Merger Arbitrage Mondays – September 5, 2016

  • September 5, 2016

Merger activity decreased last week with three new deals announced and six 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 2016147
Total Number of Deals Not Completed in 201611
Total Number of Pending Deals
Cash Deals60
Stock Deals19
Stock & Cash Deals11
Special Conditions8
Total Number of Pending Deals98
Total Deal Size$1018.52 billion

New Deals:

  1. The acquisition of Interactive Intelligence Group (ININ) by Genesys for $1.4 billion or $60.50 per share in cash.
  2. The acquisition of Cynapsus Therapeutics (CYNA) by Sunovion Pharmaceuticals for $624 million or $40.50 per share in cash.
  3. The acquisition of Accuride (ACW) by funds managed by Crestview Partners for $124.5 million or $2.58 per share in cash.
  4.  Macrocure (MCUR) and Leap Therapeutics announced the signing of a  definitive merger agreement. Macrocure will become a wholly owned subsidiary of Leap, and Leap will become a public company. Under the terms of the agreement, Macrocure shareholders will exchange their Macrocure shares for newly issued shares of Leap common stock. We are not adding this deal to our database.

Deal Updates:

  1. On August 25, 2016, Resource America (REXI) announced that Resource America stockholders, at a special meeting, approved the pending merger of Resource America with a subsidiary of C-III Capital Partners. The merger is expected to close on September 8, 2016.
  2. On August 30, 2016, ARM Holdings (ARMH) shareholders approved the takeover by SoftBank. The deal is expected to be completed next Monday.
  3. On August 31, 2016, a regulatory filing by Tesla (TSLA) showed that Lazard (LAZ), the investment bank that advised SolarCity (SCTY) on its $2.6 billion sale to Tesla Motors, made an error in its analysis that discounted the value of the U.S. solar energy company by $400 million.
  4. On September 2, 2016, the Justice Department said that Nexstar Broadcast Group (NXST) has won U.S. antitrust approval to buy Media General (MEG) on condition that it sell seven television stations.
  5. On September 2, 2016, representatives for Alere said that a Delaware judge granted a motion to expedite Alere’s (ALR) lawsuit against Abbott Laboratories (ABT), which seeks to ensure that Abbott lives up to the terms of its $5.8 billion takeover of the diagnostics company.

Closed Deals:

  1. The acquisition of Sagent Pharmaceuticals (SGNT) by Nichi-Iko Pharmaceutical on August 29, 2016. It took 49 days for this deal to be completed.
  2. The acquisition of Nortek (NTK) by Melrose Industries on August 31, 2016. It took 56 days for this deal to be completed.
  3. The acquisition of Transition Therapeutics (TTHI) by Opko Health (OPK) on August 31, 2016. It took 62 days for this deal to be completed.
  4. The acquisition of Axiall Corporation (AXLL) by Westlake Chemical (WLK) on August 31, 2016. It took 82 days for this deal to be completed.
  5. The acquisition of Apollo Residential Mortgage (AMTG) by Apollo Commercial Real Estate Finance (ARI) on August 31, 2016. It took 187 days for this deal to be completed.
  6. The acquisition of Relypsa (RLYP) by Galenica Group on September 2, 2016. It took 43 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
HTCH11/02/2015TDK Corporation (N/A)$4.00$1.4909/30/2016168.46%2459.46%
ALR02/01/2016Abbott Laboratories (ABT)$56.00$39.1312/31/201643.11%134.50%
CI07/24/2015Anthem, Inc. (ANTM)$167.41$128.1803/31/201730.60%53.96%
HUM07/03/2015Aetna Inc. (AET)$222.76$177.3312/31/201625.62%79.92%
RAD10/27/2015Walgreens Boots Alliance, Inc. (WBA)$9.00$7.5912/31/201618.58%57.95%
SCTY08/01/2016Tesla Motors (TSLA)$21.76$18.4804/30/201717.73%27.30%
FGL11/09/2015Anbang Insurance Group Co., Ltd. (N/A)$26.80$23.0506/30/201616.27%-88.63%
WGBS05/13/2016Takara Bio USA Holdings, Inc. (N/A)$0.95$0.83003/31/201714.46%25.49%
KLAC10/21/2015Lam Research Corporation (LRCX)$79.18$70.2012/31/201612.79%39.91%
APOL02/08/2016A consortium of investors including The Vistria Group, LLC, funds affiliated with Apollo Global Management, LLC and and Najafi Companies (N/A)$10.00$8.9008/31/201612.36%-902.25%

