Madison Dearborn Partners, an American private equity firm, agreed to acquire MoneyGram, a provider of evolution of digital P2P payments, for $1.8bn.
"We are excited to enter into this transaction with MDP, which will deliver immediate and compelling value to shareholders and enable us to accelerate the advancement of our digital growth strategy. This transaction is the culmination of a thorough process by the MoneyGram Board to enhance shareholder value while positioning our business for continued growth and expansion. By partnering with MDP and becoming a private company, we will have greater opportunities to innovate and transform MoneyGram to lead the industry in cross-border payment technology and deliver a more expansive set of digital offerings, while leveraging our global platform for new customers and use cases. This transaction provides exciting opportunities for our dedicated MoneyGram team and partners, and I'm incredibly excited about the path ahead," Alex Holmes, MoneyGram Chairman and CEO.
MoneyGram is advised by Bank of America and Vinson & Elkins. Bank of America is advised by Paul Hastings. Madison Dearborn Partners is advised by Barclays, Deutsche Bank, Goldman Sachs, JP Morgan, Covington & Burling, Kirkland & Ellis, Latham & Watkins and Abernathy MacGregor Group. Debt financing is provided by Barclays, Deutsche Bank and Goldman Sachs.
Exit of Lockheed Martin, a global security and aerospace company, from its planned purchase of Aerojet Rocketdyne, an American rocket and missile propulsion manufacturer, for $4.6bn has refocused investors on the compounding list of problems at both companies, Reuters reported.
Shares of both Lockheed Martin and Aerojet Rocketdyne fell on February 15, 2022, after Lockheed walked away from the deal. Aerojet plans to deliver value to shareholders by advancing hypersonics and strategic, tactical and missile defense systems while Lockheed will focus on the most effective use of capital with the highest return on investment, including their ongoing commitment to return value to shareholders.
Neuberger Berman, an investment firm, remains unconvinced Zendesk, a customer service platform, should buy Momentive Global, a management company that offers cloud-based software, for $4bn even after engaging with the Momentive's management.
The investment firm joined Janus Henderson, a British global asset management group, and Jana Partners, an investment manager, to oppose Zendesk's deal for Momentive.
Momentive is advised by Allen & Company, JP Morgan, Wilson Sonsini Goodrich & Rosati and Joele Frank. Financial advisors are advised by Latham & Watkins and White & Case. Zendesk is advised by Goldman Sachs, Hogan Lovells, Sullivan & Cromwell and Sard Verbinnen & Co.
Advanced Micro Devices, an American multinational semiconductor company, completed the acquisition of Xilinx, an American technology company that develops highly flexible and adaptive processing platforms, for $35bn. Current AMD stockholders will own c. 74% of the combined company on a fully diluted basis, while Xilinx stockholders will own c. 26%.
“Our acquisition of Xilinx marks the next leg in our journey to establish AMD as the industry’s high performance computing leader and partner of choice for the largest and most important technology companies in the world. This is truly a compelling combination that will create significant value for all stakeholders, including AMD and Xilinx shareholders who will benefit from the future growth and upside potential of the combined company. The Xilinx team is one of the strongest in the industry and we are thrilled to welcome them to the AMD family. By combining our world-class engineering teams and deep domain expertise, we will create an industry leader with the vision, talent and scale to define the future of high performance computing,” Lisa Su, AMD President and CEO.
AMD was advised by Credit Suisse, DBO Partners and Latham & Watkins. Financial advisors were advised by Cravath Swaine & Moore and Morgan Lewis & Bockius. Xilinx was advised by Bank of America, Morgan Stanley, Skadden Arps Slate Meagher & Flom and Joele Frank. Financial advisors were advised by Shearman & Sterling.
Amentum, a premier global government and private-sector partner, completed the acquisition of Pacific Architects and Engineers, an American defense and government services contractor, from Platinum Equity for $1.9bn.
"By achieving an approximately 70% premium over PAE’s closing price on October 22, 2021, PAE’s Board believes this transaction will deliver significant value for PAE’s shareholders. This is a historic milestone in PAE’s legacy of service to the US Government spanning over 66 years. I want to commend Interim President and CEO Charlie Peiffer and the rest of the PAE management team for their outstanding work in getting the transaction to this point given many competing demands," Marshall Heinberg, PAE Chairman of the Board of Directors.
Amentum was advised by JP Morgan, Arnold & Porter Kaye Scholer and Cravath Swaine & Moore. PAE was advised by Morgan Stanley, Raymond James, Goodwin Procter, Morgan Lewis & Bockius and Nichols Liu. Financial advisors were advised by Morrison & Foerster. Platinum Equity was advised by Latham & Watkins.
HotelPlanner, a hotel and event booking technology platform, and Reservations.com, an online travel agency, terminated a $567m deal with Astrea Acquisition, a SPAC.
“We see opportunities for accelerating growth both in the US and globally as we unite two of the largest online booking websites on one highly efficient tech-forward platform, and combine it with the power of our Closed User Group rates. Our technology investments have enabled us to remain ahead of the curve in the rapidly changing travel industry. Reservations.com is a leading global hotel booking website, with more than 1m stays booked each year. Together, with our combined user base, global gig-based travel agents, brand reach, organizational efficiencies, and significant capital, we are in a prime position to shape the future of online travel booking,” Tim Hentschel, HotelPlanner Co-Founder and CEO.
LifeSpeak, a mental health and total wellbeing platform for employers, health plans, and insurance companies, agreed to acquire Wellbeats, a provider of an on-demand, software-as-a-service physical wellbeing platform, for $93m.
