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AMERICAS
Bain Capital, a private equity firm, completed the acquisition of a majority stake in PowerSchool, a provider of cloud-based software for K-12 education, for $5.6bn.
“PowerSchool is a leader in K-12 SaaS technology in North America and is uniquely positioned to provide differentiated, mission-critical solutions that drive better education outcomes, empower educators, and help district operations run more efficiently. With Bain Capital’s support, PowerSchool will have access to additional resources and the flexibility to deliver even more growth and innovation, particularly with PowerBuddy, our generative AI platform, and scale our global reach in helping schools personalize education for every student journey," Hardeep Gulati, PowerSchool CEO.
BlackRock, an American multinational investment company, completed the acquisition of Global Infrastructure Partners, an independent infrastructure fund manager, for $12.5bn.
“We are excited to embark on this new chapter as Global Infrastructure Partners (GIP), a part of BlackRock, with the goal of creating the premier global infrastructure investing firm. The combination of our institutional intellectual capital, investing and business improvement capabilities, global footprint, corporate and government relationships will allow us to deliver attractive investments for our investors and innovative solutions for our customers,” Bayo Ogunlesi, Global Infrastructure Partners Chairman and CEO.
BlackRock was advised by Perella Weinberg Partners, AZB & Partners (led by Zia Mody, Atreya Bhattacharya, Anuja Tiwari, Ashwath Rau and Rushabh Maniar), Clifford Chance (led by Stavroula Vryna and Dimitri Slobodenjuk), Fried Frank Harris Shriver & Jacobson (led by Jonathan S. Adler), Gorrissen Federspiel (led by Camilla Collet), Herbert Smith Freehills (led by Fiona Smedley, David Ryan and Elizabeth Charlesworth), Skadden Arps Slate Meagher & Flom (led by David Hepp). Global Infrastructure Partners was advised by Evercore, Debevoise & Plimpton (led by Alisa A. Waxman), Khaitan & Co (led by Gahan Singh) and Kirkland & Ellis (led by Daniel Lavon-Krein).
Veritas Capital, a private equity firm, completed the acquisition of the digital banking business of NCR Voyix, a digital commerce solutions provider, for $2.55bn.
“We believe that Veritas, as a leading technology investor, is the ideal owner of our digital banking business, as they will continue to invest in market-leading products and solutions to meet the needs of our valued financial institution customers. This transaction allows us to drive value for our shareholders by strengthening our financial position and focusing on our core restaurant and retail customers,” David Wilkinson, NCR Voyix CEO.
Veritas Capital was advised by Evercore, Gibson Dunn & Crutcher (led by Lilit Voskanyan) and Prosek Partners. NCR Voyix was advised by Goldman Sachs and King & Spalding (led by Rahul Patel). Goldman Sachs was advised by Sullivan & Cromwell (led by Stephen M. Kotran).
PepsiCo, an American multinational food, snack, and beverage corporation, agreed to acquire Siete Foods, a Mexican-American food brand producing tortillas, salsas, seasonings, sauces, cookies and snacks, for $1.2bn.
"The Garza family has built a very special brand. Their passion for making and sharing food shines through in every Siete product, and that's a passion we share. PepsiCo believes in the spirit and authenticity of the Siete brand, and we're excited to carry on the legacy created by the Garza family. We look forward to expanding our multicultural portfolio with these incredible products and even more consumers discovering and enjoying Siete," Ramon Laguarta, PepsiCo Chairman and CEO.
PepsiCo is advised by Centerview Partners, Citigroup and Gibson Dunn & Crutcher. Siete Foods is advised by Lazard, Armbrust & Brown and Weil Gotshal and Manges.
Global Infrastructure Partners, a private equity firm, completed the acquisition of a 50% stake in offhore wind farms Revolution Wind and South Fork Wind from Eversource Energy, an energy company, for $1.1bn.
