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Merger Arbitrage Mondays – April 4, 2016

  • April 3, 2016

There was no merger activity last week as no new deals were announced. Three of the pending deals closed.

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 201650
Total Number of Deals Not Completed in 20162
Total Number of Pending Deals
Cash Deals45
Stock Deals17
Stock & Cash Deals19
Special Conditions9
Total Number of Pending Deals90
Total Deal Size$934.99 billion

Deal Updates:

  1. On March 28, 2016, China’s Anbang Group again upped its offer to $14 billion, or $82.75 per share to acquire Starwood Hotels & Resorts Worldwide (HOT). Later, on April 1, 2016, Starwood announced that a consortium of companies headed by Chinese insurer Anbang Insurance Group has withdrawn its proposal to acquire Starwood for $82.75 per share and does not aim to make another offer. The withdrawal of the offer by the consortium of companies, which also included J.C. Flowers & Co. and Primavera Capital Limited, was primarily due to concerns related to the market. This announcement paves the way for Marriott International (MAR) to merge with Starwood. The two hoteliers will host their individual shareholder meetings on Apr 8 to vote for the planned merger.
  2. On March 28, 2016, Origin Technologies, a newly created entity owned by a group of former Affymetrix executives for the purpose of privatizing Affymetrix (AFFXwithdrew their offer to take the company private for $17 per share after Affymetrix decided to stay in favor of an existing bid from Thermo Fisher (TMO).
  3. On March 28, 2016, Cleco Corporation (CNL) received the final approval by the Louisiana Public Service Commission, for its sale to a group of North American infrastructure investors led by Macquarie Infrastructure and Real Assets and British Columbia Investment Management Corporation. The transaction is expected to close in April.
  4. On March 30, 2016 Gannett (GCI) announced that its previously announced acquisition of Journal Media Group (JMG) will not close during the first quarter as expected because the regulatory clearance process is not yet complete.
  5. On April 1, 2016, ON Semiconductor Corporation (ON) announced that it has extended its previously announced tender offer to purchase all of the outstanding shares of common stock of Fairchild Semiconductor International (FCS) to April 14, 2016.

Closed Deals:

  1. The acquisition of Inland Real Estate (IRC) by real estate funds managed by DRA Advisors on March 30, 2016. It took 106 days for this deal to be completed.
  2. The acquisition of Affymetrix (AFFX) by Thermo Fisher Scientific (TMO) on March 31, 2016. It took 65 days for this deal to be completed.
  3. The acquisition of Cameron International Corporation (CAM) by Schlumberger Limited (SLB) on April 1, 2016. It took 219 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

WMB09/28/2015Energy Transfer Equity, L.P. (ETE)$43.50$15.5206/30/2016180.28%756.36%
BHI11/16/2014Halliburton Company (HAL)$58.30$42.9504/30/201635.74%501.75%
CI07/24/2015Anthem, Inc. (ANTM)$176.48$137.1612/31/201628.67%38.61%
ODP02/04/2015Staples, Inc. (SPLS)$9.70$7.5505/16/201628.43%247.04%
AGN11/23/2015Pfizer Inc. (PFE)$339.45$268.0912/31/201626.62%35.85%
NPBC08/17/2015BB&T Corporation (BBT)$13.00$10.7204/01/201621.27%-2587.69%
HUM07/03/2015Aetna Inc. (AET)$220.23$184.7412/31/201619.21%25.88%
NKA06/14/2015Brookfield Infrastructure (N/A)$4.23$3.5712/31/201618.49%24.90%
APOL02/08/2016A consortium of investors including The Vistria Group, LLC, funds affiliated with Apollo Global Management, LLC and and Najafi Companies (N/A)$9.50$8.1512/31/201616.56%22.31%
ALR02/01/2016Abbott Laboratories (ABT)$56.00$50.5906/30/201610.69%44.86%

