/24/2014RenaissanceRe Holdings Ltd. (RNR)Special Conditions$1.9 billion$76.00$74.17167,69506/30/20152.47%4.27%
+DRIV10/23/2014Siris Capital Group, LLC (N/A)All Cash$840 million$26.00$25.39211,09903/31/20152.40%7.31%
+HBNK11/04/2014Berkshire Hills Bancorp Inc. (BHLB)All Stock$109 million$20.56$20.081,48105/15/20152.38%5.26%
+DRC09/21/2014Siemens (N/A)All Cash$7.6 billion$83.00$81.112,171,95806/30/20152.33%4.03%
+PEOP08/05/2014Independent Bank Corp. (INDB)All Stock$130.6 million$21.89$21.392,08503/31/20152.33%7.08%
+TRW09/15/2014ZF Friedrichshafen AG (“ZF”) (N/A)All Cash$13.5 billion$105.60$103.40296,27906/30/20152.13%3.68%
+AVIV10/31/2014Omega Healthcare Investors Inc. (OHI)All Stock$3 billion$34.40$33.70209,54203/31/20152.07%6.30%
+TEG06/23/2014Wisconsin Energy Corp. (WEC)Cash Plus Stock$9.1 billion$74.30$72.84151,75806/30/20152.01%3.47%
+BKYF09/08/2014BB&T Corporation (BBT)Cash Plus Stock$363 million$47.46$46.617,33903/31/20151.83%5.57%
+FRNK07/15/2014Towne Bank (TOWN)All Stock$275 million$20.17$19.879,89712/31/20141.53%18.61%
+APL10/13/2014Targa Resources Partners LP (NGLS)Cash Plus Stock$5.8 billion$33.31$32.84675,76203/31/20151.44%4.39%
+ROC07/15/2014Albemarle Corporation (ALB)Cash Plus Stock$6.2 billion$79.01$77.95266,19703/31/20151.36%4.12%
+CFN10/05/2014Becton, Dickinson and Company (BDX)Cash Plus Stock$12.2 billion$59.90$59.17893,30406/30/20151.24%2.14%
+SAPE11/03/2014Publicis Groupe (N/A)All Cash$3.7 billion$25.00$24.70646,79303/31/20151.21%3.69%
+CVD11/03/2014Laboratory Corp. of America Holdings (LH)Cash Plus Stock$5.6 billion$103.87$102.621,247,78003/31/20151.21%3.69%
+XWES11/04/2014EnerNOC, Inc. (ENOC)All CashN/A$5.50$5.442,21001/15/20151.10%8.95%
+GTIV10/09/2014Kindred Healthcare Inc. (KND)Cash Plus Stock$1.8 billion$19.61$19.4160,06003/31/20151.04%3.16%
+FRF08/12/2014Tiptree Financial Inc. (TIPT)All Cash$218 million$10.00$9.9169201/31/20150.91%5.43%
+KOG07/13/2014Whiting Petroleum Corp. (WLL)All Stock$6 billion$7.39$7.336,583,04312/31/20140.86%10.51%
+CHYR11/17/2014Vector Capital (N/A)All CashN/A$2.82$2.8037,68503/31/20150.71%2.17%
+ESYS11/04/2014Lindsay Corporation (LNN)All Cash$70.5 million$17.50$17.386,70001/31/20150.69%4.13%
+MGAM09/08/2014Global Cash Access Holdings, Inc. (GCA)All Cash$1.2 billion$36.50$36.29288,62103/31/20150.58%1.76%
+OILT11/12/2014Enterprise Products Partners L.P. (EPD)All StockN/A$48.54$48.2754,59203/31/20150.56%1.71%
+SWS04/01/2014Hilltop Holdings Inc. (HTH)Cash Plus Stock$260 million$7.03$6.9920,87912/31/20140.53%6.41%
+GRT09/16/2014Washington Prime Group Inc. (WPG)Cash Plus Stock$4.3 billion$13.83$13.76867,77703/31/20150.49%1.48%
+TQNT02/24/2014RF Micro Devices Inc. (RFMD)All Stock$1.6 billion$24.47$24.371,276,03012/31/20140.42%5.08%
