Merger Arbitrage Mondays: March 29, 2010

by: Asif Suria

The mergers and acquisitions activity last week was reminiscent of the private equity bubble of 2004-2007 when money was cheap and the market was rising. In an environment where yields for some corporate bonds fell below the yield of the 10 year Treasury note last week, several acquisitions with price tags of over $1 billion were announced. Since a number of these deals were international in nature or acquisitions of private companies like Triumph’s (NYSE:TGI) decision to acquire Vought Aircraft from private eq uity firm Carlyle group, they have not been included in the Merger Arbitrage list.

You will however find the newly announced acquisitions of CNX Gas Corp (CXG), Techwell (TWLL) and Plato Learning (TUTR) in the updated list below. Jones Soda (NASDAQ:JSDA) came off the list because it received a better offer than the $10 million or 37 cents per share Reed’s (NYSEMKT:REED) was willing to pay for the company. Shares of Jones jumped up 34.6% last Tuesday and closed the week up 20.37%. With scant details about this new offer or even the name of the new suitor available at this time, we have taken Jones Soda off the list.