M&A Roundup: Media General Inc, Cypress Semiconductor Corporation, and Energy Transfer Equity LP

While one notable name is planning to split in two, a number of other companies may be on the brink of combining. Among the stocks in the M&A crosshairs this morning are TV station operator Media General Inc (NYSE:MEG), chipmaker Cypress Semiconductor Corporation (NASDAQ:CY), and natural gas issue Energy Transfer Equity LP (NYSE:ETE).

MEG is surging today, up 25% at $13.94, after the company confirmed the receipt of an unsolicited buyout proposal from Nexstar Broadcasting Group, Inc. (NASDAQ:NXST). The cash-and-stock deal values Media General Inc at nearly $1.9 billion, or $14.50 per share. Today's gap higher is putting the heat on short sellers, with 29% of the stock's float sold short -- or five days of trading activity, at typical volumes. However, MEG is still sitting on a 17% deficit on a year-to-date basis.

CY is reportedly trying to put together a buyout offer for Atmel Corporation (NASDAQ:ATML), in an attempt to disrupt the latter's M&A plans with Dialog Semiconductor. The news hasn't been well-received on the Street, though, with Cypress Semiconductor Corporation sitting 4.2% lower at $8.39 -- and down 41% in 2015. If the shares continue to struggle, the brokerage crowd could begin to re-evaluate its bullish take. Of the 11 analysts tracking CY, eight have doled out "buy" or better endorsements. What's more, the stock's consensus 12-month price target of $15.92 represents a 90% premium to current levels.

ETE is even worse off today, down 8.4% at $21.29 -- and fresh off an annual low of $20.39 -- after the company agreed to purchase Williams Companies Inc (NYSE:WMB) for roughly $33 billion, or $43.50 per share. Including debt and other liabilities, the pact values WMB at $37.7 billion. Option bears are likely cheering Energy Transfer Equity LP's struggles. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock has racked up a 10-day put/call volume ratio of 2.08 -- higher than 84% of comparable readings from the past 12 months.