+PL06/03/2014Dai-ichi Life Insurance Company (N/A)All Cash$5.7 billion$70.00$69.71220,46601/31/20150.42%2.49%
+PSMI08/22/2014Murata Electronics North America, Inc. (N/A)All Cash$471 million$12.50$12.4575,68201/31/20150.40%2.40%
+TAM09/11/2014Eastman Chemical Co. (EMN)All Cash$2.8 billion$26.00$25.9169,16812/31/20140.35%4.23%
+PIKE08/04/2014Court Square Capital Partners & J. Eric Pike, the Company�s Chairman and Chief Executive Officer (N/A)All CashN/A$12.00$11.9681,28512/31/20140.33%4.07%
+OPLK11/19/2014Koch Industries, Inc. (N/A)All Cash$445 million$24.25$24.17149,93703/31/20150.33%1.01%
+PENX10/15/2014Ingredion Incorporated (INGR)All Cash$340 million$19.00$18.947,91312/31/20140.32%3.85%
+IRF08/20/2014Infineon Technologies AG (IFNNY)All Cash$2.4 billion$40.00$39.88855,05201/31/20150.30%1.80%
+CQB10/27/2014Cutrale-Safra group (N/A)All Cash$1.3 billion$14.50$14.46277,98001/31/20150.28%1.66%
+CNQR09/18/2014SAP SE (SAP)All Cash$8.3 billion$129.00$128.81230,90203/31/20150.15%0.45%
+CNVR09/11/2014Alliance Data Systems Corporation (ADS)Special Conditions$2.3 billion$35.00$35.02344,66412/31/2014-0.06%-0.69%
+TIBX09/29/2014Vista Equity Partners (N/A)All Cash$4.3 billion$24.00$24.031,390,65512/31/2014-0.12%-1.52%
+AMRE10/31/2014Edens Investment Trust (N/A)All CashN/A$26.55$26.63176,77903/31/2015-0.30%-0.91%
+COBK09/10/2014Cape Bancorp, Inc. (CBNJ)All Stock$55 million$13.15$13.19N/A03/31/2015-0.34%-1.02%
+NBTF08/04/2014Peoples Bancorp Inc. (PEBO)Cash Plus Stock$109 million$30.31$30.54N/A03/31/2015-0.75%-2.28%
+POM04/30/2014Exelon Corporation (EXC)All Cash$7.2 billion$27.25$27.50548,81109/30/2015-0.91%-1.10%
+SMPL09/29/2014HomeStreet, Inc. (HMST)All StockN/A$16.31$16.594,47003/31/2015-1.69%-5.13%
+BTUI10/22/2014Amtech Systems Inc. (ASYS)All StockN/A$2.91$2.981,08603/31/2015-2.26%-6.89%
+OVRL05/15/2014Sphere 3D Corporation (ANY)All Stock$81.13 million$3.64$3.7862,80412/31/2014-3.67%-44.67%
+AUXL10/09/2014Endo International plc (ENDP)Special Conditions$2.6 billion$33.25$34.56357,46006/30/2015-3.79%-6.56%
+GECR06/23/2014State Bank Financial Corporation (STBZ)Special Conditions$82 million$22.35$23.59N/A03/31/2015-5.26%-15.99%
+FDO07/28/2014Dollar Tree, Inc. (DLTR)Special Conditions$9.2 billion$74.50$79.05341,12401/31/2015-5.76%-34.44%
+WMGI10/27/2014Tornier N.V. (TRNX)All Stock$1.72 billion$27.51$29.29403,60906/30/2015-6.06%-10.48%
+GFIG07/30/2014CME Group (N/A)All CashN/A$4.55$4.98126,42401/31/2015-8.63%-51.67%
+RNA11/24/2014BioMarin Pharmaceutical Inc. (BMRN)All Cash$680 million$17.75$19.77400,04303/31/2015-10.22%-31.08%
+ATLS10/13/2014Targa Resources Corp. (TRGP)Cash Plus Stock$1.9 billion$29.77$35.48610,10603/31/2015-16.10%-48.97%

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

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