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Merger Arbitrage Mondays – December 22, 2014

  • December 22, 2014

Merger activity increased last week with seven new mergers announced and two 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 2014 161
Total Number of Deals Not Completed in 2014 2
Total Number of Pending Deals
Cash Deals 32
Stock Deals 21
Stock & Cash Deals 18
Special Conditions 11
Total Number of Pending Deals 82
Total Deal Size $688.78 billion

New Deals:

  1. The acquisition of LNB Bancorp (LNBB) by Northwest Bancshares (NWBI) for $183.3 million. Under the terms of the agreement, shareholders of LNB Bancorp will be entitled to elect to receive either 1.461 shares of Northwest Bancshares common stock or $18.70 per share in cash.
  2. The acquisition of MicroFinancial (MFI) by an affiliate of funds managed by affiliates of Fortress Investment Group LLC for $10.20 per share in cash.
  3. The acquisition of Riverbed Technology (RVBD) by Thoma Bravo, LLC and Teachers’ Private Capital for $3.6 billion or $21.00 per share in cash.
  4. The acquisition of Talisman Energy (TLM) by Repsol S.A. for $13 billion or $8.00 per share in cash.
  5. The acquisition of Volcano Corporation (VOLC) by Koninklijke Philips N.V (PHG) for $1.2 billion or $18.00 per share in cash.
  6. The acquisition of Paramount Gold and Silver Corp (PZG) by Coeur Mining (CDE) in an all stock deal. Under the terms of the agreement, shareholders of Paramount Gold and Silver will receive 0.2016 Coeur shares per Paramount shares. In addition, Paramount stockholders will receive their pro rata share of the outstanding shares of an existing subsidiary or a newly incorporated subsidiary (“SpinCo”) of Paramount. SpinCo will hold Paramount’s interest in the Sleeper Gold, Mill Creek and Spring Valley Projects in Nevada and will be capitalized with $10 million in cash from Coeur. Upon completion of the Merger, Paramount stockholders will hold, in aggregate, a 95.1% interest in SpinCo and Coeur will hold the remaining 4.9%.
  7. The acquisition of The Pantry (PTRY) by Alimentation Couche-Tard for $1.7 billion or $36.75 per share in cash.

Deal Updates:

  1. On December 19, 2014, BGC Partners (BGCP) announced that it has increased its all-cash tender offer to acquire all the outstanding shares of GFI Group (GFIG) to $5.45 per share.

Closed Deals:

  1. The acquisition of Compuware Corporation (CPWR) by Thoma Bravo, LLC on December 17, 2014. It took 106 days for this deal to be completed.
  2. The acquisition of Omniamerican Bancorp (OABC) by Southside Bancshares (SBSI) on December 18, 2014. It took 233 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

EDS 12/02/2013 Pan Long Company Limited (N/A) $1.78 $1.49 12/31/2014 19.46% 789.34%
FFKY 04/22/2014 Community Bank Shares of Indiana Inc. (CBIN) $4.12 $3.65 10/30/2014 12.76% -87.87%
BHI 11/16/2014 Halliburton Company (HAL) $64.35 $57.15 12/31/2015 12.60% 12.29%
LO 07/15/2014 Reynolds American Inc. (RAI) $69.18 $62.04 06/30/2015 11.52% 22.12%
DTV 05/18/2014 AT&T, Inc. (T) $95.00 $85.47 05/31/2015 11.15% 25.44%
TWC 02/13/2014 Comcast Corporation (CMCSA) $164.36 $149.31 12/31/2014 10.08% 408.89%
APL 10/13/2014 Targa Resources Partners LP (NGLS) $28.50 $26.34 03/31/2015 8.21% 30.27%
DRIV 10/23/2014 Siris Capital Group, LLC (N/A) $26.00 $24.04 03/31/2015 8.15% 30.06%
IGT 07/16/2014 GTECH S.p.A. (GTKYY) $18.25 $16.99 06/30/2015 7.42% 14.25%
LNBB 12/15/2014 Northwest Bancshares, Inc. (NWBI) $18.70 $17.42 06/30/2015 7.35% 14.12%

List of all pending deals:

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


Symbol Announced

Date

Acquiring

Company

Deal

Type

Closing

Value

Closing

Price

Last

Price

Volume Closing

Date

Profit Annu.

