Nexen, Inc. Arb Play

I’ve been trading in and out of Nexen, Inc. (Ticker: NXY) for the past two days and generating some pocket change. During this time, I've been also evaluating the possible regulatory risks with its takeout by Cnooc, Ltd. My conviction is growing that this deal will be cleared by the regulatory agencies. Cnooc definitely did their homework by performing a lot of pre-vetting to increase the odds of this deal going through. Today, I started building a position as an arb play. It’s still a relatively small position, but will add to it. My current average price is $25.82, which will equate to a net return of 6.5% (~ 15% annualized return assuming an end of year close).