"We have reached an important milestone today in our commitment as a pure-play regulated pipes and wires utility that delivers superior service and value to our customers. We are proud of the role we have played to advance offshore wind projects, and we will continue to be a leader in employing our transmission expertise to conduct onshore work that supports the clean energy transition and enables the continued development of renewable resources for our region," Joe Nolan, Eversource Chairman, President and CEO.
Global Infrastructure Partners was advised by JP Morgan, Vinson & Elkins (led by Eamon Nolan) and Brunswick Group. Eversource Energy was advised by Goldman Sachs and Ropes & Gray. Debt providers were advised by Milbank (led by Daniel Bartfeld and Henry Scott)
Suzano, a pulp producer, completed the acquisition of two US industrial facilities from Pactiv Evergreen, a manufacturer and distributor of food packaging and foodservice products, for $110m.
“This acquisition is in line with our strategy. We are entering the North American market as a competitive producer of paperboard, taking on quality assets that are strategically well-located from an operational and logistical perspective, and opening new opportunities for growth. As a business with 100 years of history behind us, we see this deal as an investment into our future and we look forward to building a long-lasting and positive relationship with the teams at Pine Bluff and Waynesville, as well as the local communities around both facilities,” Fabio Almeida, Suzano Executive Vice President of Paper and Packaging.
Suzano was advised by Cleary Gottlieb Steen & Hamilton and Hawthorn Advisors. Pactiv Evergreen was advised by UBS, Debevoise & Plimpton (led by Kevin M. Schmidt) and Joele Frank.
Leonard Green & Partners, an American private equity investment firm, agreed to acquire GeoStabilization International, a geohazard mitigation firm, from KKR, an American global investment company. Financial terms were not disclosed.
“This transaction is a testament to our years of collaboration with KKR and also reflects the dedication and hard work of the entire GSI team. KKR catalyzed our all-employee ownership program, developing an ownership culture that has made us even stronger. We are very proud that all GSI colleagues will share in this fantastic outcome,” Dominic Ivankovich, GeoStabilization International CEO.
KPS Capital Partners, an American investment company, agreed to acquire Catalyst Acoustics Group, a noise control solutions provider, from The Stephens Group, a private investment firm. Financial terms were not disclosed.
"KPS, with its demonstrated track record of manufacturing excellence is the ideal next owner of Catalyst as it enters this next phase of growth. We look forward to working closely together with KPS and our talented team to expand our technical leadership in acoustics technology and continue delivering new and exciting high-quality products and solutions that deliver significant value for our customers," Joe Lupone, Catalyst Acoustics CEO.
Atar Capital-backed Solero Technologies, a supplier of transmission solenoids, completed the acquisition of the automotive business from Kendrion, a company that develops and manufactures customized electromagnetic actuators, for $67m.
“This is an exciting opportunity to expand Atar’s purpose-driven automotive affiliate. By uniting these complementary businesses, Solero is poised to accelerate the development and deployment of innovative automotive technologies that reduce environmental impact. We’re honored to partner with the Kendrion team and leverage their deep industry expertise to drive forward-thinking solutions that will shape the next generation of mobility,” Cyrus Nikou, Atar Capital Founder.
GTCR, a private equity firm, and Recognize, a technology investment platform, agreed to acquire TRANZACT, a direct-to-consumer insurance services company, from WTW, a global advisory, broking and solutions company, for $632m.
"We are excited to partner with Recognize, Andy and the talented team at TRANZACT and continue to build on their innovative platform. We have known Andy for many years and have always admired TRANZACT and their truly unique, data-driven marketing model for the insurance industry. Over the years, TRANZACT has developed deep, trusted partnerships with some of the industry's most recognized insurers and, along with its strong brand, has positioned itself well to continue to gain share as we look to expand and enhance its offering. Importantly, they have also established a reputation for exceptional service and quality to the end consumers," David Donnini, GTCR Managing Director and Head of Business & Consumer Services.
Recognize is advised by Chris Tofalli Public Relations (led by Chris Tofalli).
TotalEnergies, a French multinational integrated oil and gas company, APA Corporation, a holder of companies exploring and producing oil and natural gas and Staatsolie, a Surinamese oil and gold company, agreed to form GranMorgu, a joint venture operating Block 58 offshore in Suriname, in a $10.5bn deal.
