Jakks Pacific, Inc.
I picked up 99 shares in Jakks Pacific, Inc. at $18.56. They have initiated a self tender offer to purchase shares for $20 with odd lot taking priority. This offer is scheduled to close on June 27th. It’s not much, but it’s basically free money. I’m currently reading Hedge Fund Market Wizards by Jack D. Schwager. I’ve been a fan of his Market Wizards series. So far so good...
posted by Money Turtle @ 12:46 PM
6 comments
6 Comments:
Hey.First of all thanks for your news and postings.I am a reader of your blog and think it has great ideas.Can you recommend me some resources so I can also follow deals when they come and notify you if I find something interesting.
There's no one site... I just sniff around by looking at some news sites such as Reuters and Bloomberg. I also take a peek at stocks making the largest gain for the day, which sometimes is merger related. The most important site I use is the sec.gov to read up on the merger docs.
This is also a useful site as a quick screen for announced merger plays: http://www.sinletter.com/merger-arbitrage/
Good luck...
Thanks.Just bought VQ.Tim reported receiving confidential financing.Looking good for a +10
% return.
Just be careful with VQ. A "highly confident" letter does not mean much. You want to see committed financing in place.
Just be careful with VQ. A "highly confident" letter does not mean much. You want to see committed financing in place.
VQ-I agree -there can be a pessimistic and optimistic way to interpret 'highly confident' letter.
Pessimistic-Since Tim is not confident of getting financing by the July 20 deadline he is basically saying 'Your call is important to us'
Optimistic- Tim wants to show progress is being made and he is committed to meet the July 20th.
I buy the optimistic case.Reasons being:
1)It does not seem a desperate attempt to lift the stock as it was already behaving properly prior to the announcement.
2) The July 20 date was asked by Tim,whereas if you see the original documentation he has room till October.No reason why he would ask for a shorter deadline unless he has something good to show.
3) The shareholder vote has passed and it would look very bad if deal falls through at this stage for Tim.
4)Venoco has oil in the right places- Monterey Shale where Chesapake and Occidental are adding instead of Texas making it a favorable asset for Tim.
Post a Comment
<< Home