Market Overview

Benzinga's M&A Chatter for Tuesday May 1, 2012

The following are the M&A deals, rumors and chatter circulating on Wall Street for Tuesday May 1, 2012:

Louis Dreyfus Commodities LLC Agrees to Acquire Imperial Sugar Company

The Deal:
Imperial Sugar Company (NASDAQ: IPSU) and Louis Dreyfus Commodities LLC announced Tuesday a definitive agreement under which a subsidiary of Louis Dreyfus Commodities LLC will acquire Imperial Sugar through a cash tender offer and second step merger at $6.35 per share. The $6.35 per share represents a 57% premium to Imperial Sugar's closing stock price on April 30, 2012, the last trading day prior to today's announcement, and a 50% premium to Imperial Sugar's trailing 30-day volume weighted average stock price.

The proposed transaction has been unanimously approved by Imperial Sugar's board of directors, who have agreed to recommend that Imperial Sugar's common shareholders tender their shares in the offer. The all-cash transaction represents a value of approximately $203 million, including the assumption of debt and pension liabilities.

Imperial Sugar Company closed at $6.40 Tuesday, a gain of 58.02% on 6.6 times the average daily volume.

P.F. Chang's to Be Acquired by Centerbridge Partners

The Deal:
P.F. Chang's China Bistro (NASDAQ: PFCB) announced Tuesday that it has entered into a definitive merger agreement with Centerbridge Partners, L.P., a leading private investment firm, in a transaction valued at approximately $1.1 billion, which will result in P.F. Chang's becoming a private company.

Under the terms of the merger agreement, which has been approved by the Company's Board of Directors, Centerbridge will acquire all of the outstanding shares of P.F. Chang's common stock for $51.50 per share in cash. This represents a premium of approximately 30% over the average closing share price of P.F. Chang's common stock for the 30 days ended April 30, 2012.

P.F. Chang's closed at $51.48 Tuesday, a 29.71% gain on 20 times the average daily volume.

Independent Bank Corp. and Central Bancorp Sign Definitive Merger Agreement for Acquisition of Central Bancorp, Inc.

The Deal:
Independent Bank Corp. (NASDAQ: INDB), parent of Rockland Trust Company, and Central Bancorp (NASDAQ: CEBK), parent of Central Bank, jointly announced Tuesday the April 30, 2012 signing of a definitive agreement under which Independent Bank Corp. will acquire Central Bancorp and Rockland Trust Company will acquire Central Bank.

Under the terms of the agreement, 60% of outstanding Central Bancorp shares will be exchanged for shares of Independent Bank Corp., at an exchange ratio subject to limited adjustment, and 40% of outstanding Central Bancorp shares will be purchased for $32.00 per share in cash. Based upon Independent Bank Corp.'s $28.67 per share closing price on April 27, 2012 the transaction is valued at approximately $54.8 million. The parties anticipate that the closing of the transaction will likely occur in the fourth quarter of 2012.

Central Bancorp closed at $30.65 Tuesday, a gain of 69.81% on 32 times the average daily volume .

Wolverine Worldwide, Blum Capital and Golden Gate Capital Sign Definitive Agreement to Acquire Collective Brands

The Deal:
Collective Brands (NYSE: PSS) and a consortium comprised of Wolverine Worldwide (NYSE: WWW), Blum Capital Partners and Golden Gate Capital announced Tuesday that they have entered into a definitive agreement under which Collective Brands will be acquired for $21.75 per share in cash, or a total of approximately $2.0 billion, including the assumption of debt. The purchase price represents a 104% premium to the 30-day volume weighted average trading price prior to the August 24, 2011 announcement that Collective Brands' Board of Directors, together with management, would conduct a review of strategic and financial alternatives.

Upon closing, which is expected to occur late in the third quarter or early in the fourth quarter of the current calendar year, Wolverine Worldwide will acquire Collective Brands' Performance + Lifestyle Group, which includes the wholesale and retail operations of the Sperry Top-Sider, Saucony, Stride Rite and Keds brands, and will continue to operate out of Lexington, Massachusetts. PLG had revenue of more than $1 billion in the fiscal year ended January 31, 2012.

Collective Brands closed at $21.16 Tuesday, a gain of 1.88% on 19 times the average daily volume.

Hearing Renewed Takeover Chatter in Joy Global

The Rumor:
Joy Global (NYSE: JOY), a frequent takeover name, was mentioned once again as a possible target. The price being discussed was $100 per share. Warren Buffett was mentioned as possible buyer earlier this month.

A spokesperson for Joy Global was not available for comment.

Joy Global closed at $70.65 Tuesday, a loss of 0.17% on average volume.

Posted-In: Long Ideas News Short Ideas Rumors M&A After-Hours Center Movers Trading Ideas

 

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