“I am very pleased to launch today the GranMorgu project alongside our partners Staatsolie and APA and I sincerely thank the State of Suriname for its strong support. Building on TotalEnergies’ pioneering spirit, this landmark project marks the first offshore development in the country and capitalizes on our extensive expertise in deep offshore innovation. Launched only a year after the end of appraisal, GranMorgu fits with our strategy to accelerate time-to-market and develop low-cost and low emission oil projects," Patrick Pouyanné, TotalEnergies Chairman and CEO.
Softys, a personal hygiene company, agreed to acquire the Brazilian business of Ontex Group, an international personal hygiene group, for €110m ($123m).
“This divestment represents another major milestone towards Ontex’s ambitioned portfolio, focusing on retail brands and healthcare in Europe and North America. Moreover, the proceeds from the sale will further reduce our indebtedness, putting us in an even stronger position to execute our transformation. I am convinced that Softys, with its 40 years of experience in the personal hygiene market in Latin America, is well placed to take the business forward, benefiting from the talent and expertise of our teams, as they also did with our Mexican business,” Gustavo Calvo Paz, Ontex Group CEO.
Drug giant Pfizer sells $3.3bn stake in Sensodyne-maker Haleon.
Pfizer sold a stake in British consumer healthcare group Haleon worth about $3.26bn cutting its stake from 22.6% to 15%, Reuters reported.
Haleon was formed from a combination of GSK and Pfizer's consumer-health units. The company manufactures products including Panadol pain relief tablets, Sensodyne toothpaste and Centrum vitamins.
Johnson Controls kicks off $2bn sale of ADT Alarms. (FS)
Johnson Controls International is kicking off the sale process of its ADT alarms business, which could be worth about $2bn in a deal, Bloomberg reported.
The company is working with Citigroup to gauge interest from potential buyers of the unit. Advent International, Bain Capital, CVC Capital Partners and Triton are among the buyout firms that are studying the asset.
CVS explores options including potential break-up. (FS)
CVS Health is exploring options that could include a break-up of the company to separate its retail and insurance units, as the struggling healthcare services company looks to turn around its fortunes amid pressure from investors, Reuters reported.
CVS has been discussing various options - including how such a split would work - with its financial advisers in recent weeks.
Mizuho acquires minority stake in private credit firm Golub.
Mizuho Financial Group bought a minority stake in Golub Capital, as it seeks to take advantage of the growing private credit markets in the US, Bloomberg reported.
As part of the transaction giving Mizuho a less than 5% passive ownership of Golub’s management companies, the Tokyo-based bank will exclusively promote and offer Golub’s investment products to retail and high net worth investors in Japan.
Kimberly-Clark mulls options for international tissue arm.
Kimberly-Clark is exploring options for its international tissue business as part of its strategy to focus on more profitable areas, Bloomberg reported.
The company is working with advisers to review its tissue operations outside North America, which could lead to a sale of part or all of the business. A deal could value the business at around $4bn.
Blackstone leads private credit deal for anti-theft tech maker. (FS)
Blackstone provided a $550m private credit deal for Graham Partners’s Gatekeeper Systems, which makes technology for shopping carts designed to detect theft, Bloomberg reported.
The refinancing included a dividend and a portability feature, which will allow Graham Partners to return capital to investors and helps to provide increased flexibility to sell the business in the future, respectively. The deal will also boost Gatekeeper’s capacity for new mergers or acquisitions.
Gallant Capital Partners closes fund II at $406m. (FS)
Gallant Capital Partners announced the final closing of Gallant Capital Partners Fund II at $406m, a meaningful increase over Gallant’s first fund. Gallant was founded in 2018 and has completed over 30 transactions to date with over $1.2bn in assets under management.
GCP II will continue to deploy its OTX strategy by targeting investments in the technology, industrial and business service sectors in order to drive value through its in-house operations capabilities. GCP II has already closed two platform investments and 5 add-on acquisitions and is actively seeking new investment opportunities.
