InsideArbitrage Event Driven Monitor – December 21, 2022

  • December 21, 2022

Quick updates on the event-driven strategies we follow on InsideArbitrage.

Merger Arbitrage

  1. Ritchie Bros. Auctioneers Incorporated (RBA) and IAA, Inc. (IAA) announced expiration of the waiting period under the HSR Act and receipt of a no-action letter from the Canadian Commissioner of Competition. The parties have received all necessary regulatory clearance. The transaction is expected to close in the first half of 2023.
  2. Shareholders of Professional Holding (PFHD) approved the company’s merger with Seacoast Banking Corporation of Florida (SBCF) at a special meeting of shareholders.
  3. Taylor Maritime Investments Limited and Grindrod Shipping Holdings (GRIN) jointly announced the expiration of the subsequent offering period.
  4. According to Reuters, EU antitrust regulators have asked game developers and distributors if they think Microsoft (MSFT) will block their access to Activision Blizzard’s (ATVI) games once it has bought the company.
  5. According to Reuters, European antitrust regulators have opened an in-depth investigation into Broadcom’s (AVGO) proposed bid for VMware (VMW). “The Commission is particularly concerned that the transaction would allow Broadcom to restrict competition in the market for certain hardware components which interoperate with VMware’s software,” the European Commission said in a statement.

Deals In The Works

  1. iClick Interactive Asia (ICLK) received a preliminary non-binding bid from a consortium of company insiders to acquire all ordinary shares and American depositary shares for $4.0672 per ADS in cash, or $0.81344 per ordinary share.

You can check out new deals, all deal updates and spreads on active deals in our Merger Arbitrage Tool for premium members here.

Insider Purchases

  1. Simeon George, a Director of biotech company Design Therapeutics Inc. (DSGN), purchased 900,000 shares at an average price of $8.42 totaling $7.57 million.
  2. Matthew J. Gould, the SVP of REIT BRT Apartments Corp. (BRT), purchased 26,973 shares at an average price of $19.70 totaling $531,502. Jeffrey Gould, the President and CEO of the company also purchased 26,573 shares for a total of $523,493. These shares were purchased indirectly through Gould Investors L.P.
  3. A. James Teague, the Co-CEO of midstream oil and gas company Enterprise Products Partners L.P. (EPD), purchased 21,150 shares at an average price of $23.60 totaling $499,159.
  4. Michael Joseph Sheldon, a Director of mid-market investment bank B. Riley Financial Inc. (RILY), purchased 10,026 shares at an average price of $39.86 totaling $399,627. Another Director purchased an additional 247 shares for a total of $9,978.
  5. James W. Barge, the CFO of Lions Gate Entertainment Corp. (LGF.B), purchased 54,000 shares at an average price of $5.69 totaling $307,154.
  6. Michael Mcshane, a Director of oilfield products company Forum Energy Technologies Inc. (FET), purchased 5,000 shares at an average price of $30.07 totaling $150,350.
  7. Richard W. Baker, a Director of bank holding company Guaranty Bancshares Inc. (GNTY), purchased 3,616 shares at an average price of $34.47 totaling $124,644.
  8. Jeffrey Keenan, a Director of paper and other materials production company Mativ Holdings, Inc. (MATV), purchased 4,902 shares at an average price of $19.83 totaling $97,207.
  9. Alan Yu, the CEO and Chairman of the Board of food packaging and disposable products manufacturer Karat Packaging Inc. (KRT), purchased 7,100 shares at an average price of $12.97 totaling $92,087. The VP of Manufacturing and Secretary of Packaging and Containers also purchased 1,000 shares for a total of $13,440.
  10. Jacob Vincent Micallef, the Chief Scientific Officer of blood test development company VolitionRX Ltd. (VNRX), purchased 32,339 shares at an average price of $2.22 totaling $71,884. The CEO of the Volition Veterinary sector also purchased 5,000 shares for a total of $11,350.
  11. Lewis A. Fanger, the SVP, CFO and Treasurer of casino and resort operator Full House Resorts Inc. (FLL), purchased 10,000 shares at an average price of $7.00 totaling $70,000.
  12. Greg Washer, a Director of indirect automobile financing company Consumer Portfolio Service Inc. (CPSS), purchased 9,000 shares at an average price of $7.77 totaling $69,920.
  13. Mary Lou Jepsen, a Director of autonomous vehicle sensor and software company Luminar Technologies Inc. (LAZR), purchased 10,109 shares at an average price of $6.66 totaling $67,281. Another Director, Alec Gores, also purchased 7,953 shares for a total of $52,910. Mr. Gores purchased these shares indirectly through AEG Holdings.
  14. Thomas Caldecot Chubb III, a Director of packaged bakery foods producer Flowers Foods Inc. (FLO), purchased 2,000 shares at an average price of $28.42 totaling $56,840.
  15. Murray Stahl, a Director of Texas landowner Texas Pacific Land Corp. (TPL), purchased 21 shares at an average price of $2,510.80 totaling $52,727.
  16. Thomson Leighton, the CEO of digital solutions company Akamai Technologies Inc. (AKAM), purchased 592 shares at an average price of $84.53 totaling $50,040.
  17. Michael J. Gerdin, the CEO of Iowa-based trucking company Heartland Express Inc. (HTLD), purchased 2,881 shares at an average price of $16.24 totaling $46,787.
  18. Steven D. Metzger, the EVP & General Counsel of funeral home operator Carriage Services Inc. (CSV), purchased 1,000 shares at an average price of $26.98 totaling $26,980.

Stock Buyback Announcements

  1. Fulton Financial Corporation (FULT) has approved the repurchase of up to $100 million of shares of Fulton’s common stock, representing 3.6% of its market cap at announcement.
  2. SITE Centers Corp. (SITC) authorized a new $100 million common stock repurchase program, representing 3.6% of its market cap at announcement.
  3. First Internet Bancorp (INBK) has authorized a new $25 million stock repurchase program, representing around 12% of its market cap at announcement.

C-Suite Transitions

Appointments

  1. Erie Indemnity Company (ERIE): Julie M. Pelkowski has been appointed Executive Vice President and Chief Financial Officer
  2. Ross Stores (ROST): appoints Jeffrey Burrill, Senior Vice President, Corporate Controller, as Chief Accounting Officer.
  3. Workday (WDAY): appoints Carl M. Eschenbach as co-Chief Executive Officer
  4. SmartKem (SMTK): appoints Barbra C. Keck as Chief Financial Officer
  5. Xylem (XYL): appoints Matthew F. Pine as Chief Operating Officer, effective January 1, 2023.
  6. Par Pacific Holdings (PARR): appoints William Monteleone as President and Shawn Flores as Senior Vice President and Chief Financial Officer , effective January 1, 2023

Departures

  1. KVH Industries (KVHI): Jennifer L. Baker, Vice President and Chief Accounting Officer steps down effective January 3, 2023
  2. Vimeo (VMEO): Mark Kornfilt, President notified the Board of his intention to resign as President effective March 31, 2023.
  3. Lions Gate Entertainment (LGFA): Corii D. Berg resigned as the General Counsel
  4. Workday (WDAY): Luciano G. Fernandez informed the Board of his intention to resign from his position as Workday’s co-CEO

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.