Merger Arbitrage

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Merger Arbitrage

In the context of hedge funds, a style of management that involves the simultaneous purchase of stock in a company being acquired and the sale of stock in its acquirer.

Merger Arbitrage

A strategy in which a hedge fund buys shares in two companies that are in the process of merging and sells the shares after the merger is complete. Merger arbitrage can be profitable because stock prices often decline in the process of a merger because of the possibility that the merger negotiations will fail. They then go to a higher price after the merger is complete. Because this phenomenon is so consistent, the hedge fund using merger arbitrage effectively makes a riskless profit.

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Event Driven Multiple Arbitrage			Richard Royden joins from JP Morgan and has 20 years finance experience in equities, derivatives and investment banking that includes running HSBC's equity derivatives and relative value businesses in New York, and more recently he headed the European merger arbitrage group at UBS as well as co-founded UBS' Alternative Capital Group in 2006 that provided investment banking coverage for hedge funds. GFI Group sets up European Special Situations group by CPI Financial Founded in 1949, Mutual Series has a long history as deep value investors with a very distinct style, searching aggressively for investment opportunities in undervalued stocks, merger arbitrage situations, corporate reorganizations and distressed securities. Mutual Series Marks 60 Years of Value Investing by Albawaba.com HBOS is at a 25% discount to the Lloyds TSB bid, in large part due to the absence of merger arbitrage activity, we feel. HBOS in talks to sell its Australian bank by guardian.co.uk / guardian.co.uk			Mercado libre y abierto Mercado liquido Mercado manipulado Mercado negro Mercado primario Mercado secundario Mercado secundario de hipotecas Mercado sensible Mercadoria de pronta entrega Mercadorias reguladas Mercantile Agency Mercato a termine Mercato al rialzo Mercato dei capitali Mercato efficiente Mercato in contanti Mercato Italiano Futures Mercato libero e aperto Mercato nero Merchandise merchant bank merchantable title Mercosur Mergent, Inc. merger Merger Arbitrage Merger Monday Mergers and Acquisitions meridian Meritocracy Merrill Lynch & Co. Mervyn King Mes de entrega Mes de entrega imediata mesne profits messuage metes and bounds Method of Payment Metical Metodo contable que se basa en el criterio de lo devengado Metodo de depreciacao linear Metodo de votacion acumulativa Metodo del costo Metric metroplex metropolitan area metropolitan division metropolitan statistical area Mexican Mint Mexican Peso Mexican Stock Exchange			Mergellus albellus mergence mergence mergence mergence mergence Mergent Inc Mergent Inc. Mergent, Inc Mergent, Inc. Mergenthaler Mergenthaler, Ottmar Mergenthaler, Ottmar merger merger merger merger merger merger Merger & Acquisition Master Intermediary merger agreement Merger and acquisition Merger and acquisition Merger and acquisition Merger and Acquisition and Divestiture Merger and Acquisition Research Report Merger and acquisitions Merger and acquisitions Merger and aquisition Merger and aquisition Merger Arbitrage Merger guidelines Merger guidelines Merger Manual Merger Monday Merger of Equals Merger or acquisition Merger or acquisition Mergers Mergers Mergers Mergers Mergers Mergers & Acquisitions Mergers & Acquisitions Mergers Acquisitions Mergers and acquisitions Mergers and acquisitions Mergers and acquisitions Mergers and acquisitions Mergers and acquisitions Mergers and acquisitions Mergers in the Telecommunications Industry Mergers in the Telecommunications Industry Mergers, Acquisitions, Divestitures and Outsourcing Mergers, Dispositions & Acquisitions Mergers-and-acquisitions Mergers-and-acquisitions merges merges merges

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