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AMERICAS
Nexus Capital, a provider of investment management services, agreed to acquire HDT Global, a manufacturer of nuclear, biological and chemical collective protection air filters and air filtration systems, from Charlesbank Capital, a private equity investment firm. Financial terms were not disclosed.
“Together with HDT’s talented management team, we were able to execute on key elements of our investment thesis, including transforming HDT’s go-to-market approach and broadening its reach and capabilities to new customers, geographies and markets through organic growth and five key acquisitions. The company has strong brand and market positioning, and we are confident it will enjoy continued success under its new ownership," Sam Bartlett, Charlesbank Managing Director.
Nexus is advised by Barclays, RBC Capital Markets, Societe Generale, and Munger Tolles & Olson. Debt financing is provided by Barclays, RBC Capital Markets and Societe Generale. HDT Global is advised by Houlihan Lokey and Ropes & Gray. Charlesbank is advised by Lazard.
Estée Lauder, a cosmetics firm, completed the acquisition of a 47% stake in DECIEM Beauty Group, a beauty brands holding company, for $1bn. The acquisition raised Estée Lauder's stake from 29% to 76%.
“Over the last four years, we have built a truly special long-term partnership with the incredible DECIEM team, and we are excited for what the future holds. DECIEM is an exceptional company. Nicola and her team have built and cultivated authentic brands with highly effective, must-have products using a vertically integrated model, and have fostered a uniquely transparent and engaging communication style,” Fabrizio Freda, Estée Lauder President and CEO.
DECIEM was advised by Baylor Klein, Blake Cassels & Graydon, Farris, Fasken and Gowling WLG. Estée Lauder was advised by Perella Weinberg Partners, Lowenstein Sandler and Osler Hoskin & Harcourt. Perella Weinberg Partners was advised by Ropes & Gray.
Redbox, an American video rental company, agreed to go public via a SPAC merger with Seaport Global Acquisition, a special purposes acquisition company, in a $693m deal. Upon closing, Redbox's common stock is expected to trade on Nasdaq under the ticker symbol RDBX.
"We are pleased that Seaport Global Acquisition shares our confidence in the opportunities ahead and are grateful for their team's expertise and support. In Redbox's next chapter as a public company, we will be focused on delivering a differentiated, affordable entertainment experience for our millions of loyal customers, and seeking profitable growth for shareholders," Galen Smith, Redbox CEO.
Redbox is advised by Apollo Global Management, BTIG, Moelis & Co, Paul Weiss Rifkind Wharton & Garrison and Joele Frank. Seaport Global is advised by B. Riley FBR, Kirkland & Ellis and Paul Hastings.
Goldman Sachs, a global investment banking, securities and investment management firm, completed the acquisition of a minority stake in Aragen Life Sciences, a contract research organization, from ChrysCapital, an India focused investment firm. Financial terms were not disclosed.
“We believe this new investment at this important juncture in our company’s development underscores the tremendous opportunity ahead. Working with Goldman Sachs, we are well-positioned to address the opportunities in front of us to become a leading, global player with comprehensive end-to-end solutions for drug discovery and development. For more than five years, ChrysCapital has been a trusted investment partner. Following their successful exit, we are pleased to now enter a new phase in our continued evolution," Manni Kantipudi, Aragen Life Sciences CEO.
Goldman Sachs was advised by Deloitte, Herbert Smith Freehills, Trilegal and Weber Shandwick. Aragen Life Sciences and ChrysCapital were advised by Dimensions, Jefferies & Company and Shardul Amarchand Mangaldas & Co.
Evolution Mining, an Australian mining company, completed the acquisition of Battle North Gold, a Canadian gold miner, for $283m.
"The all-cash offer is at a significant premium to market and reflects the extraordinary efforts of the Battle North team to create value at the Bateman Gold Project and ultimately deliver an outstanding outcome for Battle North's shareholders. We believe that there are unique and undeniable merits to combining the Red Lake assets of Battle North and Evolution and this Transaction reduces development and execution risk. Evolution is a highly regarded mining company with a demonstrated ability to successfully operate internationally. The Battle North team looks forward to working with Evolution to close the Transaction and smoothly transition operations to the new team," George Ogilvie, Battle North President, Chief Executive Officer, and Director.
Evolution Mining was advised by TD Securities and McCarthy Tetrault. Battle North Gold was advised by Canaccord Genuity, Cormark Securities and Osler Hoskin & Harcourt.
KKR, a global investment firm, completed the acquisition of a majority stake in Therapy Brands, a practice management and electronic health record software platform for mental, behavioral, substance use recovery, applied behavior analysis and physical rehabilitation healthcare providers, from private equity firms Lightyear Capital, Oak HC/FT and Greater Sum Ventures. Financial terms were not disclosed.