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

+WMB09/28/2015Energy Transfer Equity, L.P. (ETE)Special Conditions$37.7 billion$43.50$15.528,529,15006/30/2016180.28%756.36%
+BHI11/16/2014Halliburton Company (HAL)Cash Plus StockN/A$58.30$42.953,027,81304/30/201635.74%501.75%
+CI07/24/2015Anthem, Inc. (ANTM)Cash Plus Stock$54.2 billion$176.48$137.161,800,37012/31/201628.67%38.61%
+ODP02/04/2015Staples, Inc. (SPLS)Cash Plus Stock$6.3 billion$9.70$7.5512,684,41205/16/201628.43%247.04%
+AGN11/23/2015Pfizer Inc. (PFE)All Stock$160 billion$339.45$268.097,543,79712/31/201626.62%35.85%
+NPBC08/17/2015BB&T Corporation (BBT)Special Conditions$1.8 billion$13.00$10.7211,622,53804/01/201621.27%0.00%
+HUM07/03/2015Aetna Inc. (AET)Cash Plus Stock$37 billion$220.23$184.74685,28812/31/201619.21%25.88%
+NKA06/14/2015Brookfield Infrastructure (N/A)All Cash$911.9 million$4.23$3.5715,69512/31/201618.49%24.90%
+APOL02/08/2016A consortium of investors including The Vistria Group, LLC, funds affiliated with Apollo Global Management, LLC and and Najafi Companies (N/A)All Cash$1.1 billion$9.50$8.15983,81312/31/201616.56%22.31%
+ALR02/01/2016Abbott Laboratories (ABT)All Cash$5.8 billion$56.00$50.59600,73906/30/201610.69%44.86%
+RAD10/27/2015Walgreens Boots Alliance, Inc. (WBA)All Cash$17.2 billion$9.00$8.1911,465,82712/31/20169.89%13.32%
+HTCH11/02/2015TDK Corporation (N/A)Special Conditions$126 million$4.00$3.68141,98506/30/20168.70%36.48%
+IM02/17/2016Tianjin Tianhai Investment Company, Ltd. (N/A)All Cash$6 billion$38.90$35.941,722,48412/31/20168.24%11.09%
+BXLT01/11/2016Shire plc (SHPG)Cash Plus Stock$32 billion$43.91$40.829,721,75706/30/20167.56%31.73%
+AMTG02/26/2016Apollo Commercial Real Estate Finance, Inc. (ARI)Cash Plus Stock$641 million$14.25$13.30365,56908/15/20167.16%19.64%
+ITC02/09/2016Fortis Inc. (FTS.TO)Cash Plus Stock$11.3 billion$46.05$43.341,296,73812/31/20166.26%8.44%
+CVC09/17/2015Altice (N/A)All Cash$17.7 billion$34.90$32.952,286,93506/30/20165.92%24.83%
+TYC01/25/2016Johnson Controls Inc. (JCI)All Stock$16.5 billion$38.95$36.812,043,21509/30/20165.83%11.88%
+VAL03/20/2016The Sherwin-Williams Company (SHW)All Cash$11.3 billion$113.00$106.93874,89303/31/20175.68%5.74%
+NPD03/16/2016China Neptunus Drugstore Holding Ltd. and Neptunus Global Limited (N/A)All Cash$258.66 million$2.62$2.4961,26609/30/20165.22%10.65%
+MY02/03/2016A consortium of investors (the �Buyer Consortium�), including Mr. Chuanwei Zhang , the Chairman and Chief Executive Officer of the Company (N/A)All Cash$408 million$2.51$2.39480,97706/30/20165.02%21.06%
+MTSN12/01/2015Beijing E-Town Dragon Semiconductor Industry Investment Center (N/A)All Cash$300 million$3.80$3.65151,54606/30/20164.11%17.24%
+AF10/29/2015New York Community Bancorp Inc. (NYCB)Cash Plus Stock$2 billion$16.30$15.721,397,38712/31/20163.69%4.97%
+WIBC12/07/2015BBCN Bancorp, Inc. (BBCN)All Stock$1 billion$10.61$10.28199,56806/30/20163.18%13.36%
+SNDK10/21/2015Western Digital Corporation (WDC)Cash Plus Stock$19 billion$78.62$76.201,702,84309/30/20163.18%6.49%
+FCTY03/10/2016Midland Financial Co. (N/A)All CashN/A$11.22$10.889,64412/31/20163.13%4.21%
+MCOX12/22/2015Minat Associated Co. Ltd. (N/A)All CashN/A$4.00$3.881,46006/30/20163.09%12.98%
+MNRK12/17/2015Towne Bank (TOWN)All Stock$221 million$17.02$16.5222,40406/30/20163.00%12.58%
+MEG01/27/2016Nexstar Broadcasting Group, Inc. (NXST)Special Conditions$4.6 billion$17.14$16.65563,44812/15/20162.94%4.21%
+BNK11/09/2015Bank of the Ozarks, Inc. (OZRK)Special Conditions$402.5 million$25.00$24.3217,88604/30/20162.80%39.25%
