The Special Situation Report #67: 5/28 Roundup
Summary of the Week in Special Situations
Sorry I missed last week. Today’s report covers the last fortnight. My primary occupation demands the vast majority of my working hours. So, as it was last week, the Report is occasionally relegated when I am particularly busy.
David
Table of Contents:
Update on Developing M&A
Update on Shareholder Activism
Update on Other Special Situations
Announced M&A
Update on Developing M&A
Strategic Alternatives & Ongoing Situations
Atea Pharmaceuticals (AVIR) received an unsolicited buyout offer from Concentra Biosciences (Press Release)
GoHealth (GOCO) established a special committee to consider a buyout proposal from two of its largest shareholders (Press Release)
LL Flooring (LL) gained as Cabinets to Go disclosed its intent to seek a merger (Filing)
SciPlay Corporation (SCPL) received a proposal from Light & Wonder (LNW) to acquire the remaining equity interest that it does not already own (Press Release)
Taro Pharmaceutical (TARO) received an offer from its majority shareholder, Sun Pharmaceutical Industries, to acquire its outstanding shares (Filing)
Rumors
Argenx (ARGX) reportedly on top of some major drugmakers’ wishlists (Bloomberg)
Avid Technology (AVID) reportedly exploring a sale with a financial advisor (Reuters)
Bunge (BG) gained amid a report that it is in discussions with Glencore-backed Viterra regarding a merger (Bloomberg)
Maravai Lifesciences (MRVI) reportedly rejected takeover interest from a private equity firm (Reuters)
New Relic (NEWR) fell on news that takeover talks with private equity firms have ended (Reuters)
Petrobras (PBR) is considering acquiring control of petrochemical firm Braskem (BAK) by buying out its partner Novonor (Reuters)
Rapid7 (RPD) renewed takeover speculation (Seeking Alpha)
Western Digital (WDC) gained on reports that discussions with Kioxia Holdings are speeding up (Reuters)
Wyndham Hotels (WH) reportedly draws takeover interest from competitor Choice Hotels (CHH) (WSJ)
Update on Shareholder Activism
8x8 (EGHT) and RingCentral (RNG) face pressure from Sylebra Capital as it intends to push merger discussions (Seeking Alpha)
Aurinia Pharmaceuticals (AUPH) two board members resigned after receiving less than majority support in AGM vote (Press Release)
Clear Channel Outdoor (CCO) activist Legion Partners is pushing the company to evaluate a sale (Letter)
Forte Biosciences (FBRX) shareholder Camac Funds filed its preliminary proxy solicitation (Filing)
Freshpet (FRPT) investor Jana Partners announced nomination of four directors (Filing)
Illumina (ILMN) shareholders voted to oust current chairman in favor of Ichan nominee (Filing)
Yelp (YELP) investor TCS Capital Management wants the company to explore alternatives, including a sale (Letter)
Update on Other Special Situations
Spin-Offs
Alibaba (BABA) moving forward with the spin-off of its Cloud Intelligence Group (TechCrunch)
Citigroup (C) to IPO its Mexico business, Banamex (Press Release)
Sony (SONY) examining a partial spin-off of its financial services business (Financial Times)
Other
American International Group (AIG) announced the sale of its reinsurance business to RenaissanceRe (RNR) for $3bn (Press Release)
NCR (NCR) reportedly evaluating a potential sale of its digital baking business (Reuters)
International Flavors & Fragrances (IFF) exploring options for its Lucas Meyer Cosmetics business (Bloomberg)
PayPal (PYPL) reportedly working with an advisor on the potential sale of its Xoom business (The Information)
Announced M&A
Target / Acquirer – Transaction Enterprise Value
Consumer /Retail
NeoGames (NGMS) / Aristocrat Leisure (ASX: ALL) – $1.2bn (Press Release, Presentation)
Energy & Natural Resources
Magellan Midstream Partners (MMP) / Oneok (OKE) – $19bn (Press Release, Presentation)
Newcrest Mining (NCMGY) / Newmont (NEM) – $19bn (Press Release, Presentation)
PDC Energy (PDCE) / Chevron (CVX) – $7.6bn (Press Release, Presentation)
Financials
Greenhill & Co. (GHL) / Mizuho Financial Group (MFG) – $550mm (Press Release)
Healthcare
Apexigen (APGN) / Pyxis Oncology (PYXS) – $16mm (Press Release, Presentation)
VectivBio (VECT) / Ironwood Pharmaceuticals (IRWD) – $1bn (Press Release, Presentation)
Industrials
Embark Technology (EMBK) / Applied Intuition (Press Release)
Real Estate
Necessity Retail Retail (RTL) / Global Net Lease (GNL) – $4bn (Press Release, Presentation)
Urstadt Biddle Properties (UBA) / Regency Centers (REG) – $1.4bn (Press Release, Presentation)
Technology, Media & Telecommunications
Absolute Software (ABST) / Crosspoint Capital – $870mm (Press Release)
Desktop Metal (DM) / Stratasys (SYSS) – $1.8bn (Press Release, Presentation)
eMagin (EMAN) / Samsung Electronics – $218mm (Press Release)
Wireless Telecom (WTT) / Maury Microwave – $26mm (Press Release)
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The content herein is informational and should not be relied upon as fact. Do your own diligence before making any investment decisions.