Existing investor PSG participated in the transaction alongside KKR and continues to be a minority shareholder in Therapy Brands.
"We are excited to welcome KKR as our new investor, which brings a deep understanding of the healthcare sector and extensive experience in scaling technology-enabled platforms. This support will help us accelerate our mission of making it easier for providers to navigate an increasingly complex administrative landscape so they can spend more time and focus on delivering improved outcomes for their clients," Kimberly O'Loughlin, Therapy Brands CEO.
KKR was advised by Harris Williams & Co and Kirkland & Ellis. Therapy Brands was advised by TripleTree, William Blair & Co and Davis Polk & Wardwell.
Glacier, a regional bank holding company providing commercial banking services, agreed to acquire Altabancorp, a bank holding company. Financial terms were not disclosed.
"This is an exceptional opportunity to solidify Glacier's presence in the booming Utah market by partnering with the largest community bank in the state. We have been keenly focused on building our presence in Utah and this opportunity checks all the boxes. This acquisition is consistent with our history of adding high quality community banks to our proven banking model. Altabank has been serving customers in Utah for over 100 years, and has developed a leading position and lasting legacy in the markets it serves," Randy Chesler, Glacier President and CEO.
Glacier is advised by D.A. Davidson & Co and Miller Nash Graham & Dunn. Altabancorp is advised by Keefe Bruyette & Woods, Stifel and Jones Day.
UBS O'Connor, an investment management company, Graphene Ventures, an early-stage venture capital firm, and K3 Ventures, a Singapore-based venture capital firm, led a $170m funding round in GOOD Meat, a manufacturer of first-to-market meat products.
"This investment, along with the historic decision by JW Marriott Singapore South Beach, points to what's ahead: meat without killing animals will replace conventional meat at some point in our lifetimes. The faster we make that happen, the healthier our planet will be," Josh Tetrick, Eat Just Co-Founder and CEO.
Eat Just was advised by ABG Corporate Finance, Bank of America, Guggenheim Partners and VERSO Capital.
Sheridan Capital Partners, a healthcare private equity firm, completed the investment in SimiTree Healthcare Consulting, a healthcare organization. Financial terms were not disclosed.
SimiTree will offer clients a robust suite of services, including outsourced billing, coding and revenue cycle management; executive recruiting, interim staffing and other talent solutions; guidance through mergers and acquisitions; sales consulting and education; and data analytics.
“We are excited to join forces with Sheridan to help bring these two great companies together to drive continued growth with our complementary service offerings,” Mike Freytag, SimiTree Managing Principal.
SimiTreewas advised by Brentwood Capital Markets and Robinson+Cole. Sheridan was advised by McDermott Will & Emery. Debt financing was provided by Twin Brook Capital Partners.
KKR-backed Gamma Biosciences, a life sciences tools platform, agreed to acquire a majority stake in Mirus Bio, a biotechnology company. Financial terms were not disclosed.
"Mirus brings decades of experience in transfection and cell engineering and a portfolio of best-in-class transfection products for in vitro and in vivo delivery, adding a new foundational platform that complements Gamma's existing offering in advanced therapy manufacturing," Matt Gunnison, Gamma Biosciences President.
Mirus Bio is advised by Rothschild & Co and Quarles & Brady. Gamma Biosciences is advised by Sidley Austin and White Matter Communications.
Diversified Gas & Oil, a gas and oil producer, completed the acquisition of Cotton Valley upstream assets of Indigo Minerals, a provider of drilling services, for $135m.
“Our strategic expansion into a new producing region turns vision to reality and marks a key milestone in our development. The expansion also provides significant runway for us to replicate our success in Appalachia: reducing unit expenses, improving margins and optimizing production," Rusty Hutson, Diversified Gas & Oil CEO.
Diversified Gas & Oil was advised by Buchanan. Indigo Minerals was advised by Jefferies & Company and Kirkland & Ellis.
NTT DATA, a provider of large-scale system integration and networking system services, agreed to acquire Nexient, a software services firm. Financial terms were not disclosed.
"Application development and modernization is a critical and fast-growing piece of the digital transformation value chain. With Nexient's agile, product-minded development disciplines, we're better equipped to help our clients quickly take advantage of digital innovations. NTT DATA is investing to grow our business and our digital expertise through hiring, training and R&D, as well as targeted acquisitions of best-in-class, digital companies. Nexient is the next step in this strategy and a great addition to our team," Eric Clark, NTT DATA Chief Digital & Strategy Officer.
Nexient is advised by RBC Capital Markets and Stubbs Alderton & Markiles. NTT DATA is advised by White & Case.
Carrick Capital Partners, a venture capital firm, led a $175m Series D round in DailyPay, a provider of on-demand pay solutions for enterprises. The round had participation from RPM Ventures.
