Brighthouse Financial trades below its $70 all-cash acquisition price, offering a 6.6% spread ahead of the 2026 close.
Billionaire investor David Einhorn’s latest 13F filing highlights Brighthouse Financial (BHF) as a merger arbitrage opportunity, trading at $65.64, 6.6% below its $70 all-cash acquisition price. The $4.1 billion deal with Aquarian Capital LLC is expected to close in 2026, pending regulatory approvals, providing a $4.36 gross spread per share.
BHF’s Q1 2026 adjusted earnings reached $235M, with EPS at $4.15, up from the prior year. The stock’s discount to the deal price reflects market skepticism, a pattern Einhorn has historically exploited. Analysts see potential upside as the transaction nears completion.
Einhorn’s other picks include stocks with hard catalysts and undervalued narratives, though BHF stands out for its near-term arbitrage potential. The setup mirrors his past successes in out-of-consensus bets.