Current Price –$8.25
Offer Price – $9.00
Upside – 9.0%
Expiration Date – Jan 2017
This is another large cap merger arbitrage deal where the spread of 9% is mostly due to pending regulatory approval. Recent developments suggest the deal is likely to close. At the same time there is opportunity to hedge the risk of the deal failing.
Current Price –C$3.77
Offer Price – C$4
Upside – 6% (C$23 for odd lot holders)
Expiration Date – 20th of Jan 2017 (extended to 3rd of Feb, 2017)
Arbitrage Trade
Upside – 2.7%
Expiration Date – Q1 2017
This idea was suggested to me by one reader of the site – it’s an arbitrage trade in Canadian preferred shares. Upside is tiny, but the deal itself is interesting – so I decided to write it up. I have a small position mainly to track how this transaction plays out.
Current Price –$5.29
Offer Price – $5.56 (depends on NAV)
Upside – 5%
Expiration Date – 9th of Jan 2017
Current Price –$7.5
Offer Price – $7.9
Upside – 5.3%
Expiration Date – TBD (expected Q1 2017)
This is a merger arbitrage situation, where current acquisition proposal understates the value of the company and the risk of deal getting cancelled is low. The spread is at 5.3%.
Current Price –$23
Offer Price – $25+ (expected)
Upside – 10%+ (expected)
Expiration Date – 13th of December, 2016
Current Price –$6.2
Offer Price – $11
Upside – 80%
Expiration Date – TBD (likely H2 2017)
Global Eagle Entertainment provides satellite based entertainment and connectivity services for aviation and maritime industries (think wifi on the plane or Gogo). Company presentation is here. Its systems are installed in 750 aircraft currently and the company has contracts for further expansion. Revenues are growing at 30%+ annually, but ENT is still loss making and burning cash. I am no expert in technology investments and find these