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
+HTCH11/02/2015TDK Corporation (N/A)Special Conditions$126 million$4.00$1.49109,29609/30/2016168.46%2459.46%
+ALR02/01/2016Abbott Laboratories (ABT)All Cash$5.8 billion$56.00$39.131,057,13912/31/201643.11%134.50%
+CI07/24/2015Anthem, Inc. (ANTM)Cash Plus Stock$54.2 billion$167.41$128.18524,72403/31/201730.60%53.96%
+HUM07/03/2015Aetna Inc. (AET)Cash Plus Stock$37 billion$222.76$177.33467,44712/31/201625.62%79.92%
+RAD10/27/2015Walgreens Boots Alliance, Inc. (WBA)All Cash$17.2 billion$9.00$7.595,304,35312/31/201618.58%57.95%
+SCTY08/01/2016Tesla Motors (TSLA)All Stock$5.4 billion$21.76$18.485,269,02104/30/201717.73%27.30%
+FGL11/09/2015Anbang Insurance Group Co., Ltd. (N/A)All CashN/A$26.80$23.05264,27606/30/201616.27%0.00%
+WGBS05/13/2016Takara Bio USA Holdings, Inc. (N/A)Special Conditions$18 million$0.95$0.830228,42703/31/201714.46%25.49%
+KLAC10/21/2015Lam Research Corporation (LRCX)Cash Plus Stock$10.6 billion$79.18$70.20850,70612/31/201612.79%39.91%
+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$10.00$8.90147,53408/31/201612.36%0.00%
+LXK04/19/2016consortium of investors led by Apex Technology Co., Ltd. (Apex) and PAG Asia Capital (PAG) (N/A)All Cash$3.6 billion$40.50$36.27220,96212/31/201611.66%36.38%
+IM02/17/2016Tianjin Tianhai Investment Company, Ltd. (N/A)All Cash$6 billion$38.90$34.88416,22212/31/201611.53%35.95%
+CVT04/18/2016affiliates of Vista Equity Partners (N/A)All Cash$1.65 billion$36.00$32.45146,59709/30/201610.94%159.72%
+TSL08/01/2016Investor consortium comprising Mr. Gao and other entities. (N/A)All Cash$2.3 billion$11.60$10.49633,93903/31/201710.58%18.66%
+AIXG05/23/2016Fujian Grand Chip Investment Fund LP (N/A)All Cash$748.36 million$6.66$6.1113,54812/31/20169.00%28.08%
+WR05/31/2016Great Plains Energy Incorporated (GXP)Special Conditions$12.2 billion$60.00$55.25437,11603/31/20178.60%15.16%
+VAL03/20/2016The Sherwin-Williams Company (SHW)All Cash$11.3 billion$113.00$105.75247,41403/31/20176.86%12.09%
+IOC07/21/2016Exxon Mobil Corporation (XOM)Special Conditions$2.5 billion$52.07$49.08234,30909/30/20166.09%88.94%
+STJ04/28/2016Abbott Laboratories (ABT)Cash Plus Stock$25 billion$83.40$78.651,885,94112/31/20166.04%18.85%
+CFNL08/18/2016United Bankshares, Inc. (UBSI)All Stock$912 million$27.85$26.63210,68406/30/20174.59%5.63%
+SEMI08/17/2016GlobalWafers Co., Ltd. (N/A)All Cash$683 million$12.00$11.50401,54006/30/20174.35%5.33%
+JOY07/21/2016Komatsu America Corp. (N/A)All Cash$3.7 billion$28.30$27.26853,90506/30/20173.82%4.67%
+PBCP06/02/2016Prudential Bancorp, Inc. (PBIP)Special Conditions$38.1 million$11.28$10.9046112/31/20163.49%10.88%
