Tesaro Antitrust Filings
It looks like all of the required antitrust filings for GlaxoSmithKline’s acquisition of Tesaro has been completed:
1. US Antitrust (HSR) filed on 12/14/18 with an
expiration of 12/31/18
2. German Antitrust (FCO) filed on 12/18/18 with an
expiration of 1/18/19
3. Austrian Antitrust (FCA) filed on 12/18/18 with an
expiration of 1/15/19
The tender offer expires on 1/14/19, which I see as a high likelihood
of occurring. Could possibly see a tender extension based on the time frame in
the completion of the FCO and FCA antitrust reviews. The spread has widened a
bit, which is likely attributed to the overall market. Lots of other arb
spreads have started widening a bit as players are in a risk off mentality.
11 Comments:
I know we are in a very risk off mode, what are your thoughts on MLNX?
Are we gonna be in a long downtrend with all the growth stocks underperforming?
MLNX: It feels like a deal is coming. Maybe worth a small wager.
I am very concerned with this market. You have slowing growth everywhere (i.e. semiconductors, transports, housing, etc...). Fed jacking up rates with the yield curve close to inverting. Definitely lots of bearish signs out there. Just be vigilant to see which stock can hold up in this decline. Those will be the winners in the next bull market.
On Tesaro - Seems to me like volatility is driving the spread here.
TSRO: There was / is a lot of hot money in this one. The recent run up in speculation that there were other bidders didn’t make any sense to me. Company stated in their filings that they don’t anticipate any antitrust issues: “we do not expect any regulatory authority, state or private party to take legal action under the antitrust laws…”. Antitrust should not be an issue and GlaxoSmithKline is good with the cash. This should be smooth sailing, but need to keep an eye out for any potential material adverse event. Just counting down the days…
market is down huge in a very short time, not sure if it’s start of bear market or just a correction.
Hopefully we can normalize around earnings season.
I have no idea if this is a correction or start of a bear. As the old saying goes: "Don't fight the fed...". Probably going to see some more downside.
Hopefully we have a 1000 point short covering rally soon. This is crazy selling daily in pretty much every stock.
We'll rally at some point, but it's going to be one of those sell into the rally.
TSRO: halfway through and options still bid up. Hopefully spread narrows after HSR approval jan 1
TSRO: Need HSR approval for the option premium to go down.
If you need to, use a "cheat sheet" (little cue card) when socializing with your guests. I wouldn't recommend displaying your whole script in front of your guests. The secret is blown if a guest obtains a copy of the hand. Murder mystery party game
Post a Comment
<< Home