Boeing weighs raising at least $10bn selling stock.
Boeing is considering raising at least $10bn by selling new stock, as the planemaker seeks to replenish cash reserves depleted further by an ongoing strike, Bloomberg reported.
The company is working with advisers to explore its options. Raising equity isn’t likely to happen for at least a month, assuming the planemaker can resolve the strike, because Boeing wants a firm grasp of the financial toll from the walkout by 33k workers.
Platinum Equity-backed tech firm Ingram Micro files for IPO. (FS)
Platinum Equity-backed technology company Ingram Micro filed for an initial public offering, as companies rush to make their public debuts ahead of the US presidential election in November.
Irvine, California-based Ingram Micro disclosed net income of $104m on net sales of $22.9bn in the 26 weeks ended June 29, versus $129m in net income on net sales of $23.1bn in the same period a year earlier, Bloomberg reported.
Moove set to end Brazil IPO drought with $438m US listing.
Moove Lubricants, a unit of conglomerate Cosan, and its shareholders are seeking to raise as much as $438m in a US IPO that’s set to end a three-year listing drought for Brazilian companies.
The Sao Paulo-based producer and distributor of lubricants and greases is offering 6.25m shares in its initial public offering, Bloomberg reported.
Cerebras files for IPO as it challenges Nvidia in AI chips.
Cerebras Systems, a startup that looks to challenge Nvidia in artificial intelligence computing, filed for an initial public offering and released financial information showing a fast-growing but still relatively small operation, Bloomberg reported.
Cerebras disclosed that its sales increased to $136m in the first six months of the year, up from $9m in the year-earlier period. Cerebras had previously filed confidentially for the IPO in August.
Charles Schwab names President Rick Wurster as next CEO. (People)
Charles Schwab has named Rick Wurster as its next CEO, promoting an executive who has been primed for years to take the top job and who will be tasked with steering the brokerage through a turnaround, WSJ reported.
Wurster, currently Schwab’s president, will take over as chief executive officer and join the board on January 1, the company said. Longtime CEO Walt Bettinger will retire from the top job and continue to be executive co-chairman of the board alongside namesake founder Charles “Chuck” R. Schwab.
EMEA
Thoma Bravo, a private equity firm, completed the acquisition of Darktrace, a cybersecurity company, for $5.3bn.
"Thoma Bravo will be a hugely valuable partner as we pursue further scale and innovation for our next stage of growth. Darktrace's position at the cutting edge of cybersecurity AI coupled with Thoma Bravo's deep strategic and sector expertise will be a powerful combination. Protecting businesses and organisations with best-in-class AI-powered, proactive cybersecurity will remain at the absolute core of what we do. Together, we can take this even further, investing in our people to enhance our technical capabilities and delivering exceptional service and value for our customers," Jill Popelka, Darktrace CEO.
Darktrace was advised by Jefferies & Company (led by Nandan Shinkre, Philip Yates, Paul Bundred and Dominic Lester), Qatalyst Partners (led by Jason DiLullo), Latham & Watkins (led by Richard Butterwick) and Headland Consultancy (led by Nigel Prideaux). Thoma Bravo was advised by Goldman Sachs (led by Mark Sorrell), Kirkland & Ellis (led by Francesca Harris, David Higgins, Steven Page, Corey Fox, Bradley Reed and Vincent Bergin) and FGS Global (led by Faeth Birch, Sophie Scott, Liz Micci and Anna Sperber).
Macquarie, an Australian global financial services group, agreed to acquire ZITON, an offshore wind O&M services provider, from Permira, a British global investment firm. Financial terms were not disclosed.
"With the support of Permira Credit, we continued our goal of ensuring high uptime for offshore wind turbines to produce clean energy. In this new chapter, we look forward to working with Macquarie Asset Management, as we continue to grow and be a trusted partner for our customers," Thorsten Jalk, ZITON CEO.
Macquarie is advised by Credit Agricole CIB, Bech-Bruun and Jones Day. Permira is advised by Nomura Greentech and Kromann Reumert.