+STRZA06/30/2016Lions Gate Entertainment Corp. (LGF)Cash Plus Stock$4.4 billion$31.89$30.84906,19912/31/20163.42%10.66%
+LLTC07/26/2016Analog Devices, Inc. (ADI)Cash Plus Stock$14.8 billion$60.66$58.761,148,96306/30/20173.23%3.95%
+HOT11/16/2015Marriott International, Inc. (MAR)Special Conditions$13.6 billion$79.53$77.181,389,37107/31/20163.04%0.00%
+CKEC03/03/2016AMC Entertainment Holdings, Inc. (AMC)All Cash$1.1 billion$33.06$32.0975,73012/31/20163.02%9.43%
+YDKN07/21/2016F.N.B. Corporation (FNB)All Stock$1.4 billion$26.94$26.15180,80403/31/20173.00%5.29%
+DANG05/31/2016Dangdang Holding Company Limited and Dangdang Merger Company Limited (N/A)All Cash$556 million$6.70$6.53367,01412/31/20162.60%8.12%
+MGN05/24/2016Hecla Mining Co. (HL)All StockN/A$1.31$1.28174,48609/30/20162.41%35.17%
+OSHC07/13/2016OceanFirst Financial Corp. (OCFC)Cash Plus Stock$145.6 million$23.47$22.923,63201/31/20172.41%5.93%
+CIFC08/19/2016F.A.B. Partners (N/A)All Cash$333 million$11.46$11.201,54812/31/20162.32%7.24%
+SCNB06/27/2016People’s United Financial Inc. (PBCT)All Stock$402 million$36.33$35.5430,43912/31/20162.23%6.97%
+ITC02/09/2016Fortis Inc. (FTS.TO)Cash Plus Stock$11.3 billion$46.84$45.83801,84912/31/20162.21%6.88%
+LSBG05/05/2016Bar Harbor Bankshares (BHB)All Stock$143 million$18.34$17.956,73503/31/20172.17%3.82%
+VA04/04/2016Alaska Air Group, Inc. (ALK)All Cash$4 billion$57.00$55.82344,52601/01/20172.11%6.54%
+CYNA08/31/2016Sunovion Pharmaceuticals Inc. (N/A)All Cash$624 million$40.50$39.68803,20512/31/20162.07%6.45%
+CLBH06/22/2016First Bancorp (FBNC)All Stock$97.3 million$20.10$19.7236903/31/20171.93%3.40%
+RAX08/26/2016affiliates of Apollo Global Management, LLC (N/A)All Cash$4.3 billion$32.00$31.475,212,46012/31/20161.68%5.25%
+LNKD06/13/2016Microsoft Corporation (MSFT)All Cash$26.2 billion$196.00$192.80429,90812/31/20161.66%5.18%
+EVER08/08/2016TIAA (N/A)All Cash$2.5 billion$19.50$19.20611,96506/30/20171.56%1.91%
+CBNK04/04/2016Westfield Financial Inc. (WFD)All Stock$110 million$18.50$18.2224212/31/20161.55%4.84%
+AF10/29/2015New York Community Bancorp Inc. (NYCB)Cash Plus Stock$2 billion$15.86$15.63326,40412/31/20161.47%4.59%
+TLN06/03/2016affiliates of Riverstone Holdings LLC (N/A)All Cash$5.2 billion$14.00$13.80769,62912/31/20161.45%4.52%
+CST08/22/2016Alimentation Couche-Tard Inc. (N/A)All Cash$4.4 billion$48.53$47.85788,29803/31/20171.42%2.51%
+EVHC06/15/2016AmSurg Corp. (AMSG)All Stock$7.66 billion$22.47$22.185,285,39412/31/20161.33%4.15%
+RSTI03/16/2016Coherent Inc. (COHR)All Cash$942 million$32.50$32.10195,38612/31/20161.25%3.89%
+PWX08/15/2016Genesee & Wyoming Inc. (GWR)All Cash$126 million$25.00$24.702,13312/31/20161.21%3.79%
+DSKY12/31/2015Dream Investment Holdings Limited (N/A)All CashN/A$14.00$13.8444,58806/30/20161.16%0.00%