+TWC05/26/2015Charter Communications, Inc. (CHTR)Cash Plus Stock$78.7 billion$210.06$205.031,736,56706/30/20162.45%10.29%
+DSKY12/31/2015Dream Investment Holdings Limited (N/A)All CashN/A$14.00$13.6853,87906/30/20162.34%9.81%
+FGL11/09/2015Anbang Insurance Group Co., Ltd. (N/A)All CashN/A$26.80$26.27325,28906/30/20162.02%8.46%
+HE12/03/2014NextEra Energy, Inc. (NEE)Special Conditions$4.3 billion$33.50$32.84494,37906/30/20162.01%8.43%
+DATE12/07/2015FutureWorld Inc. (N/A)All CashN/A$7.56$7.4220,80904/30/20161.89%26.49%
+EDE02/09/2016Algonquin Power & Utilities Corp. (AQN.TO)All Cash$2.4 billion$34.00$33.38275,17503/31/20171.86%1.88%
+PNX09/29/2015Nassau Reinsurance Group Holdings L.P. (N/A)All Cash$217.2 million$37.50$36.8320,45606/30/20161.82%7.63%
+CPGX03/17/2016TransCanada Corporation (TRP)All Cash$13 billion$25.50$25.089,383,58912/31/20161.67%2.26%
+ADT02/16/2016An Affiliate of Certain Funds Managed By Affiliates of Apollo Global Management, LLC (N/A)All Cash$6.94 billion$42.00$41.324,622,99106/30/20161.65%6.90%
+IHS03/21/2016Markit Ltd. (MRKT)All StockN/A$125.37$123.35550,45012/31/20161.64%2.21%
+FMER01/26/2016Huntington Bancshares Incorporated (HBAN)Cash Plus Stock$3.4 billion$21.44$21.111,470,36809/30/20161.58%3.22%
+RRM02/26/2016SES (N/A)All Cash$242 million$13.29$13.094,24508/15/20161.53%4.19%
+ATNY02/29/2016an affiliate of private equity firm J. F. Lehman & Company (N/A)All Cash$110 million$2.00$1.9717,81706/30/20161.52%6.39%
+AVNU01/29/2016Pinnacle Financial Partners Inc. (PNFP)Cash Plus Stock$201.4 million$19.55$19.339,98009/15/20161.16%2.57%
+CHEV11/24/2015MainSource Financial Group, Inc. (MSFG)All Stock$107.4 million$14.82$14.669,60709/30/20161.10%2.24%
+RSTI03/16/2016Coherent Inc. (COHR)All Cash$942 million$32.50$32.15320,06412/31/20161.09%1.47%
+VSCP03/25/2016BioTelemetry, Inc. (BEAT)All Cash$15.5 million$4.05$4.0120,48509/30/20161.00%2.03%
+CBNJ01/05/2016OceanFirst Financial Corp. (OCFC)Cash Plus Stock$208.1 million$13.57$13.4433,58409/30/20160.93%1.91%
+PULB12/03/2015First Busey Corporation (BUSE)All Stock$210.7 million$16.15$16.0012,09306/30/20160.92%3.87%
+BONA12/15/2015Mountain Tiger International Limited (N/A)All Cash$1 billion$13.70$13.58146,65406/30/20160.88%3.71%
+FNFG10/30/2015KeyCorp. (KEY)Cash Plus Stock$4.1 billion$9.76$9.681,345,01509/30/20160.82%1.68%
+GAS08/24/2015Southern Company (SO)All Cash$12 billion$66.00$65.51889,91512/31/20160.75%1.01%
+ARG11/17/2015Air Liquide (N/A)All Cash$13.4 billion$143.00$142.00637,71908/15/20160.70%1.93%
+KLAC10/21/2015Lam Research Corporation (LRCX)Cash Plus Stock$10.6 billion$73.47$73.05884,25006/30/20160.57%2.38%
+STR02/01/2016Dominion Resources, Inc. (D)All Cash$4.4 billion$25.00$24.861,820,48812/15/20160.56%0.81%
+NTLS08/10/2015Shenandoah Telecommunications Co. (SHEN)All Cash$640 million$9.25$9.21197,33203/31/20160.43%0.00%
+NTI12/21/2015Western Refining, Inc. (WNR)Cash Plus StockN/A$23.45$23.35161,29406/30/20160.42%1.75%
+LF02/05/2016VTech Holdings Limited (N/A)All Cash$72 million$1.00$0.996287,05206/30/20160.40%1.68%
+HPY12/15/2015Global Payments Inc. (GPN)Cash Plus Stock$4.3 billion$96.85$96.46196,49805/31/20160.40%2.56%
+ATML01/19/2016Microchip Technology Inc. (MCHP)Special Conditions$3.40 billion$8.15$8.125,887,03606/30/20160.37%1.55%
+BLT12/10/2015American Securities LLC and P2 Capital Partners, LLC (N/A)All Cash$855 million$10.00$9.97198,92806/30/20160.30%1.26%
+YOKU11/06/2015Alibaba Group Holding Limited (BABA)All Cash$5.37 billion$27.60$27.521,148,21804/15/20160.29%9.65%
