Friday, May 29, 2009

Wait Almost Over for Nova Chemicals

It's been really quiet... I'm just waiting on the close of Nova Chemicals (Ticker: NCX) before I make my next move. I've done some trading in Nova Chemicals early on, but now holding for the close. Nova Chemicals is being acquired by International Petroleum Investment Company (IPIC) for $6.00 per share. The closing is expected in June.

Here are my trades so far:

Account #1:

4/14/09 Bought .5X @ $5.84
4/22/09 Sold .5X @ $5.89
4/28/09 Bought .5X @ $5.77
5/1/09 Sold .5x @ $5.81
5/4/09 Bought .5X @ $5.75
5/6/09 Sold .5X @ $5.78
5/7/09 Bought .5X @ $5.75
5/15/09 Bought .5X @ $5.68
5/21/09 Bought .1X @ $5.71
5/26/09 Bought .4X @ $5.79

Account #2:

4/2/09 Bought .6X @ $5.84
5/12/09 Bought .07X@ $5.69
5/12/09 Bought .1X @ $5.70
5/13/09 Bought .2X @ $5.68
5/20/09 Bought .1X @ $5.73

3 Comments:

At May 30, 2009, Blogger fx said...

how big are your typical lot sizes?

I suggest looking at the Sun-Oracle merger for your next arb.

 
At May 30, 2009, Anonymous Anonymous said...

Thanks for your update. It's always very interesting to see your trading patterns.
What do you make of the latest news? - I don't think its a concern, but this might explain why it takes longer than initially expected.

I agree with fx - JAVA could be interesting later on or whenever the spread widens intraday, David

 
At May 31, 2009, Blogger Money Turtle said...

Fx - It depends on how much conviction I have in the deal. The acquirer is loaded with cash and were going after Nova for awhile. I'm very confident in the deal closing so I have a full position. I don't provide specifics in terms of dollar value or the number of shares, but I've provided some hints.

Anonymous - I see the latest news as a non issue in terms of closing. I wouldn't be surprised if we heard something this week.

I'm definitely keeping an eye on Java. The M&A space is starting to heat up a bit with rumors floating around.

 

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