http://www.thedeal.com/magazine/ID/038074/2011/risk-arbitrage.php#bottom Talecris Biotherapeutics Holdings|TLCR Grifols SA Deal value $3.6 billion Spread 01/18/11 $5.48, or 23.7% Grifols SA's $3.6 billion merger with Talecris Biotherapeutics Holdings Corp. could be nearing its close, but the deal has been in an extended antitrust review at the Federal Trade Commission. Grifols had a timing agreement to not close the transaction before Feb. 17 but appears to have extended that to late February, according to a recent Securities and Exchange Commission filing. It seems that Grifols has given the FTC more time to complete its review, which is a bullish sign for the merger. Market rumor suggests the merger review has moved before compliance at the FTC, which suggests the agency is reviewing a proposed fix. The FTC previously blocked an acquisition of Talecris by CSL Ltd. By some metrics, the Talecris and Grifols combination can be seen as a consolidation of the market from five to four players, giving the combined company a 30% share in certain plasma-based therapies. The merger agreement requires Grifols to pay a termination fee of $375 million if it fails to get the transaction past antitrust regulators.
That begs the question. Should I get rid of my Talecris t-shirts or not? They are a major part of my wardrobe.
