Merger activity increased last week with five new deals announced and five deals closing.
|Total Number of Deals Closed in 2019||144|
|Total Number of Deals Not Completed in 2019||9|
|Total Number of Pending Deals|
|Stock & Cash Deals||10|
|Total Number of Pending Deals||76|
|Aggregate Deal Consideration||$1.18 trillion|
- The acquisition of Dova Pharmaceuticals (NASDAQ:DOVA) by Swedish Orphan Biovitrum AB (OTCPK:BIOVF) for $915 million. Under the terms of the agreement, Dova stockholders will be offered an upfront payment for $27.50 per share in cash, along with one non-tradeable Contingent Value Right (CVR) that entitles them to an additional $1.50 per share in cash upon regulatory approval of DOPTELET for the treatment of chemotherapy-induced thrombocytopenia (CIT), representing a total potential consideration of $29.00 per share. We are treating this as a “special conditions” deal. Dova is currently trading at $28.20, implying a greater than 50% probability of DOPTELET getting regulatory approval after adjusting for standard merger risks.
- The acquisition of Teekay Offshore Partners (NYSE:TOO) by Brookfield Business Partners (NYSE:BBU) for $5.39 billion or $1.55 per share in cash.
- The acquisition of Roan Resources (NYSE:ROAN) by Citizen Energy Operating, an affiliate of Warburg Pincus LLC, for $1 billion or $1.52 per share in cash.
- The acquisition of Progenics Pharmaceuticals (NASDAQ:PGNX) by Lantheus Holdings (NASDAQ:LNTH) for $486.85 million in an all-stock deal.
- The acquisition of The Stars Group (NASDAQ:TSG) by Flutter Entertainment (OTC:PDYPF) for $12.25 billion in an all stock deal. Under the terms of the agreement, TSG Shareholders will be entitled to receive 0.2253 New Flutter Shares in exchange for each TSG Share.
- On September 30, 2019, Roche (OTCQX:RHHBY) extended its offer to buy Spark Therapeutics (NASDAQ:ONCE), this time until October 30, as U.S. and British regulators continue to scrutinize the oft-delayed bid.
- On September 30, 2019, Gannett (NYSE:GCI) announced that it has scheduled a special meeting of its shareholders to consider and vote on a proposal to adopt the previously announced definitive agreement with New Media Investment Group (NYSE:NEWM). The special meeting will be held on November 14, 2019.
- On September 30, 2019, Highpower International (NASDAQ:HPJ) announced that it has filed definitive proxy materials with the U.S. Securities and Exchange Commission in connection with the Company’s pending acquisition by HPJ Parent Limited. The Highpower Special Meeting of Stockholders is scheduled to take place on October 29, 2019.
- On October 1, 2019, Versum Materials (NYSE:VSM) announced that the State Administration for Market Regulation of the People’s Republic of China (SAMR) provided unconditional antitrust clearance for the proposed acquisition of Versum by Merck KGaA.
- On October 3, 2019, Stewardship Financial Corporation (NASDAQ:SSFN) announced that the shareholders of Stewardship approved the previously-disclosed, contemplated merger with Columbia Financial (NASDAQ:CLBK).
- On October 4, 2019, Florida Attorney General Ashley Moody announced that she is joining the U.S. Department of Justice along with 10 other states in support of the T-Mobile US (NASDAQ:TMUS) and Sprint Corporation (NYSE:S) merger.
- On October 4, 2019, VMware (NYSE:VMW) and Carbon Black (NASDAQ:CBLK) announced that the required waiting period under the Austrian Cartel Act applicable to VMware’s Tender Offer for Carbon Black has expired.
- On October 4, 2019, C&J Energy Services (NYSE:CJ) announced the Board of Directors of the Company declared, contingent on further action by the Board to establish a payment date and to determine surplus under Delaware law, a cash dividend of $1.00 per share on all of the Company’s outstanding common stock to holders of record at the close of business on October 18, 2019.
- The acquisition of Tower International (NYSE:TOWR) by Autokiniton Global Group on September 30, 2019. It took 80 days for this deal to be completed.
- The acquisition of NorthStar Realty Europe (NYSE:NRE) by AXA Investment Managers on September 30, 2019. It took 89 days for this deal to be completed.
- The acquisition of Oaktree Capital Group (NYSE:OAK) by Brookfield Asset Management (NYSE:BAM) on September 30, 2019. It took 201 days for this deal to be completed.
- The acquisition of Pointer Telocation (NASDAQ:PNTR) by I.D. Systems (NASDAQ:IDSY) on October 3, 2019. It took 202 days for this deal to be completed.
- The acquisition of Sotheby’s (NYSE:BID) by BidFair USA on October 3, 2019. It took 109 days for this deal to be completed.
Top 10 deals with largest spreads:
|Symbol||Announced Date||Acquiring Company||Closing Price||Last Price||Closing Date||Profit||Annualized Profit|
|PACB||11/01/2018||Illumina, Inc. (NASDAQ:ILMN)||$8.00||$4.98||03/31/2020||60.64%||125.76%|
|S||04/29/2018||T-Mobile US, Inc. (TMUS)||$8.00||$6.07||01/31/2020||31.77%||99.98%|
|GNW||10/23/2016||China Oceanwide Holdings Group Co., Ltd. (N/A)||$5.43||$4.24||12/31/2019||28.07%||120.52%|
|ABDC||08/13/2019||Crescent Capital BDC, Inc. (N/A)||$11.02||$8.86||12/31/2019||24.38%||104.69%|
|ONCE||02/25/2019||Roche Holding AG (OTCQX:RHHBY)||$114.50||$97.56||04/30/2020||17.36%||30.77%|
|OHAI||08/01/2019||Portman Ridge Finance Corporation (NASDAQ:PTMN)||$1.46||$1.28||12/31/2019||14.06%||60.39%|
|MLNX||03/11/2019||NVIDIA Corporation (NASDAQ:NVDA)||$125.00||$110.94||12/31/2019||12.67%||54.42%|
|AGN||06/25/2019||AbbVie Inc. (NYSE:ABBV)||$184.96||$168.44||03/31/2020||9.81%||20.33%|
|CRZO||07/15/2019||Callon Petroleum Company (NYSE:CPE)||$8.06||$7.45||12/31/2019||8.14%||34.96%|
|TSG||10/02/2019||Flutter Entertainment PLC (OTC:PDYPF)||$22.42||$20.92||09/30/2020||7.16%||7.28%|
Disclosure: I am/we are long MLNX, PACB, CELG, BMY. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.
Additional disclosure: 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.