Lensar: Timing And Arbitrage Considerations In Alcon's Acquisition Bid
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Robert F. Abbott1.53K FollowersFollow5ShareSavePlay(13min)CommentsSummaryAlcon Inc. acquisition of LENSAR, Inc. remains pending, with an FTC antitrust review likely delaying the closing.LNSR shareholders overwhelmingly approved the $14.00/share cash deal, with a $2.75/share contingent bonus tied to procedure volume targets.Arbitrage activity is muted due to regulatory uncertainty, deal complexity, and LNSR’s recent underperformance and ongoing net losses.I maintain a Hold rating on LNSR, citing deal uncertainty, sector risks, and potential for operational recovery if the merger fails. bymuratdeniz/iStock via Getty Images Investment thesis As I write this, it is the middle of December, and the Alcon Inc. (ALC) acquisition of LENSAR, INC. (LNSR) remains unfinished, despite the two firms earlier hoping to complete it by the endThis article was written byRobert F. Abbott1.53K FollowersFollowRobert F. Abbott has been investing his family’s accounts since 1995, and in 2010 added options, mainly covered calls and collars with long stocks. He is a freelance writer, and his projects include a website that provides information for new and intermediate-level mutual fund investors. A resident of Airdrie, Alberta, Canada, Robert has earned Bachelor of Arts and Master of Business Administration (MBA) degrees.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.