+COB11/23/2015Capital Bank Financial Corp. (CBF)All Stock$350 million$13.31$13.2714,45503/31/20160.29%0.00%
+POWR02/24/2016Southern Company (SO)All Cash$431 million$18.75$18.70768,11806/30/20160.27%1.12%
+HMIN12/07/2015BTG Hotels Group (N/A)All CashN/A$35.80$35.71302,04106/30/20160.25%1.06%
+HOT11/16/2015Marriott International, Inc. (MAR)Special Conditions$13.6 billion$79.53$79.3811,881,06106/30/20160.19%0.79%
+JAH12/14/2015Newell Rubbermaid Inc. (NWL)Cash Plus Stock$13 billion$60.26$60.155,956,30006/30/20160.18%0.74%
+PNY10/26/2015Duke Energy Corporation (DUK)All Cash$6.7 billion$60.00$59.90375,70212/31/20160.17%0.22%
+JMG10/07/2015Gannett Co., Inc. (GCI)All Cash$280 million$12.00$11.9897,87704/30/20160.17%2.34%
+CNL10/20/2014Macquarie Infrastructure and Real Assets (MIRA) and British Columbia Investment Management Corporation (bcIMC) (N/A)All Cash$4.7 billion$55.37$55.281,031,15404/30/20160.16%2.29%
+FCS11/18/2015ON Semiconductor Corp. (ON)All Cash$2.4 billion$20.00$20.00605,54304/14/20160.00%0.00%
+CKEC03/03/2016AMC Entertainment Holdings, Inc. (AMC)All Cash$1.1 billion$30.00$30.01572,82812/31/2016-0.03%-0.04%
+TE09/05/2015Emera (N/A)All Cash$10.4 billion$27.55$27.562,681,51306/30/2016-0.04%-0.15%
+NEWP02/23/2016MKS Instruments, Inc. (MKSI)All Cash$980 million$23.00$23.01322,70706/30/2016-0.04%-0.18%
+CKP03/02/2016an affiliate of CCL Industries Inc. (N/A)All Cash$443 million$10.15$10.16387,32809/30/2016-0.10%-0.20%
+TFM03/14/2016Apollo Global Management, LLC (APO)All Cash$1.36 billion$28.50$28.531,535,82506/30/2016-0.11%-0.44%
+WCN01/19/2016Progressive Waste Solutions Ltd. (BIN)All StockN/A$64.57$64.861,387,35906/30/2016-0.45%-1.88%
+JMI03/02/2016ARMOUR Residential REIT, Inc. (ARR)Special Conditions$84.7 million$7.14$7.18173,98006/30/2016-0.56%-2.34%
+RSE02/25/2016an affiliate of Brookfield Asset Management Inc. (N/A)All Cash$2.8 billion$18.25$18.37202,88409/30/2016-0.65%-1.33%
+TUMI03/03/2016Samsonite International S.A. (N/A)All Cash$1.8 billion$26.75$26.93547,68006/30/2016-0.67%-2.80%
+LPSB03/10/2016Horizon Bancorp (HBNC)All Stock$94.1 million$15.47$15.7114,42409/30/2016-1.51%-3.07%
+FXCB12/08/2015Univest Corporation of Pennsylvania (UVSP)All Stock$244.3 million$19.10$19.4729,30909/30/2016-1.89%-3.85%
+HFFC11/30/2015Great Western Bancorp. Inc. (GWB)All Stock$139.5 million$18.06$18.4460,66306/30/2016-2.04%-8.57%
+BITI01/19/2016Acorda Therapeutics, Inc. (ACOR)All Cash$363 million$25.60$26.3212,29409/30/2016-2.74%-5.58%
+RNF08/10/2015CVR Partners, LP (UAN)Cash Plus Stock$840 million$10.97$11.4110004/30/2016-3.83%-53.74%
+ABCW01/12/2016Old National Bancorp. (ONB)All Stock461 million$43.46$45.2218,60406/30/2016-3.90%-16.35%
+VBIV10/26/2015SciVac Therapeutics Inc. (SVACF)All StockN/A$2.23$2.3239,75204/30/2016-4.03%-56.58%
+FSYS09/01/2015Westport Innovations Inc. (WPRT)All Stock$126.36 million$4.62$5.5540,41603/31/2016-16.76%1529.17%
+LSG02/08/2016Tahoe Resources Inc. (TAHO)All Stock$677 million$1.47$1.90915,35404/15/2016-22.56%-748.51%
+CACQ12/22/2014Caesars Entertainment Corporation (CZR)All StockN/A$4.38$5.8056,12203/31/2015-24.56%24.22%

Disclaimer: Clients of Signal Partners, LLC  and I may have positions in any of these stocks at any time. Please do your own due diligence before buying or selling any securities mentioned in this article. We do not warrant the completeness or accuracy of the content or data provided in this article.

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