PACB - Merger Arbitrage Analysis And Spread Performance - February 3 2019
This article explains the reasons behind the movement in a selection of the largest U.S. cash merger arbitrage spreads from the past week. We analyze the attractiveness and profitability of each spread going forward and indicate the trading position or action we have taken or will take (if any).
Deal Specifics
The big news this week is the closure of the Essendant Inc (ESND) deal on Thursday. The stock started the week with a $0.32 spread compared to the $12.80 offer price and thus became the strongest performing cash merger arbitrage spread for