Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of TPC Group (UNKNOWN:TPCG.DL) have jumped 12% today after getting a buyout offer.
So what: Innospec (NASDAQ:IOSP) offered $44-$46 per share for the company in a non-binding all-cash offer. The company will fund the deal through equity financing from a Blackstone fund.
Now what: The proposal tops a previous offer from two private equity firms; TPC's board says they are considering the offer. For investors, it's great news that there's a bidding war, but it may be time to cash out some chips. Shares are currently trading at $45.60, close to the top end of the offer range. Betting on an increased offer is risky and I would be a seller today to reduce the risk of a deal falling through.
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Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.
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