"The initial application of our first-of-its-kind technology platform was to redefine how money moves between employers and their employees. We are now expanding our platform to change the relationship between merchants and their shoppers, as well as financial institutions and their customers," Jason Lee, DailyPay CEO and Founder.
DailyPay was advised by Cooley and FT Partners.
Granite Creek Capital, an active manager of lower middle market debt and equity investments, and Clover Capital Partners, a private equity firm, completed the investment in Big Easy Blends, a developer and manufacturer of branded, private label, and licensed single-serve pouched beverages. Financial terms were not disclosed.
“We are excited to partner with Clover Capital and invest with the founders of Big Easy Blends to support the company’s rapid growth through a major facilities expansion and broadening its senior leadership team. Big Easy’s distinctive manufacturing capabilities, combined with strong customer relationships and robust demand for the company’s offerings, position the company well for continued success," Jim Clark, Granite Creek Partner.
Big Easy was advised by Boxwood Partners. Granite Creek was advised by LCH Communications.
Softbank Vision Fund 2, a fund to invest in AI-based technology, led a $260m Series C funding round in Extend, provider of modern extended warranty and product protection plans. Additional investors include Meritech Capital Partners, PayPal Ventures, GreatPoint Ventures, Nationwide, Tomales Bay Capital, Launchpad Capital, 10X Capital and 40 North.
“With this new injection of capital and vote of confidence from our investors, Extend is in a strong position to continue to invest in building best-in-class product protection that serves our merchant partners and their customers. We started Extend to provide a product protection solution that eliminated the frustration and ‘gotchas’ associated with the legacy offerings in the market today. SoftBank equally shares in our long-term vision and we are thrilled to welcome them, and our other new investors, to the company," Woodrow Levin, Extend CEO and Co-Founder.
Extend was advised by Sheppard Mullin Richter & Hampton.
Hershey, a snacks company, agreed to acquire Lily's, a confectionery brand. Financial terms were not disclosed.
"Hershey is focused on developing a BFY confection portfolio that offers a variety of choices to meet the evolving needs of our consumers. Lily's is a great strategic complement to our existing offerings in this growing segment of the confection category," Chuck Raup, Hershey President.
Lily's is advised by Houlihan Lokey.
Sands Capital, a private equity firm, led a $320m Series D funding round in Klaviyo, a customer data and marketing automation platform. Additional investors include Counterpoint Global (Morgan Stanley), Whale Rock Capital Management, ClearBridge Investments, Lone Pine Capital, Owl Rock Capital, Glynn Capital, Keith Block, Accel and Summit Partners.
"Klaviyo has become the standard for how many online businesses are interacting with their customers, empowering an all-around better way of doing business and redefining what it takes for them to achieve independent success. We are extremely excited to start a long-term partnership with the team at Klaviyo as they further grow their powerful, yet easy to use software platform that customers love," Michael Clarke, Sands Capital Managing Director.
Greenspring Associates, a venture capital investment firm, led the $250 funding round in Pipe Technologies, a creator of the trading platform. The round had participation from Counterpoint Global (Morgan Stanley), CreditEase FinTech Investment Fund, SBI Investment, Sound Ventures and Guy Oseary, and existing investors such as Fin VC, Next47, Marc Benioff's TIME Ventures, Alexis Ohanian's Seven Seven Six, MaC Ventures.
"By fundamentally changing the way entrepreneurs and organizations raise capital to fund their growth, Pipe has quickly emerged as one of the most important financial technology companies in the world. Our investment will further Pipe's mission to put companies in the driver's seat of their growth," Ashton Newhall, Greenspring Associates Managing General Partner.
Strategic Innovation Fund, an investment vehicle of the Government of Canada, agreed to invest $164m in National Resilience, a company building advanced biopharmaceutical manufacturing ecosystem.
"The Government of Canada's top priority is to protect the health and safety of Canadians. Today's contribution to Resilience Biotechnologies is another important step to support Canada's leadership in the life sciences sector and to build future pandemic preparedness. These investments are also creating well-paying jobs and helping to grow Canada's life sciences ecosystem as an engine for our economic recovery," François-Philippe Champagne, Minister of Innovation, Science and Industry.
Fidelity Management, an American multinational financial services corporation, and Dragoneer Investment, a growth-oriented public and private investor, led a $120m funding round in ASAPP, a provider of artificial intelligence-enabled customer experience tools.
ASAPP pitches its tools a way to augment rather than replace customer service workers, and markets to companies with large customer operations.
An investment consortium led a с.$100m Series D funding round in Amount, a financial technology firm. The round had participation from Laurence Tosi, Hanaco Ventures, Goldman Sachs, Invus Opportunities and Barclays Principal Investments.
"The additional capital clearly demonstrates the value our investors see in Amount's ability to accelerate digital transformation in the banking and ecommerce industries through our robust retail banking suite and buy now, pay later platforms," Adam Hughes, Amount CEO.