Profit

+ EDS 12/02/2013 Pan Long Company Limited (N/A) All Cash $60.1 million $1.78 $1.49 18,602 12/31/2014 19.46% 789.34%
+ FFKY 04/22/2014 Community Bank Shares of Indiana Inc. (CBIN) All Stock $17.9 million $4.12 $3.65 3,277 10/30/2014 12.76% 0.00%
+ BHI 11/16/2014 Halliburton Company (HAL) Cash Plus Stock N/A $64.35 $57.15 8,244,480 12/31/2015 12.60% 12.29%
+ LO 07/15/2014 Reynolds American Inc. (RAI) Cash Plus Stock $27.4 billion $69.18 $62.04 4,625,871 06/30/2015 11.52% 22.12%
+ DTV 05/18/2014 AT&T, Inc. (T) Special Conditions $48.5 billion $95.00 $85.47 4,276,217 05/31/2015 11.15% 25.44%
+ TWC 02/13/2014 Comcast Corporation (CMCSA) All Stock $45.2 billion $164.36 $149.31 2,530,124 12/31/2014 10.08% 408.89%
+ APL 10/13/2014 Targa Resources Partners LP (NGLS) Cash Plus Stock $5.8 billion $28.50 $26.34 1,618,350 03/31/2015 8.21% 30.27%
+ DRIV 10/23/2014 Siris Capital Group, LLC (N/A) All Cash $840 million $26.00 $24.04 1,141,558 03/31/2015 8.15% 30.06%
+ IGT 07/16/2014 GTECH S.p.A. (GTKYY) Special Conditions $6.4 billion $18.25 $16.99 2,870,542 06/30/2015 7.42% 14.25%
+ LNBB 12/15/2014 Northwest Bancshares, Inc. (NWBI) Special Conditions $183.3 million $18.70 $17.42 49,226 06/30/2015 7.35% 14.12%
+ AGN 11/16/2014 Actavis plc (ACT) Cash Plus Stock N/A $226.96 $212.63 3,316,853 06/30/2015 6.74% 12.95%
+ CODE 12/01/2014 Cypress Semiconductor Corporation (CY) All Stock $4 billion $35.21 $33.11 1,116,439 06/30/2015 6.34% 12.18%
+ PZG 12/17/2014 Coeur Mining, Inc. (CDE) All Stock $146 million $0.99 $0.94 16,465,057 06/30/2015 5.30% 10.19%
+ HBOS 12/10/2014 Renasant Corp. (RNST) All Stock $258 million $26.52 $25.21 88,365 09/30/2015 5.19% 6.72%
+ HCBK 08/27/2012 M&T Bank Corporation (MTB) All Stock $3.7 billion $10.51 $10.01 3,920,325 04/30/2015 5.02% 14.22%
+ WPZ 10/27/2014 Access Midstream Partners, L.P. (ACMP) All Stock $50 billion $46.05 $43.85 2,310,574 01/31/2015 5.01% 45.76%
+ APAGF 10/03/2014 Pluspetrol Resources Corporation (N/A) All Cash $427 million $14.50 $13.82 82,773 12/31/2014 4.92% 199.55%
+ SUSQ 11/12/2014 BB&T Corporation (BBT) Cash Plus Stock $2.5 billion $13.75 $13.12 8,225,697 06/30/2015 4.78% 9.19%
+ PEOP 08/05/2014 Independent Bank Corp. (INDB) All Stock $130.6 million $23.11 $22.06 860 03/31/2015 4.75% 17.52%
+ VYFC 11/17/2014 BNC Bancorp (BNCN) Special Conditions $101.3 million $20.50 $19.70 10,695 06/30/2015 4.06% 7.80%
+ SWY 03/06/2014 AB Acquisition LLC (N/A) Special Conditions N/A $36.15 $34.77 3,227,694 12/31/2014 3.97% 160.96%