Mpac Group, a packaging machinery manufacturing company, agreed to acquire CSi Palletising, an automated logistics and palletising systems provider, for €56m ($62m).
"I'm delighted to announce the transformational acquisition of CSi Palletising, which along with our recent acquisitions of BCA and SIGA Vision, will significantly transform our customer offering and core capabilities, consistent with our stated strategic ambition. We have substantially expanded the breadth of our technology and extended our customer reach globally. We are excited about the numerous growth opportunities for the enlarged Group," Adam Holland, Mpac Group CEO.
Mpac Group is advised by Panmure Liberum, Shore Capital & Corporate and Hudson Sandler (led by Nick Lyon).
Abu Dhabi state oil giant ADNOC said on Tuesday that it has agreed to buy German chemicals producer Covestro for €14.7bn ($16.34bn), including debt, Reuters reported.
The €62 per share cash deal, which will also see ADNOC take on about €3bn in debt, follows protracted negotiations and is a cornerstone of the energy giant's to grow in petrochemicals along with gas and renewable energy.
ADNOC is advised by Morgan Stanley. Covestro is advised by FGS Global (led by Sebastian Mewissen).
TPG Rise Climate, a dedicated climate investing strategy of TPG’s global impact investing platform, and GIC, a Singaporean sovereign wealth fund, agreed to acquire Techem, an energy management, resource conservation and efficiency improvements services provider, from Partners Group, a global private markets investment manager, CDPQ, a global investment group, and Ontario Teachers, a pension plan, for €6.7bn.
“With TPG and GIC, we are gaining strong new partners with the digitisation and platform expertise needed to help us make significant progress in implementing our corporate strategy. Together, we want to further expand and advance our position as a leading platform for digitising and decarbonising the building sector across Europe and beyond,” Matthias Hartmann, Techem CEO.
iomart Group, a secure cloud services company, agreed to acquire Atech, a digital transformation and specialised managed security services provider, for £57m ($76m).
"We are delighted to be joining Lucy and the wider iomart team. The businesses share the same ambition, to be at the forefront of bringing the most in demand secure cloud offerings to our customers, enabling them to modernise their systems, harness the power of Microsoft AI capabilities, drive operational and process efficiencies, all with a secure by design approach. With the increased operational strength of iomart supporting us, and continued strengthening of our Microsoft relationship, we are excited about what lies ahead," Ryan Langley, Atech CEO.
iomart Group is advised by Investec and Alma PR.
GE HealthCare, a medical technology company, completed the acquisition of the clinical artificial intelligence business from Intelligent Ultrasound, a provider of integrated AI-driven image analysis tools designed to make ultrasound smarter and more efficient, for $51m.
"We are pleased to complete the sale of our Clinical AI Business to GE HealthCare for £40m and I would like to thank our outgoing CTO, Nicholas Sleep, who resigned as a director of the Group on completion and joined GE HealthCare, for his drive and superb contribution to building such a successful Clinical AI operation. He and his excellent team will all be missed," Riccardo Pigliucci, Intelligent Ultrasound Chairman.
Intelligent Ultrasound was advised by Cavendish Corporate Finance (led by Michael Jewell) and TB Cardew.
British luxury brand Mulberry rejected retailer Frasers' £83m ($111m) takeover proposal saying its majority shareholder did not support the bid and that it undervalued the company, Reuters reported.
Loss-making Mulberry made public plans to raise capital from shareholders. That includes a £10m proposed subscription from Challice, its 56% Singaporean backer.
LVMH sells Off-White streetwear brand founded by Virgil Abloh.
French luxury group LVMH has sold the streetwear brand Off-White founded by the late designer Virgil Abloh to Bluestar Alliance, a brand management company, FT reported.
“LVMH is proud of the legacy that Off-White has built under Virgil Abloh’s visionary leadership. Bluestar Alliance is the perfect partner to carry that legacy forward,” Bernard Arnault, LVMH CEO.