+WWAV07/07/2016Danone (N/A)All Cash$12.5 billion$56.25$55.661,508,56812/31/20161.06%3.31%
+NHLD04/28/2016Fortress Biotech, Inc. (FBIO)All CashN/A$3.25$3.22114,43208/15/20160.93%0.00%
+MHGC05/09/2016SBE (N/A)All Cash$794 million$2.25$2.2321,06912/31/20160.90%2.80%
+FEIC05/27/2016Thermo Fisher Scientific, Inc. (TMO)All Cash$4.2 billion$107.50$106.61260,11001/31/20170.83%2.06%
+MDVN08/22/2016Pfizer Inc. (PFE)All Cash$14 billion$81.50$80.853,219,82612/31/20160.80%2.51%
+PPS08/15/2016Mid-America Apartment Communities Inc. (MAA)All Stock$3.88 billion$68.04$67.59423,62212/31/20160.66%2.07%
+SAAS05/18/2016NICE Systems Ltd. (NICE)All Cash$940 million$14.00$13.92342,33612/31/20160.57%1.79%
+RRMS05/31/2016SemGroup Corporation (SEMG)All Stock$1.74 billion$25.34$25.21111,67709/30/20160.53%7.74%
+SKUL08/24/2016Mill Road (N/A)All Cash$196.6 million$6.35$6.3260,74809/30/20160.47%6.93%
+FCS11/18/2015ON Semiconductor Corp. (ON)All Cash$2.4 billion$20.00$19.91371,05409/01/20160.45%0.00%
+OUTR07/25/2016affiliates of certain funds managed by affiliates of Apollo Global Management, LLC (N/A)All Cash$1.6 billion$52.00$51.79620,66609/30/20160.41%5.92%
+AVG07/07/2016Avast Software (N/A)All Cash$1.3 billion$25.00$24.91190,20910/15/20160.36%3.30%
+BBX07/28/2016BFC Financial (BFCF)All Cash$293 million$20.00$19.934,26506/30/20170.35%0.43%
+PLCM07/08/2016Siris Capital Group, LLC (N/A)All Cash$2 billion$12.50$12.461,140,93709/30/20160.32%4.69%
+YCB05/03/2016WesBanco Inc. (WSBC)Cash Plus Stock$221 million$39.23$39.116,26212/31/20160.31%0.98%
+MRD05/16/2016Range Resources Corporation (RRC)All Stock$4.4 billion$15.18$15.14963,44212/31/20160.24%0.75%
+RDEN06/16/2016Revlon, Inc. (REV)All Cash$870 million$14.00$13.97181,25212/31/20160.21%0.67%
+IMPR07/13/2016an affiliate of Thoma Bravo, LLC (N/A)All Cash$544 million$19.25$19.21203,38112/31/20160.21%0.65%
+EDE02/09/2016Algonquin Power & Utilities Corp. (AQN.TO)All Cash$2.4 billion$34.00$33.9399,19403/31/20170.21%0.36%
+FLTX08/01/2016Verizon (VZ)All Cash$2.4 billion$60.00$59.90571,42112/31/20160.17%0.52%
+GLDC07/19/2016Utz Quality Foods, Inc. (N/A)All Cash$135 million$12.00$11.9832,75312/31/20160.17%0.52%
+DRII06/29/2016Apollo Global Management, LLC (APO)All Cash$2.2 billion$30.25$30.2240012/31/20160.10%0.31%
+PGND08/09/2016EQT Equity fund EQT VII (N/A)All Cash$2.35 billion$40.50$40.46249,64712/31/20160.10%0.31%
+PKY04/29/2016Cousins Properties Incorporated (CUZ)All Stock$1.95 billion$18.21$18.19389,38612/31/20160.09%0.29%
+FCLF04/26/2016First Mid-Illinois Bancshares, Inc. (FMBH)All Stock$90 million$12.46$12.4521,85812/31/20160.07%0.23%
+ININ08/31/2016Genesys (N/A)All Cash$1.4 billion$60.50$60.46907,71112/31/20160.07%0.21%