+ CMSB 09/25/2014 Putnam County Savings Bank (N/A) All Cash $25.4 million $13.25 $12.75 5,506 06/30/2015 3.92% 7.53%
+ LIN 03/22/2014 Media General, Inc. (MEG) Special Conditions $2.6 billion $25.97 $25.00 611,156 03/31/2015 3.88% 14.31%
+ PTP 11/24/2014 RenaissanceRe Holdings Ltd. (RNR) Special Conditions $1.9 billion $76.00 $73.36 385,847 06/30/2015 3.60% 6.91%
+ COV 06/15/2014 Medtronic, Inc. (MDT) Cash Plus Stock $42.9 billion $106.53 $102.90 5,386,493 01/31/2015 3.52% 32.16%
+ VIAS 09/22/2014 TTM Technologies Inc. (TTMI) Cash Plus Stock $927 million $16.64 $16.09 19,475 06/30/2015 3.41% 6.56%
+ CBST 12/08/2014 Merck & Co. Inc. (MRK) All Cash $9.5 billion $102.00 $98.67 2,862,196 03/31/2015 3.37% 12.44%
+ RVBD 12/15/2014 Thoma Bravo, LLC and Teachers� Private Capital (N/A) All Cash $3.6 billion $21.00 $20.33 7,420,342 06/30/2015 3.30% 6.33%
+ BTUI 10/22/2014 Amtech Systems Inc. (ASYS) All Stock N/A $2.69 $2.61 3,502 03/31/2015 3.02% 11.12%
+ TRW 09/15/2014 ZF Friedrichshafen AG (“ZF”) (N/A) All Cash $13.5 billion $105.60 $102.80 1,083,427 06/30/2015 2.72% 5.23%
+ TRLA 07/28/2014 Zillow, Inc. (Z) All Stock $3.5 billion $48.35 $47.08 617,741 03/31/2015 2.70% 9.96%
+ HVB 11/05/2014 Sterling Bancorp. (STL) All Stock $539 million $26.61 $25.98 103,365 06/30/2015 2.43% 4.67%
+ HE 12/03/2014 NextEra Energy, Inc. (NEE) Special Conditions $4.3 billion $33.50 $32.74 1,445,526 12/31/2015 2.32% 2.27%
+ PENX 10/15/2014 Ingredion Incorporated (INGR) All Cash $340 million $19.00 $18.58 22,506 12/31/2014 2.26% 91.68%
+ CHYR 11/17/2014 Vector Capital (N/A) All Cash N/A $2.82 $2.76 70,036 03/31/2015 2.17% 8.01%
+ AVIV 10/31/2014 Omega Healthcare Investors Inc. (OHI) All Stock $3 billion $34.90 $34.16 411,301 03/31/2015 2.17% 8.01%
+ PETM 12/14/2014 a consortium led by BC Partners (N/A) All Cash $8.7 billion $83.00 $81.31 1,187,991 06/30/2015 2.08% 3.99%
+ TLM 12/15/2014 Repsol S.A. (N/A) All Cash $13 billion $8.00 $7.85 31,330,786 06/30/2015 1.91% 3.67%
+ DRC 09/21/2014 Siemens (N/A) All Cash $7.6 billion $83.00 $81.50 1,663,243 06/30/2015 1.84% 3.54%
+ CIMT 11/24/2014 3D Systems Corporation (DDD) All Cash $97 million $8.97 $8.81 149,397 03/31/2015 1.82% 6.70%
+ POM 04/30/2014 Exelon Corporation (EXC) All Cash $7.2 billion $27.25 $26.80 3,942,644 09/30/2015 1.68% 2.17%
+ ESBF 10/29/2014 WesBanco Inc. (WSBC) Cash Plus Stock $324.4 million $18.98 $18.69 63,996 06/30/2015 1.57% 3.02%