Kohlberg & Company, a private equity firm, completed the acquisition of DecoPac, a supplier of cake decorations to professional cake decorators and bakeries, from Snow Phipps Group, a private equity firm. Financial terms were not disclosed.
“A business with DecoPac’s market position and distribution capabilities represents a unique investment opportunity. We look forward to supporting Cindy and her team as they continue to execute their plan for growth in its core business and its technology platforms, while continuing to provide their customers with best-in-class service. We look forward to a continuation of the success experienced under Snow Phipps’ leadership," Seth H. Hollander, Kohlberg Partner.
The Vision Group of Companies, a building materials provider, completed the acquisition of Energi Fenestration Solutions, a provider of PVC windows and doors, from OpenGate Capital, a private equity firm. Financial terms were not disclosed.
"This is an important and exciting day for both of our organizations and one that will position us for greater growth, as well as ensure that we remain a highly competitive global company for years to come. Together we will protect and build our customer relationships by consistently delivering the outstanding service and quality products expected from us," Vic De Zen, Vision CEO and Chairman.
Tide Rock Holdings, a company that acquires lower middle-market B2B businesses, completed the acquisition of Plastics Design & Manufacturing, a company providing plastics thermoforming services. Financial terms were not disclosed.
"The plan and strategy they created to execute this transition were excellent and as seamless as they could be. While this is a big change, my team and I are committed to building on the reputation and relationships we have developed, but also look forward to expanding our business," Trent Cunningham, PDM President.
Silver Lake, a private equity firm, completed the investment in Noom, a developer of mobile application, at $4bn valuation.
The company has met with potential advisers to discuss an IPO that could happen this year or early next year. Noom is aiming to be valued at around $10bn when it goes public depending on market conditions.
Michael McCullough, Jean Marois and Martin Boulanger completed the acquisition of the Laval plant of Energi Fenestration Solutions, a company providing extrusion and window system services. Financial terms were not disclosed.
“My journey in leading Energi has been truly rewarding, and I am excited to see the business embark on a new journey. It is a privilege serving the customers of Energi and I am confident the business will continue to flourish," Chris Koscho, Energi CEO.
Robinhood plans to reveal IPO fillings as soon as next week.
Robinhood Markets plans to reveal filings for its initial public offering as soon as next week, as the trading app targets late June for its market debut, Bloomberg reported.
The filing will give potential investors their first comprehensive look at Robinhood’s financials and the risks associated with the stock. Robinhood submitted confidential documents to the US Securities and Exchange Commission in March, a process that allows the regulator to weigh in on any changes needed before making them widely available.
Revival Healthcare Capital closes its $500m fund for strategic growth investments. (FS)
Private equity firm Revival Healthcare Capital announced the closing of RVLHC II with total capital commitments of $500m. The fund will pursue strategic growth opportunities in which Revival will invest into a high potential target company where a corporate strategic partner will have a structural option or right to acquire the company in the future. This strategy leverages Revival’s capacity as operators and investors to build collaborative partnerships that increase corporate partners’ probability of return on future growth investments and provide accelerated paths for target companies to advance innovative medical device technologies into global markets.
The fund will pursue investments that offer a solution for global strategic partners beyond the established pathways, while optimizing what might otherwise be tradeoffs with respect to control, focus, earnings impact, and timing.
Revival is advised by UBS.
EMEA
Bouygues-backed Groupe TF1, a French media holding company, agreed to merge with RTL Group-backed Groupe M6, a provider of multimedia services, in a $782m deal. Groupe Bouygues and RTL Group will hold respectively 30% and 16% of the combined group.
“The audiovisual market benefits from long term growth. In this context, Groupe Bouygues is pleased to contribute to the creation of a major French media group able to compete with the GAFANs. We are pleased with this major development and partnership which confirm Groupe Bouygues's commitment to the media since 1987. As shareholders with exclusive control over the new group, we will continue to provide it with our full support," Olivier Roussat, Bouygues CEO.
Bouygues is advised by Rothschild & Co, Darrois Villey Maillot Brochier,
Flichy Grange Avocats, Vogel & Vogel and Image Sept. RTL Group is advised by JP Morgan and White & Case. Groupe M6 is advised by Lazard, Allen & Overy, Arsene Taxand, Bredin Prat and Deprez Guignot.
KKR agreed to acquire John Laing, a British investor, developer and operator of privately financed, public sector infrastructure projects, for $2.84bn. KKR partners with Equitix, an experienced infrastructure investor, to jointly own John Laing's existing asset portfolio.