+GK08/16/2016Cintas Corporation (CTAS)All Cash$2.2 billion$97.50$97.44199,46402/28/20170.06%0.13%
+EPIQ07/27/2016OMERS Private Equity and Harvest Partners (N/A)All Cash$1 billion$16.50$16.49130,39612/31/20160.06%0.19%
+MFRM08/07/2016Steinhoff International Holdings NV (N/A)All Cash$3.8 billion$64.00$63.98387,27309/30/20160.03%0.46%
+REXI05/23/2016C-III Capital Partners (N/A)All Cash$270 million$9.78$9.7838,07409/08/20160.00%0.00%
+SMT05/26/2016Foxconn Technology Group (N/A)All CashN/A$4.50$4.503,67807/31/20160.00%0.00%
+SQNM07/27/2016Laboratory Corporation of America (LH)All Cash$371 million$2.40$2.40526,26812/31/20160.00%0.00%
+SGI08/12/2016Hewlett Packard Enterprise Company (HPE)All Cash$275 million$7.75$7.75402,05901/31/20170.00%0.00%
+ACW09/02/2016funds managed by Crestview Partners (N/A)All Cash$124.5 million$2.58$2.588,113,46612/31/20160.00%0.00%
+NATL07/25/2016Great American Insurance Company (N/A)All Cash$660 million$32.50$32.5519,06712/31/2016-0.15%-0.48%
+COB11/23/2015Capital Bank Financial Corp. (CBF)All Stock$350 million$13.63$13.663,04206/30/2016-0.21%1.16%
+PNY10/26/2015Duke Energy Corporation (DUK)All Cash$6.7 billion$60.00$60.14180,42312/31/2016-0.23%-0.73%
+STR02/01/2016Dominion Resources, Inc. (D)All Cash$4.4 billion$25.00$25.07571,37412/31/2016-0.28%-0.87%
+ASEI06/21/2016OSI Systems, Inc. (OSIS)All Cash$269 million$37.00$37.1327,08612/31/2016-0.35%-1.09%
+IMS05/03/2016Quintiles Transnational Holdings Inc. (Q)All Stock$9 billion$29.55$29.70232,24312/31/2016-0.50%-1.55%
+ARMH07/18/2016SoftBank Group (SFBTY)All Cash$32 billion$67.32$67.772,103,14709/05/2016-0.66%0.00%
+TYC01/25/2016Johnson Controls Inc. (JCI)All Stock$16.5 billion$45.22$45.5928,366,09809/02/2016-0.81%98.01%
+AEPI08/25/2016Berry Plastics Group, Inc. (BERY)All Cash$765 million$110.00$111.39192,16912/31/2016-1.25%-3.89%
+ACAS05/23/2016Ares Capital Corporation (ARCC)Cash Plus Stock$3.4 billion$16.78$17.051,261,30805/31/2017-1.60%-2.19%
+TIVO04/29/2016Rovi Corporation (ROVI)Special Conditions$1.1 billion$10.70$11.023,385,48609/30/2016-2.90%-42.40%
+MEG01/27/2016Nexstar Broadcasting Group, Inc. (NXST)Special Conditions$4.6 billion$17.14$18.051,331,09212/15/2016-5.04%-18.22%
+AEGR06/15/2016QLT Inc. (QLTI)All Stock$267.27 million$1.49$1.6094,71712/31/2016-7.06%-22.01%
+MWW08/09/2016Randstad Holding (N/A)All Cash$429 million$3.40$3.72789,41212/31/2016-8.60%-26.84%
+CACQ12/22/2014Caesars Entertainment Corporation (CZR)All StockN/A$4.08$12.1887,60612/31/2016-66.47%-207.37%

Disclaimer: I hold long positions in Apollo Education (APOL), Monster Worldwide (MWW) and Hutchinson Technology (HTCH). 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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