+ HCT 06/02/2014 Ventas, Inc. (VTR) All Stock $2.6 billion $12.14 $11.95 3,740,168 12/31/2014 1.55% 62.80%
+ BKYF 09/08/2014 BB&T Corporation (BBT) Cash Plus Stock $363 million $48.21 $47.48 81,168 03/31/2015 1.54% 5.69%
+ TEG 06/23/2014 Wisconsin Energy Corp. (WEC) Cash Plus Stock $9.1 billion $77.60 $76.58 932,984 06/30/2015 1.33% 2.55%
+ SMPL 09/29/2014 HomeStreet, Inc. (HMST) All Stock N/A $17.27 $17.06 10,485 03/31/2015 1.23% 4.54%
+ CFN 10/05/2014 Becton, Dickinson and Company (BDX) Cash Plus Stock $12.2 billion $59.86 $59.15 3,313,758 06/30/2015 1.21% 2.32%
+ ROC 07/15/2014 Albemarle Corporation (ALB) Cash Plus Stock $6.2 billion $78.84 $78.00 706,749 03/31/2015 1.08% 3.96%
+ OILT 11/12/2014 Enterprise Products Partners L.P. (EPD) All Stock N/A $44.37 $43.90 108,399 03/31/2015 1.07% 3.94%
+ PTRY 12/18/2014 Alimentation Couche-Tard Inc. (N/A) All Cash $1.7 billion $36.75 $36.37 3,263,666 06/30/2015 1.04% 2.01%
+ CVD 11/03/2014 Laboratory Corp. of America Holdings (LH) Cash Plus Stock $5.6 billion $104.18 $103.17 366,679 03/31/2015 0.98% 3.60%
+ CNL 10/20/2014 Macquarie Infrastructure and Real Assets (MIRA) and British Columbia Investment Management Corporation (bcIMC) (N/A) All Cash $4.7 billion $55.37 $54.88 698,307 12/31/2015 0.89% 0.87%
+ AVNR 12/02/2014 Otsuka Pharmaceutical Co., Ltd. (N/A) All Cash $3.5 billion $17.00 $16.85 11,352,170 03/31/2015 0.89% 3.28%
+ ESYS 11/04/2014 Lindsay Corporation (LNN) All Cash $70.5 million $17.50 $17.35 25,031 01/31/2015 0.86% 7.89%
+ FRNK 07/15/2014 Towne Bank (TOWN) All Stock $275 million $22.12 $21.94 42,418 12/31/2014 0.82% 33.27%
+ SAPE 11/03/2014 Publicis Groupe (N/A) All Cash $3.7 billion $25.00 $24.80 1,703,382 03/31/2015 0.81% 2.97%
+ BIRT 12/05/2014 OpenText (N/A) All Cash $330 million $6.60 $6.55 479,842 03/31/2015 0.76% 2.81%
+ PL 06/03/2014 Dai-ichi Life Insurance Company (N/A) All Cash $5.7 billion $70.00 $69.50 921,423 01/31/2015 0.72% 6.56%
+ VOLC 12/17/2014 Koninklijke Philips N.V (PHG) All Cash $1.2 billion $18.00 $17.88 3,349,877 03/31/2015 0.67% 2.47%
+ HBNK 11/04/2014 Berkshire Hills Bancorp Inc. (BHLB) All Stock $109 million $21.11 $21.00 6,551 05/15/2015 0.52% 1.31%
+ GTIV 10/09/2014 Kindred Healthcare Inc. (KND) Cash Plus Stock $1.8 billion $19.14 $19.05 454,022 03/31/2015 0.45% 1.67%
+ NBTF 08/04/2014 Peoples Bancorp Inc. (PEBO) Cash Plus Stock $109 million $31.62 $31.53 498 03/31/2015 0.27% 1.01%
+ IRF 08/20/2014 Infineon Technologies AG (IFNNY) All Cash $2.4 billion $40.00 $39.91 994,719 01/31/2015 0.23% 2.06%