"Under private ownership and with flexible access to capital, John Laing can take a longer-term view as an owner and operator of assets during the next phase of its growth. KKR recognises the high quality of the employees and strength of the management team at John Laing and their importance to the success of John Laing following the acquisition. KKR is a long-term investor with deep experience in owning critical national infrastructure assets and we are excited by the opportunity to support the talented team at John Laing to provide capital, a global platform and operational expertise to enable John Laing to accelerate its strategy," Tara Davies, KKR Partner and Co-Head of European Infrastructure.
KKR is advised by Goldman Sachs, Herbert Smith Freehills, Simpson Thacher & Bartlett and Finsbury Glover Hering. John Laing is advised by Barclays, Peel Hunt, Evercore, Freshfields Bruckhaus Deringer and Tulchan Communications. Equitix is advised by Ashurst and Goldman Sachs.
Goldman Sachs AM-backed West Street Global Infrastructure Partners IV, an infrastructure fund offered to acquire Adapteo, a flexible real estate provider in Northern Europe, from EQT and other shareholders for c.$973m. The acceptance period is expected to commence on or around 24 June 2021 and expire on or around 16 August 2021.
“Adapteo’s management team and employees have established Adapteo as a key player in the Northern European market, leading the way in the provision of flexible, reusable and low-carbon footprint modular space solutions. We hope to partner with the company and build on our track-record of working with leading infrastructure businesses at the forefront of innovation and sustainability, and investing for the long term to support continued growth,” Philippe Camu, Goldman Sachs Global Co-Head and Co-CIO of the Infrastructure Investment Group.
Adapteo is advised by Ernst and Young, Jefferies, Deutsche Bank, Krogerus and Vinge. WSIP is advised by Sullivan & Cromwell, Mannheimer Swartling and Borenius.
Horvik, a Cyprus-registered company enanged in the metals and mining industry, announced that FAS has granted regulatory clearance in connection with the acquisition of a 51.2% stake in Trans-Siberian Gold, a gold producer, developer and explorer in Russia, for $74m.
"This is in line with our strategy to build a broader asset portfolio and adds to our investments in Highland Gold and the Ozernaya Mining Company. We believe that TSG has an attractive asset portfolio in the Kamchatka region and we believe that we can support TSG's future development," Vladislav Sviblov, Horvik Ultimate Beneficial Owner.
Horvik is advised by VTB Capital, Herbert Smith Freehills and Skadden Arps Slate Meagher & Flom. Debt financing is provided by VTB Capital. Trans-Siberian is advised by Canaccord Genuity, Akin Gump Strauss Hauer & Feld and Hudson Sandler.
Financial Conduct Authority approved a $327m acquisition of AFH Financial, an independent financial advisory services provider, by Flexpoint, a private equity investment firm. The acquisition remain subject to the sanction of the High Court. It is expected that completion of the acquisition will occur as soon as practicable following such sanction.
"Looking ahead, the independent directors believe that Flexpoint and Bidco will be excellent partners to AFH and support the continued growth of the business and that the Acquisition is in the best interests of all stakeholders of the Group. The independent directors of AFH therefore intend unanimously to recommend that shareholders vote in favour of the resolutions relating to the acquisition," John Wheatley, AFH Chairman.
AFH is advised by Keefe Bruyette & Woods, Shore Capital & Corporate, Eversheds Sutherland and Yellow Jersey. Flexpoint is advised by Raymond James and Kirkland & Ellis.
Apex Group, a global financial services provider, agreed to acquire Tzur Management, a fund administration services provider with offices in Tel Aviv, Israel and New York. Financial terms were not disclosed.
“The addition of the Tzur business enables us to expand into the Israel market and further strengthen our regional presence. As the alternative funds industry continues to attract capital, we will continuously evolve our offering to provide tailored advice and support to these investment strategies and structures,” Peter Hughes, Apex Group Founder and CEO.
Tzur is advised by Tadmor Levy & Co. Apex Group is advised by GKH, PricewaterhouseCoopers and Willkie Farr and Gallagher.
Intera Partners, a private equity firm, agreed to invest in Midagon, an experienced program and project management services company. Financial terms were not disclosed.
“During the past few years, Midagon’s growth has been strong, and this is an important next step in our growth story. With more resources for growth and internationalization, we look forward to serving our customers even more broadly and offering top opportunities for experienced project and program managers. As the number and complexity of critical business and IT transformations increases, there will be clear demand for independent advisory also in the future," Ilkka Töyrylä, Midagon CEO.
Intera Partners is advised by Avance. Midagon is advised by Krogerus and Sisu Partners.
Mindray, a company that develops, manufactures, and markets medical devices, agreed to acquire HyTest, a manufacturer of scientifically created antibodies, from Summa Equity, a thematic investment companyб for $665m.
"With the resources available from Mindray, we can further develop our capabilities to serve our customers and fulfill their needs for best-in-class reagents for developing reliable and sensitive immunoassays on various platforms," Juhana Rauramo, HyTest CEO.