Fund backed by billionaire Veyrat expands biomass investments. (FS)
The alternative investment firm majority owned by French billionaire Jacques Veyrat is expanding its presence in the market for biomass, which it sees as a key plank in the energy mix needed to achieve net zero greenhouse-gas emissions, Bloomberg reported.
Eiffel Investment Group, which oversees roughly €6.5bn ($7.3bn) of assets, said that Dall Energy, a Danish company held in its Eiffel Essentiel fund, will acquire Weiss France Energie and its service unit BSM from the Groupe Roullier for an undisclosed amount.
Russian steel billionaire branches out to popular baby food.
Billionaire Vladimir Lisin, the owner of Russia’s biggest steel company, has agreed to purchase a baby-food producer that competes locally with PepsiCo, diversifying his business portfolio inside the country.
The businessman, who’s worth about $28.5bn, is buying Lipetsk-based Progress JSC, one of the leading makers of baby food in Russia, Bloomberg reported.
CVC-backed retailer eyes raising $1.7bn in Warsaw IPO. (FS)
Investors led by private equity fund CVC Capital Partners seek to raise as much as PLN6.45bn ($1.67bn) in an initial public offering of Poland’s Zabka Group, Europe’s largest chain of convenience stores, Bloomberg reported.
In what may be the biggest Warsaw listing in four years, shareholders in the 7-Eleven-styled chain are offering 300m shares, or a 30% stake. The price range is set at PLN20 ($5.2) to PLN21.5 ($5.6) per share, which gives the company an implied market value of as much as PLN21.5bn ($5.6bn).
APAC
Independent directors at Namoi Cotton recommended that shareholders accept the most recent takeover bid from Louis Dreyfus, which raised its offer earlier in the day and said it had acquired nearly half of the Australian company’s shares, Bloomberg reported.
The recommendation comes after Olam Agri — which has been jostling with Dreyfus to buy Namoi since January — said it would not extend its bid past a deadline next week. Dreyfus now looks set to emerge victorious, given Olam will likely struggle to get support from more than half of Namoi shareholders, winning the Rotterdam-based company a bigger foothold in Australia, the world’s sixth-largest cotton producer.
Olam Agri is advised by FGS Global.
Qatar Airways, a national airline of the State of Qatar, agreed to acquire 25% stake in Virgin Australia, an Australian airline, from Bain Capital, a private investment firm. Financial terms were not disclosed.
“This partnership brings the missing piece to Virgin Australia’s longer-term strategy and is a huge vote of confidence in Australian aviation. Importantly, it will further strengthen Virgin Australia’s ability to compete over the long term, which will inevitably translate into more choice and even better value airfares for consumers as well as additional Australian aviation jobs,” Jayne Hrdlicka, Virgin Australia Group CEO.
Nigeria set to approve Exxon sale of oil, gas assets to Seplat.
Nigeria is set to approve Exxon Mobil’s sale of its oil and gas assets to domestic energy supplier Seplat Energy, Bloomberg reported.
The “divestment will receive ministerial approval in a matter of days. The move will increase oil and gas production, positively impacting our economy,” Bola Tinubu, Nigeria President.
Singapore's Azalea closes two funds above target raising a combined $480m. (FS)
Singapore-based Azalea Investment Management has secured the final closes of two funds-Altrium Co-Invest Fund I and Altrium Growth Fund I - raising a combined $480m. Both the funds surpassed their target of $200m each, DealStreetAsia reported.
According to an announcement on October 1, ACF I received $268m and AGF I closed with $212m in commitments. Investors in the funds included institutions, private banks, family offices, external asset managers, and high-net-worth individuals. These investors are from Singapore, Hong Kong, Japan, Korea, and the Middle East.
ThaiBev revives IPO plan for beer unit, eyes potential partners.
Thai Beverage is reviving plans for an initial public offering of its beer unit to take advantage of a rally in global stock markets, besides weighing the induction of an equity partner.
The IPO of the beer unit called BeerCo is possible as early as the third quarter of next year if ThaiBev is able to decide on the share sale by December, Michael Chye, chief of the beer products group, Bloomberg reported.
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