Sold IvenSense

I sold my position in IvenSense (Ticker: INVN) today at $12.95 generating a net gain of ~ 0.90% over a 6 day period (~54% annualized return). I’m not going be greedy and try to capture the last $0.05. It was a nice quick gain and time to move on…

Bought InvenSense

I picked up some InvenSense (Ticker: INVN) at an average price of $12.84 (~21% position). The stock sold off a bit after there was news of the company losing half of their motion sensors for the iPhone to Bosch. The company is being acquired by TDK Corporation for $13 per share in cash. I do not see this affecting the merger as losing some business to a competitor does not constitute a material adverse event. TDK is buying the company for future applications (i.e. virtual reality, automotive, drones, etc...) in addition the iPhone biz. The shareholder vote is scheduled for 05/17 and the company plans to delist the following day, 05/18. If all goes to plan, I can see the cash hitting the account on 05/19, which would translate to a net gain of 1.24% (~29% annualized return).

Sold VWR International

I decided to take a small gain in VWR International (Ticker: VWR). I sold at $34.09 generating a net gain of ~1.1%. I just don’t know if the takeout price can reach the $5 billion mark. The WSJ was simply making an assumption with the $5 billion price tag based on the expected premium one would expect in a buyout. I was not comfortable with this fuzzy math…

Some VWR International

I took a stab at VWR International (Ticker: VWR) today by taking a ~ 8% position with an average price of $33.70. WSJ reported that New Mountain Capital is in talks to acquire the company for ~ $5 billion, which works out to a price in the high 30’s (~ $38 per share based on the assumption of 132 million diluted shares outstanding). I can see other companies interested in VWR as there is a scarcity value in these types of companies that supply reagents / instrumentation to the life science industry.