This article explains the reasons behind the movement in a selection of the largest U.S. cash merger arbitrage spreads from the past week as calculated by Merger Arbitrage Limited. We analyze the attractiveness and profitability of each spread going forward and indicate the trading position or action we have taken or intend to take based upon the analysis given. We also give a brief analysis and insight into our current approach to merger arbitrage investing.
Cypress Semiconductor (CY)
Cypress semiconductor was up 2.69% this week following last week's significant decline. The stock now