HyTest is advised by William Blair & Co and Avance.
Veolia, a provider of optimized resource management, completed the acquisition of Osis, a sanitation networks maintenance firm, from Suez Group, a provider of environmental services, for $354m.
"The merger of SARP and Suez RV OSIS would position the Veolia Group as a major player in this field and would enable both entities to offer new services to their public, service and industrial sector customers and to cover the whole country," Veolia.
Suez was advised by DC Advisory and Racine.
Magnit, Russia’s grocery chain, agreed to acquire DIXY Group, a convenience-store network, from Mercury Retail Group, a holding company, for $1.2bn. The price may be adjusted on net debt and net working capital changes as of the closing date. Pending regulatory approval, the deal is expected to close by August 31, though that may be extended.
“Upon completion of the transaction, we will significantly strengthen our market positions in both capitals, which are strategically important for Magnit’s further expansion in the country. High-quality locations, well-known brand and strong customer base in Moscow and St Petersburg will allow Magnit to become one of the top-players in the respective regions. Moreover, given scale of the transaction this may substantially improve our overall market position in the sector,” Jan Dunning, Magnit President and CEO.
Mercury Retail Group is advised by Skadden, Arps, Slate, Meagher & Flom.
Mutares, a listed private equity holding company, agreed to acquire three exteriors plastic components plants from Magna, a firm in automobile parts manufacturing industry. The closing of the transaction and the rebranding of the company are expected in the third quarter of 2021. Financial terms were not disclosed.
“The acquisition of the three exteriors plants is a great win for us. We are confident that the business is well positioned to benefit from several strategic growth initiatives in the future. It will benefit especially from automotive megatrends of fuel efficiency and demand for increasingly lightweight exterior plastics from OEMs,” Johannes Laumann, Mutares CIO.
Magna is advised by Hengeler Mueller.
The UK’s Competition & Markets Authority has launched an investigation into the recent acquisition by Sony Music of Kobalt’s recordings division, which included the latter’s neighbouring rights agency and the AWAL label services business.
CMA is concerned of competition law concerns about Sony significantly expanding its distribution and label services business through one transaction.
“The CMA is investigating the completed acquisition by Sony Music Entertainment of the AWAL and Kobalt Neighbouring Rights businesses from Kobalt Music Group Limited. We welcome the investigation into this acquisition as it leads to further concentration in the music market and is part of an ongoing wider move by Sony to acquire significant independent players in key markets. We expect the investigation to cover both the physical and also digital markets, and the impact on competitors, digital services, artists and fans, who will all lose out," CMA.
Kobalt Music Group is advised by Loyens & Loeff and White & Case.
General Atlantic, a global growth equity firm, led a $335 Series D funding round in Back Market, an operator of a marketplace for refurbished smartphones and electronic devices. Additional investors include Generation Investment Management, Goldman Sachs, Aglaé Ventures, Eurazeo and daphni.
“Our goal now goes beyond making renewed tech a viable option. We want to make it the first choice for electronics purchases. The support and confidence of these prominent funds, together with our growing customer base, marks an important step in Back Market’s journey, and more importantly for the refurbished sector as a whole," Thibaud Hug de Larauze, Back Market CEO.
Lenta, a chain of hypermarkets and supermarkets, agreed to acquire the supermarkets business of Billa Russia, the second largest chain in Moscow, for €215m ($262m). As a result of the transaction, Lenta will have a total food retail market share of с.3% in Moscow and the Moscow region.
"The acquisition of Billa Russia's supermarkets gives us access to mature stores with established customer traffic, including in central Moscow neighborhoods, and instantly doubles Lenta's footprint in the supermarket segment in terms of the number of stores overall. Billa's locations also enable Lenta to further expand its online express delivery offering across all of Moscow, supporting our ambitious plans to significantly grow the online business in the coming years," Vladimir Sorokin, Lenta CEO.
IBM, a provider of computer solutions, agreed to acquire Waeg, a provider of management consulting and Salesforce consulting partner in Europe. Financial terms were not disclosed.
"Our partner ecosystem is an important growth channel for Salesforce, and IBM continues to expand their capabilities across the world, most recently with the addition of Waeg. The combination of IBM and Waeg's Salesforce consulting capabilities and assets will help give customers across Europe the capabilities to create streamlined, automated experiences on the Salesforce platform," Tyler Prince, Salesforce Executive Vice President.
Accenture, a multinational professional services company, completed the acquisition of Homburg & Partner, a strategic management consulting firm. Financial terms were not disclosed.
“The pandemic accelerated the shift for organizations to adopt new digital standards for customer experience and engagement. The addition of Homburg & Partners expands our ability to shape growth and efficiency strategies across the enterprise and will increase our clients’ focus on growing their sales and profits, as they pivot to their next generation customer engagement," Edwin van der Ouderaa, Accenture Global Lead of Customer, Sales & Service.
