Wow, just when I thought M&A activity would diminish
this year, we have a nice uptick just this week.
First we have Comcast Corp. (Ticker: CMCSA
) acquiring DreamWorks Animation (Ticker: DWA
for $41.00 in cash. I initiated ~ 3% position at $31.57 yesterday based on the
chatter over the weekend. I definitely didn’t expect a deal to materialize this
quickly, but I’ll take it…
Next we have Medivation (Ticker: MDVN
), which is being stalked by Sanofi.
It definitely looks like Sanofi (Ticker: SNY
) is prepping to go hostile on Medivation. I
currently have a ~ 5% position at $49.82. I do believe that Sanofi will
ultimately get Medivation, which will fit nicely with Sanofi’s Genzyme
Finally, I initiated a small position (~2%) in Sparton (Ticker: SPA
$21.70. This small cap defense company is evaluating strategic alternatives of
its biz and has decided to put itself up for sale. If a bid materializes, I can
see this company gets taken out in the 30’s. If no bid, the company valuation
is cheap with limited downside and should do fine over time.
EDIT: I took my profits in Medivation today at $56.36 generating a net gain of 13.10% over a 15 day period.
Wait, I changed my mind... I'm back in at $56.28...