+ CQB 10/27/2014 Cutrale-Safra group (N/A) All Cash $1.3 billion $14.50 $14.47 364,669 01/31/2015 0.21% 1.89%
+ GRT 09/16/2014 Washington Prime Group Inc. (WPG) Cash Plus Stock $4.3 billion $13.83 $13.81 1,345,859 03/31/2015 0.17% 0.61%
+ MGAM 09/08/2014 Global Cash Access Holdings, Inc. (GCA) All Cash $1.2 billion $36.50 $36.44 1,225,709 03/31/2015 0.16% 0.61%
+ TQNT 02/24/2014 RF Micro Devices Inc. (RFMD) All Stock $1.6 billion $26.73 $26.69 2,941,177 12/31/2014 0.16% 6.53%
+ GFIG 07/30/2014 BGC Partners (BGCP) All Cash N/A $5.45 $5.45 2,347,142 01/06/2015 0.00% 0.00%
+ PIKE 08/04/2014 Court Square Capital Partners & J. Eric Pike, the Company�s Chairman and Chief Executive Officer (N/A) All Cash N/A $12.00 $12.00 1,154,466 12/31/2014 0.00% 0.00%
+ OPLK 11/19/2014 Koch Industries, Inc. (N/A) All Cash $445 million $24.25 $24.26 391,767 03/31/2015 -0.04% -0.15%
+ AMRE 10/31/2014 Edens Investment Trust (N/A) All Cash N/A $26.55 $26.63 214,331 03/31/2015 -0.30% -1.11%
+ MFI 12/15/2014 an affiliate of funds managed by affiliates of Fortress Investment Group LLC (FIG) All Cash N/A $10.20 $10.25 98,197 03/31/2015 -0.49% -1.80%
+ XWES 11/04/2014 EnerNOC, Inc. (ENOC) All Cash N/A $5.50 $5.54 28,519 01/15/2015 -0.72% -10.98%
+ COBK 09/10/2014 Cape Bancorp, Inc. (CBNJ) All Stock $55 million $13.27 $13.40 16,354 03/31/2015 -0.95% -3.50%
+ WMGI 10/27/2014 Tornier N.V. (TRNX) All Stock $1.72 billion $27.37 $27.85 823,353 06/30/2015 -1.72% -3.31%
+ DWSN 10/09/2014 TGC Industries Inc. (TGE) All Stock N/A $10.72 $10.97 134,886 03/31/2015 -2.29% -8.46%
+ SWS 04/01/2014 Hilltop Holdings Inc. (HTH) Cash Plus Stock $260 million $6.96 $7.16 611,054 12/31/2014 -2.80% -113.59%
+ AUXL 10/09/2014 Endo International plc (ENDP) Special Conditions $2.6 billion $33.25 $34.70 2,315,340 06/30/2015 -4.18% -8.03%
+ RNA 11/24/2014 BioMarin Pharmaceutical Inc. (BMRN) All Cash $680 million $17.75 $18.78 114,378 03/31/2015 -5.48% -20.22%
+ FDO 07/28/2014 Dollar Tree, Inc. (DLTR) Special Conditions $9.2 billion $74.50 $78.96 2,143,937 01/31/2015 -5.65% -51.54%
+ GECR 06/23/2014 State Bank Financial Corporation (STBZ) Special Conditions $82 million $22.35 $24.28 N/A 03/31/2015 -7.95% -29.31%
+ ATLS 10/13/2014 Targa Resources Corp. (TRGP) Cash Plus Stock $1.9 billion $27.71 $30.96 1,413,125 03/31/2015 -10.49% -38.69%

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

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