Entain considers bidding for William Hill's UK assets.
Entain, a sports betting and gambling company, is considering to bid for some of assets of the British gambling company William Hill, targeting a competitor just months after rebuffing an unsolicited $11bn takeover approach from MGM Resorts.
Chief Executive Officer Jette Nygaard-Andersen, who took over in January, plans to look at the non-US assets of William Hill that Caesars Entertainment is putting up for sale, including the well-known UK properties.
A deal would bring about tremendous consolidation in British betting shops, where Entain already has a 40% share, Bloomberg reported.
Russia's Trust Bank raises $680m from VTB share sale.
Trust Bank, a “bad bank” holding assets from three failed lenders, has raised around $680m from the sale of shares in state lender VTB, adding to funds the authorities are trying to recover after costly bailouts four years ago. Under the deal, Trust Bank is selling close to 1.18tr shares at $0.00058 per ordinary share, giving it proceeds of about $680m, Reuters reported.
Trust Bank holds bad loans from the three large private banking groups taken on by Russia’s central bank in a 2017 bailout. The 9.1% VTB stake, transferred to Trust Bank last year, was sold via an accelerated book build.
Inter Milan nears a $336m bailout deal with Oaktree. (FS)
Oaktree Capital Group is nearing a deal to buy a minority stake in FC Internazionale Milano as part of a $336m deal aimed at shoring up the Italian soccer team’s troubled finances.
The US fund is close to buying about 30% of Inter owned by the Hong Kong-based private equity firm LionRock Capital and to provide a much-needed loan to the team. The move could eventually lead the US-based fund to take full control of the soccer team from its Chinese owner, the conglomerate Suning Holdings Group, Bloomberg reported.
Pressure is mounting on Inter Milan to shore up its finances following the collapse of the Super League project, which held the promise of injecting more $366m of cash into the Italian team. The club has failed to pay regular salaries to its players in recent months, highlighting its strained situation. It also asked players to give up of a part of their annual salary.
Deutsche Bank considers selling Postbank Leasing.
Deutsche Bank is considering selling its leasing unit Postbank Leasing, as it focuses on its most profitable operations.
Deutsche Bank under CEO Christian Sewing is halfway through a turnaround plan that seeks to boost profitability by getting rid of business units that don’t meet internal profitability benchmarks. The lender previously sold its equities trading division, an IT unit, and has studied the sale of a small online-only lender called Norisbank, Bloomberg reported.
BP and ENI are in talks to merge their Angolan oil and gas businesses.
Oil giants BP and Eni have entered into talks to merge their oil and gas operations in Angola to form one of Africa’s largest energy companies.
The two companies have signed a non-binding memorandum of understanding and are in discussions on a joint venture that will include their liquefied natural gas facilities. A business plan will be agreed to allow the companies to capture future opportunities in exploration, development and possibly portfolio growth, both in Angola and regionally.
Spinning off oil and gas assets is seen as a way for BP and Eni to squeeze more out of their oil and gas assets as the two companies prepare to shift towards renewable energy. The 50-50 joint venture will also be self-funded, Reuters reported.
FCC plans to sell its renewable energy business to Plenium Partners. (FS)
FCC, a Spanish engineering firm controlled by Mexican billionaire Carlos Slim, has agreed to sell 49% of its renewable energy business, FCC Energia, to investment fund Plenium Partners, Reuters reported.
FCC’s exit from the renewable energy business is part of a long term plan that includes the divestment of non-strategic assets to focus on construction, water and environmental services.
OQ hires advisers for sale of a 12% stake in REN.
OQ, the national petroleum investment company of Oman, has hired legal and financial advisers to prepare for the possible sale of its entire 12% stake in Portuguese power grid operator REN, Reuters reported.
“We have assisted advisors for the preparation of such intended sale through a private placement. No formal decision has been made as to the sale itself or the conditions in which it may be implemented. At this point no specific process has been initiated," OQ.
LGT Capital Partners raises $6bn to capture Private Equity Secondaries opportunities. (FS)
Private equity firm LGT Capital Partners announced that it has raised $6bn to capture investment opportunities in private equity secondaries across the whole spectrum of investment situations including single assets solutions, private equity fund solutions and diversified portfolios of Limited Partnership interests.
LGT Capital Partners’ second program focusing on single asset solutions and concentrated fund solutions, Crown Secondaries Special Opportunities II, is closing on May 31, 2021 at its hard cap of $1.5bn. As early as 2015, LGT Capital Partners launched its predecessor program to access this newly identified set of opportunities in private equity secondaries. LGT Capital Partners’ dedicated secondaries program Crown Global Secondaries V was also strongly sought after by investors. It is closing at its hard cap of $4.5bn on May 31, 2021.
