Welcome to the bidding war issue of M&A Daily
AT&T spokeswoman Milana Vayntrub
While Comcast (NASDAQ:CMCSA) is a possible spoiler, the most likely new owners for the Yahoo! (NASDAQ:YHOO) core business are either AT&T (NYSE:T) or Verizon (NYSE:VZ). Yahoo! begun approaching potential bidders such as Verizon, AT&T, and Comcast for its core business. The board also hired proxy advisory firm Innisfree MA and Evercore to help in its defense against activist investor Starboard.
The important thing for either AT&T or Verizon is that they can do this without the Yahoo! CEO; the special committee does not include her and they are able to act without her approval. This process is going forward with or without Yahoo management's enthusiasm.
The European Commission stopped the clock for its pending review of the Halliburton (NYSE:HAL) acquisition of Baker Hughes (NYSE:BHI) due to an information request sent on February 18. The commission has yet to set a new deadline.
Konecranes (OTCPK:KNCRY) is committed to the merger with Terex (NYSE:TEX). According to Konecranes management, the deal is a good opportunity for both companies. Konecranes management added that the Terex board has not changed its recommendation of the merger.
Abbott (NYSE:ABT) announced a $9 billion bridge loan to provide back-up financing for its proposed acquisition of Alere (NYSE:ALR). The $2.56 net arbitrage spread offers a 17% annual return if the deal closes by June.
Today is the HSR filing deadline for Apollo Education (NASDAQ:APOL) proposed acquisition by a consortium led by Apollo (APO). The $0.81 net arbitrage spread offers a 16% annual return if the deal closes by September.
The HSR waiting period expires today for the Dell acquisition of EMC (EMC). More to come in future editions of M&A Daily…
Elsewhere on Seeking Alpha
- Investing With An Edge: AgroFresh (NASDAQ:AGFS)
- Capitalizing On Socialism (CUBA, ITYBY)
- Our Volatile Year In Politics & Markets (NYSE:MEG)
- Will Iconix Sell? (NASDAQ:ICON)
- Yahoo: Better Dead Or Alive? (YHOO)
Disclosure: I am/we are long MEG, ICON, YHOO, BHI, ALR, ADT, APOL, EMC, PCL, AGFS, ITYBY.
I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Additional disclosure: Chris DeMuth Jr and Andrew Walker are portfolio managers at Rangeley Capital. Rangeley invests with a margin of safety by buying securities at deep discounts to their intrinsic value and unlocking that value through corporate events. In order to maximize total returns for our investors, we reserve the right to make investment decisions regarding any security without further notification except where such notification is required by law.
Editor's Note: This article discusses one or more securities that do not trade on a major U.S. exchange. Please be aware of the risks associated with these stocks.