Perrigo Company plc
Thesis
Perrigo's shareholders rejected Mylan's acquisition offer, which resulted in a significant loss for investors who were betting on the deal going through, highlighting the risks involved in merger arbitrage.
Did it work?
worked
confidence: low
The short thesis hinged on Perrigo shareholders rejecting Mylan's acquisition offer, which would strip out the takeover premium and pressure the stock. That rejection did occur (Perrigo shareholders declined Mylan's tender offer in late 2015), and Perrigo shares fell sharply in the months afterward as the deal premium unwound, consistent with the short thesis. However, since no actual price performance data is provided, confidence in this judgement is limited.