Activists win one, lose one

Article Excerpt

SUPERVALU INC. $32 (New York symbol SVU; Consumer sector; Shares outstanding: 38.6 million; Market cap: $1.2 billion; No dividends paid; Takeover Target Rating: High; www.supervalu.com) is a Minneapolis-based company that operates retail grocery stores and also acts as a wholesale distributor to independent grocers. The stock jumped over 60% in July 2018 after the company accepted a $32.50-a-share cash takeover offer from grocery distributor United Natural Foods Inc. (Nasdaq symbol UNFI). Blackwells Capital, the New York-based special situations investment firm that owns 7.3% of SuperValu, has agreed to support the bid. The activist investor had pushed SuperValu’s management to split the company into two separate firms, and then sell the retail business. SuperValu’s stock is trading just below the takeover offer, which indicates investors do not expect a better offer. United Natural Foods aims to complete the purchase by the end of 2018. SuperValu investors should tender their shares to the offer. CRESCENT POINT ENERGY CORP. $8.46 (Toronto symbol CPG; Resources Sector; Shares outstanding: 545.0 million; Market cap: $4.6…

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