Merger Arbitrage Mondays – August 7, 2017
Merger activity decreased last week with five new deals announced, five deals closing. You can find all the active deals listed below in our Merger Arbitrage Tool (MAT) that automatically updates itself during market hours.
There was one new deal announced in the Deals in the Works section.
Deal Statistics:
New Deals:
- The acquisition of Scripps Networks Interactive (SNI) by Discovery Communications (DISCK) for $14.6 billion in a cash plus stock deal. Scripps shareholders will receive $90 per share under the terms of the agreement, comprised of $63.00 per share in cash and $27.00 per share in Class C Common shares of Discovery stock. The stock portion will be subject to a collar based on the volume weighted average price of Discovery Class C Common Shares over the 15 trading days ending on the third trading day prior to closing. Scripps shareholders will receive 1.2096 Discovery Class C Common shares if the Average Discovery Price is at or below $22.32, and 0.9408 Discovery Class C Common shares if the Average Discovery Price is at or above $28.70. If the Average Discovery Price is greater than $22.32 but less than $28.70, Scripps shareholders will receive a number of shares between 1.2096 and 0.9408 equal to $27.00 in value. If the Average Discovery Price is between $22.32 and $25.51, Discovery has the option to pay additional cash instead of issuing more shares. Scripps shareholders will have the option to elect to receive their consideration in cash, stock or the mixture described above, subject to pro rata cut backs to the extent cash or stock is oversubscribed. Because of the complex structure of this deal, we are treating it as a Special Conditions deal with a deal price of $90.
- The acquisition of CDI Corp. (CDI) by affiliates of AE Industrial Partners for $168 million or $8.25 per share in cash.
- The acquisition of PharMerica Corporation (PMC) by KKR & Co. (KKR) for $1.39 billion or $29.25 per share in cash.
Only plus or premium subscribers can access this post. Subscribe today.