Hg Capital aims to raise upto $1bn with its debut debt fund. (FS)
Hg Capital, a private equity firm, is pitching a new fund that would provide debt to the private-equity portfolio companies that the London-based firm backs.
The fund would invest in eight to 10 portfolio companies across two fund strategies of Hg Capital.
The new credit fund, Hg Titan I, is targeting $600m and is expected to collect up to $1bn of investor commitments, according to presentation materials prepared for a May investment advisory council meeting of the Connecticut Retirement Plans and Trust Funds. The pension system is considering a commitment of up to $75m to the Titan fund, WSJ reported.
83North raises $550m for its sixth fund. (FS)
83North, a venture capital firm, announced that it had received commitments totaling $550m for its sixth fund.
83North's sixth fund will be the second largest single venture capital fund raised in Israel, excluding private equity funds, which invest in mature companies. It will use the new money to invest in startups across sectors such as health care and automation and put additional growth funds into its existing portfolio.
Deutsche Bank appoints new head of investment banking in UK and Ireland. (People)
Deutsche Bank has appointed Daniel Ross as the new head of investment banking coverage in the UK and Ireland, Bloomberg reported.
Daniel Ross will join the German lender in September from Barclays, where he was vice chairman of UK investment banking and global head of media.
Ross will report to Patrick Frowein and Berthold Fuerst, co-heads of investment banking coverage and advisory in Europe, the Middle East and Africa at Deutsche Bank.
APAC
Adani Green Energy, an India-based renewable energy company, agreed to acquire SB Energy, a utility-scale solar, energy storage, from SoftBank, a Japanese multinational conglomerate, and Bharti Group, an Indian multinational conglomerate, for $3.5bn.
"This acquisition is another step towards the vision we stated in January 2020, wherein we laid out our plans to become the world's largest solar player by 2025 and thereafter the world's largest renewable company by 2030. The renewable energy platform that we are building will lay the foundation for attracting several other global industries that are increasingly looking to reduce their carbon footprint (as well as lay the foundation for opening up adjacent platforms that include Hydrogen and Storage). We are well on our way to achieve our stated solar portfolio targets four years before the deadline we set for ourselves," Gautam Adani, Adani Chairman.
Adani Green Energy is advised by Clifford Chance.
Kredivo access options for an IPO through SPAC. (FS)
Kredivo, a fintech lending platform, is exploring the possibility of taking the floor on the stock exchange through a merger option with Victory Park Capital-backed SPAC.
Kredivo is still considering all available options and does not rule out canceling the listing option through SPAC.
DCL hits first close of RMB Fund IV at $467m. (FS)
Chinese distressed asset investor DCL Investments has reached the first close of its fourth RMB-denominated fund DCL Special Situation RMB Fund IV while targeting to garner $467m for the new vehicle.
“Our investment strategies for DCL’s active funds have upgraded to focus on developing a rigid pipeline around traditional distressed asset packages, from which we promptly capture special situations investment opportunities at a price with a fair margin of safety,” Selina Zheng, DCL President.
UTEC launches a new $275m fund. (FS)
The University of Tokyo Edge Capital Partners, a deep-tech investment firm, announced the first close of its fifth fund, which is expected to total of $275m by June 2021.
Broadly speaking, UTEC focuses on three areas: healthcare and life sciences, information technology and physical sciences and engineering. More specifically, it is looking for tech that addresses some of the most important issues in Japan, including an aging population, labor shortage and the digitization of legacy industries.
“UTEC 5 will allow us to provide more funds from seed/early to pre-IPO/M&A stages in Japan and worldwide, on a wider scale and in a more consistent manner. I believe this will further help our startups expand to address the global issues of humankind," Tomotaka Goji, UTEC Managing Partner and President.
Legend Capital closes its $270m Healthcare Continuation Fund. (FS)
Legend Capital, a private equity fund manager, announced the close of its $270m healthcare fund LC Healthcare Continued Fund I, for a secondary transaction that involves healthcare portfolios of two older vintage funds. The fund provided liquidity and helped enhance returns for existing investors while maximizing the value of the fund's portfolio with new follow-on capital.
The fundraising was co-led by accounts managed by Hamilton Lane and Coller Capital, with participation from other institutional investors.
"China's healthcare sectors present attractive investment opportunities and Legend's experience and strong track record have made us confident to co-lead this deal. In the meantime, the private equity secondary market in China has continued to grow and evolve rapidly in the last few years and we look forward to exploring more interesting and innovative secondary transactions going forward," Mingchen Xia, Hamilton Lane Co-Head of Asia Investments.
Legend Capital was advised by Lazard and Gibson Dunn & Crutcher. Hamilton Lane and Coller Capital were advised by Ropes & Gray.
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