Market Overview

Benzinga's M&A Chatter for Tuesday March 27, 2012


The following are the M&A deals, rumors and chatter circulating on Wall Street for Tuesday March 27, 2012:

Zhongpin Announces Receipt of Non-Binding Going Private Proposal from its Chairman at $13.50 Per Share

The Offer:
Zhongpin (NASDAQ: HOGS) announced Tuesday that its Board of Directors has received a preliminary, non-binding proposal from its Chairman and Chief Executive Officer, Mr. Xianfu Zhu ("Mr. Zhu"), which stated that Mr. Zhu intends to acquire all of the outstanding shares of the Company's common stock not currently owned by him in a going private transaction at a proposed price of $13.50 per share in cash. Mr. Zhu currently beneficially owns approximately 17.5% of the Company's common stock.

The Company's Board of Directors intends to form a special committee of independent directors to consider this proposal and any additional proposal that may be made by Mr. Zhu and his affiliates, if any. There can be no assurance that any definitive offer will be made, that any agreement will be executed or that a transaction with Mr. Zhu or any other transaction will be approved or consummated.

Zhongpin closed at $11.22 Tuesday, a gain of 21.82% on 10 times the average daily volume.

Hearing Collective Brands Begins Second Round of Bidding Process in Late April

The Rumor:
Collective Brands (NYSE: PSS) will begin the second round of bid solicitation in the second half of April, according to sources. The company was reported to have 20 potential bidders in the first round and would reduce the field to 10 in the second round. Those bidders were said to include PE firm Irving Capital and Leonard Green.

A Collective Brands spokesperson told Benzinga Tuesday the company 'will not comment on the strategic review underway'

Collective Brands closed at $18.06 Tuesday, a loss of 2.48% on slightly less than average volume.

Hearing Merck Offering $26 Per Share for Amarin

The Rumor:
Merck (NYSE: MRK) has made an offer to acquire Amarin for $26 per share, according to sources. In December, Amarin was reported to be leasing space just 3 miles from Pfizer's (NYSE: PFE) R&D headquarters in Groton, CT, raising speculation of a deal between the two.

A Merck spokesperson told Benzinga Tuesday it was the company's policy not to respond to rumors of business development deals. An Amarin representative was not available for comment.

Amarin closed at $11.55 Tuesday, a gain of 0.43% on above average volume.

Hearing Titanium Metals Chairman Simmons Offering $19 Per Share

The Deal:
Titanium Metals (NYSE: TIE) Chairman Harold Simmons is rumored to be offering to take his company private for $19 per share, according to sources. The 81-year old Simmons' net worth is estimated at $9.3 billion.

Benzinga attempted to contact Mr. Simmons, but he was not available for comment.

Titanium Metals closed at $13.80 Tuesday, a gain of 0.44% on 1.5 times the average daily volume.

Hearing Renewed Takeover Chatter in Abercrombie & Fitch

The Deal:
Hearing renewed takeover chatter in Abercrombie & Fitch (NYSE: ANF). Leonard Green has been frequently mentioned as a possible buyer.

An Abercrombie & Fitch spokesperson was not available for comment.

Abercrombie & Fitch closed at $51.12 Tuesday, a loss of 0.16% on half the average daily volume.

Gardner Denver Cancels Out of BBT Conference

The Cancellation:
Gardner Denver (NYSE: GDI) cancelled out of the BB&T Capital Markets 2012 C&I Conference, which begins Wednesday March 28 in Coral Gables, FL. That triggered takeover chatter in the company.

A Gardner Denver spokesperson told Benzinga the company would not attend the conference on advice of general counsel. Gardner Denver has been in a quiet period since March 15.

Gardner Denver closed at $64.83 Tuesday, a loss of 0.98% on twice the average daily volume.

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


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