Merger activity remained stuck in neutral last week with no new deals announced and no deals closing. We did have one deal enter into litigation and arbitrageurs are watching it closely to see if the courts can force the acquiring company to close the deal on the original terms.
There were a few updates for some active deals in our table. Forescout Technologies (FSCT) commenced a litigation against Advent International after Advent notified Forescout that it would not consummate the acquisition on May 18, 2020, as scheduled. The Board of Directors of Tetraphase Pharmaceuticals (TTPH) determined that the latest proposal from Melinta Therapeutics is a “Superior Offer”. Argonaut Gold and Alio Gold (ALO) announced that Argonaut (ARNGF) received approval from their shareholders for their merger agreement and CenterState Bank Corporation (CSFL) and South State Corporation (SSB) received approval from the Board of Governors of the Federal Reserve System for their merger of equals.
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 last week. The Board of Directors of comScore (SCOR) announced last week that they remain focused on evaluating all financial and operational strategies that would maximize shareholder value, including a sale of the Company.
Weekly Spread Changes:
The table below shows weekly spread changes between May 15, 2020, and May 22, 2020.
Symbol | Quote | Acquiring Company | Acquiring Company Quote | Current Spread | Last Week Spread | Spread Change Weekly | Deal Type |
---|---|---|---|---|---|---|---|
FSCT | 23.4 | Advent International (N/A) | 41.03% | 11.79% | 29.24% | All Cash | |
YTRA | 1.01 | Ebix, Inc. (EBIX) | 20.59 | 103.86% | 79.79% | 24.07% | All Stock |
QES | 0.815 | KLX Energy Services Holdings, Inc. (KLXE) | 1.66 | -1.34% | -18.07% | 16.73% | All Stock |
LACQ | 10.42 | GTWY Holdings Limited (N/A) | 10.36% | 0.88% | 9.48% | Special Conditions | |
SDI | 11.83 | Turning Point Brands, Inc. (TPB) | 22.96 | 10.63% | 4.75% | 5.88% | All Stock |
TTPH | 2.64 | AcelRx Pharmaceuticals, Inc. (ACRX) | 1.52 | -63.71% | -59.71% | -4.00% | All Stock |
ASFI | 12.4 | Stern Group (N/A) | 0.00 | -7.50% | 0.70% | -8.20% | All Cash |
QUMU | 2.56 | Synacor, Inc. (SYNC) | 1.13 | -28.93% | -17.10% | -11.83% | All Stock |
GNW | 3.17 | China Oceanwide Holdings Group Co., Ltd. (N/A) | 71.29% | 101.11% | -29.82% | All Cash | |
CDOR | 3.17 | NexPoint Hospitality Trust (N/A) | 250.16% | 282.76% | -32.60% | All Cash |
Deal Statistics:
Total Number of Deals Closed in 2020 | 59 |
Total Number of Deals Not Completed in 2020 | 6 |
Total Number of Pending Deals | |
Cash Deals | 24 |
Stock Deals | 22 |
Stock & Cash Deals | 4 |
Special Conditions | 4 |
Total Number of Pending Deals | 54 |
Aggregate Deal Consideration | $531.04 billion |
Deal Updates:
Top 10 deals with largest spreads:
Symbol | Announced Date | Acquiring Company | Closing Price | Last Price | Closing Date | Profit | Annualized Profit |
---|---|---|---|---|---|---|---|
CDOR | 07/22/2019 | NexPoint Hospitality Trust (N/A) | $11.10 | $3.17 | 06/30/2020 | 250.16% | 2467.77% |
YTRA | 07/17/2019 | Ebix, Inc. (EBIX) | $2.06 | $1.01 | 06/30/2020 | 103.86% | 1024.58% |
GNW | 10/23/2016 | China Oceanwide Holdings Group Co., Ltd. (N/A) | $5.43 | $3.17 | 06/30/2020 | 71.29% | 703.30% |
FSCT | 02/06/2020 | Advent International (N/A) | $33.00 | $23.40 | 06/30/2020 | 41.03% | 404.71% |
TCO | 02/10/2020 | Simon Property Group, Inc. (SPG) | $52.50 | $39.3 | 06/30/2020 | 33.59% | 331.34% |
CETV | 10/27/2019 | PPF Group N.V. (N/A) | $4.58 | $3.98 | 06/30/2020 | 15.08% | 148.72% |
FIT | 11/01/2019 | Google LLC (GOOG) | $7.35 | $6.43 | 06/30/2020 | 14.31% | 141.15% |
TCBI | 12/09/2019 | Independent Bank Group, Inc. (IBTX) | $32.20 | $28.52 | 06/30/2020 | 12.91% | 127.33% |
BREW | 11/12/2019 | Anheuser-Busch (N/A) | $16.50 | $14.91 | 06/30/2020 | 10.66% | 105.20% |
SDI | 04/08/2020 | Turning Point Brands, Inc. (TPB) | $13.09 | $11.83 | 06/30/2020 | 10.63% | 104.84% |
List of all pending deals:
Disclaimer: 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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