The Special Situation Report #197: January 18 Roundup
Summary of the Week in Special Situations
Table of Contents:
Update on Developing M&A
Update on Shareholder Activism
Update on Other Special Situations
Announced M&A
C-Suite Sudden Departures
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Update on Developing M&A
Abivax (ABVX): Shares in Abivax surged on a report that Eli Lilly (LLY) was ready to offer 15 billion euros ($17.45 billion) for the biotech startup. (WSJ)
BARK (BARK): GNK Holdings, together with Marcus Lemonis, submitted a preliminary, non-binding indication of interest to acquire BARK in an all-cash transaction valued at $1.10 per share. (Press Release)
Genco Shipping & Trading (GNK): Diana Shipping (DSX) announced that the Board of Genco Shipping & Trading rejected its acquisition proposal for the company on January 8. (Press Release)
Scripps (SSP): Sinclair (SBGI), over the last few weeks, has continued to reinforce to Scripps its willingness to engage in a proposed Sinclair-Scripps combination. (Press Release)
Rumors
Coterra Energy (CTRA): Devon Energy (DVN) and Coterra Energy are exploring a potential merger. (Reuters)
Update on Shareholder Activism
BlackLine (BL): Activist investor Engaged Capital is planning to run a proxy fight to install four outside directors at software maker BlackLine, arguing new blood is needed in the boardroom to pursue strategic options, including a possible sale. (Reuters)
Genco Shipping & Trading (GNK): Diana Shipping (DSX) announced its intention to nominate a slate of six director candidates for election to Genco’s Board. (Press Release)
IF Bancorp (IROQ): Activist investor Stilwell Value announced that it has sold shares of the company and is pleased that IF Bancorp has chosen to sell itself and is supportive of the transaction. (13D Filing)
Matthews International (MATW): Reached an agreement with Barington Capital under which Barington will withdraw its director nominations. (Press Release)
OraSure (OSUR): Altai nominated two candidates, John Bertrand and Altai CIO Rishi Bajaj, for election to the OraSure Board at the 2026 Annual Meeting of Stockholders. (Press Release)
STAAR Surgical (STAA): Neal Bradsher and Richard LeBuhn of Broadwood and Christopher Wang of Yunqi Capital have joined STAAR’s Board, effective immediately. (Press Release)
Sturm Ruger (RGR): Beretta Holding is taking aim at US-based Sturm Ruger, threatening a proxy fight to overhaul the board of the struggling gunmaker after becoming its largest shareholder. (FT)
Toyota Group (TM): Raised its buyout offer for a key unit by 15% that would bump up the acquisition target’s value to ¥6.1 trillion ($39 billion), caving in to demands from Elliott Investment Management to sweeten what the activist shareholder had described as a lowball proposal. (Bloomberg)
Update on Other Special Situations
Keurig Dr Pepper (KDP): Keurig Dr Pepper and JDE Peet’s announced that Kodiak BidCo has launched a recommended all-cash offer to acquire JDE Peet’s at €31.85 per share. JDE Peet’s shareholders will also receive a previously declared €0.36 dividend on January 23, 2026, which will not affect the offer price. Following the transaction, KDP plans to split into two U.S.-listed public companies: one focused on North America’s refreshment beverages market and the other forming a global coffee pure-play. (Press Release)
L3Harris Technologies (LHX): L3Harris Technologies will spin off its missile business into a separate publicly traded company, backed by a $1 billion minority investment from the U.S. Department of Defense. L3Harris will retain a controlling stake in the new company, which will focus on producing rocket motors and components for U.S. and allied systems, including Patriot, THAAD and Tomahawk missiles. The IPO is planned for the second half of the year. (WSJ)
FedEx (FDX): FedEx announces filing of Form 10 Registration Statement for planned spin-off of FedEx Freight. Separation is on track for completion on June 1, 2026. (Press Release)
Announced M&A
Target / Acquirer – Approximate Transaction Enterprise Value, Expected Closing
Consumer Defensive
Calavo Growers (CVGW) / Mission Produce (AVO) - $430 mn, August 2026 (Press Release)
Healthcare
Penumbra (PEN) / Boston Scientific (BSX) - $14.5 bn, 2026 (Press Release, Merger Agreement)
Industrials
Sun Country Airlines (SNCY) / Allegiant Travel (ALGT) - $1.5 bn, H2 2026 (Press Release, Merger Agreement)
Sudden Departures
“Sudden Departures” highlights executive exits announced with short notice, where the executive is expected to leave within 30 days.
Conduent (CNDT): President and CEO Cliff Skelton resigns effective January 16, 2026. (Press Release)
Domo (DOMO): Chief Operating Officer Mark Maughan resigns effective January 11, 2026. (Filing)
Katapult (KPLT): Chief Accounting Officer Kaitlin Folan resigns effective January 19, 2026.(Filing)
Laser Photonics (LASE): Chief Financial Officer Carlos Sardinas resigns effective January 8, 2026. (Filing)
LivaNova PLC (LIVN): Chief Legal Officer Michael Hutchinson resigns effective January 26, 2026. (Filing)
Monroe Capital (MRCC): Chief Compliance Officer Kristan Gregory resigns effective as of January 14, 2026. (Filing)
Qnity (Q): Chief Financial Officer Matt Harbaugh resigns citing health reasons effective January 16, 2026. (Filing)
Staar Surgical Company (STAA): Chief Executive Officer Stephen C. Farrell resigns effective January 31, 2026. (Filing)
Under Armour (UAA): Chief Product Officer Yassine Saidi resigns effective February 2, 2026. (Filing)
XOMA Royalty (XOMA): Chief Financial Officer Thomas Burns resigns effective January 12, 2026. (Filing)
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