“The acquisition of Wellbeats significantly expands and diversifies the SaaS-based behavioral health and physical wellbeing solutions LifeSpeak can offer its customers and partners. Wellbeats brings an exceptional on-demand wellbeing platform to millions of users worldwide and provides us with additional growth opportunities via channel partners. Through this acquisition, we are excited to have the opportunity to cross-sell this extraordinary physical wellbeing platform around the world, as well as increase the prevalence of our industry-leading mental health and total wellbeing education platform," Michael Held, LifeSpeak CEO.
LifeSpeak is advised by Roth Canada, Scotiabank, Fasken, Pillsbury Winthrop Shaw Pittman and LodeRock Advisors. Wellbeats is advised by Stifel and Lathrop GPM.
Nogin, a provider of commerce-as-a-service technology, agreed to go public via a SPAC merger with Software Acquisition III in a $646m deal.
“As commerce continues to become more and more complex, brands and merchants are looking for a way to get the hard stuff handled so they can focus on making great products and better connecting with their customers. Nogin’s platform delivers the complex ecosystem traditionally afforded to only the biggest, most sophisticated retailers in a simple, easy-to-use platform for merchants. Nogin also leverages data to drive incremental growth and profitability for merchants while delivering a better experience to consumers," Jan Nugent, Nogin CEO and Co-Founder.
Nogin is advised by Stifel, Latham & Watkins, Gateway Investor Relations and Jaffe Communications. Software Acquisition III is advised by Jefferies & Company and Kirkland & Ellis.
Murata, a manufacturer of silicon capacitive acceleration and pressure sensors, agreed to acquire Resonant, a firm developing software, intellectual property and a services platform, for $296m.
“This acquisition will combine Murata’s world-leading mobile RF product capabilities with Resonant’s best-in-class XBAR filter solutions and world-class team of talented engineers. We have collaborated closely with Resonant for many years on the development of proprietary circuit designs using Resonant’s XBAR technology, and Resonant licensed to Murata rights for products in multiple specific radio frequencies in connection with our commercial partnership. This transaction will deepen our existing partnership and position us to better meet our customers’ needs and expand opportunities for Murata," Norio Nakajima, Murata President.
Murata is advised by Mizuho Securities, Akin Gump Strauss Hauer & Feld and Gibson Dunn & Crutcher. Resonant is advised by Centerview Partners, Stubbs Alderton & Markiles and MZ Group North America.
Spectrum Equity, an investment firm, and 22C Capital, a private investment firm, completed a $200m investment in RapidRatings, an operator of financial health analytics platform. FTV Capital will remain on the board and continue to support the company as an investor.
“The need for greater insight between companies and the financial health of their suppliers will only grow as global supply chains continue to see strain and credit markets tighten. With FTV’s and LLR’s partnership over the last several years, we have significantly expanded our offering and achieved tremendous growth. The new investment from Spectrum and 22C gives our firm a mandate to strategically double down on our promise to create better financial visibility between our clients and the companies they depend on every day," James Gellert, RapidRatings CEO and Chairman.
RapidRatings was advised by Raymond James, Bryan Cave Leighton Paisner, Kirkland & Ellis and The Bliss Group. 22C was advised by Sidley Austin. Spectrum Equity was advised by Latham & Watkins.
Vista Equity, a private equity firm, completed the $1bn investment in Securonix, a next-gen SIEM and XDR software company, with participation from Volition Capital and Eight Roads Ventures.
"Securonix is driven by technology innovation and a passionate mission to address the cybersecurity challenges faced by organizations globally. We solve a very tough problem that requires excellence across multiple domains, including product engineering, threat detection/hunting, data science, and operations. This funding will help us accelerate investments in these areas and continue to provide a world-class service to our customers," Sachin Nayyar, Securonix Co-Founder CEO.
Securonix was advised by Citigroup, Fenwick & West and fama PR. Vista Equity was advised by Kirkland & Ellis.
Fidelity National Information Services, a payment services provider, completed the acquisition of Payrix, a developer of a flexible payment facilitator, from PSG, a fund manager, and Blue Star, a growth equity family office. Financial terms were not disclosed.
“It has been a pleasure to work alongside the talented team at Payrix and witness their extraordinary growth throughout our investment period. We thank the Payrix team for their partnership and look forward to their continued success," Marco Ferrari, PSG Managing Director.
Payrix was advised by Financial Technology Partners and Weil Gotshal and Manges. PSG was advised by Prosek Partners.
Black Knight, a holding company, completed the acquisition of the remaining stake in Optimal Blue, a provider of managed-content, product eligibility, and pricing engine technology, from Thomas H. Lee, a private equity firm, and Cannae Holdings, a holding company, for $1.16bn.
"The performance of Optimal Blue has been outstanding by any measure. The integration has gone very well, and there continue to be opportunities to go even further with our industry-leading solutions. We are looking forward to the continued strong performance of Optimal Blue and the great cross-sell opportunities we have as we move forward as one company," Anthony Jabbour, Black Knight Chairman and CEO.
Black Knight was advised by JP Morgan and Weil Gotshal and Manges.
3Play Media, a closed captioning, transcription, and audio description services provider, completed the acquisition of Captionmax, a closed captioning and media accessibility company. Financial terms were not disclosed.
"Live video captioning is a tremendous area of growth and one that 3Play has been increasingly focused on for our customers. As we evaluated the market, we realized there are a lot of benefits to a combination with Captionmax. Its reputation as a trusted and high quality live captioning solution, particularly in the broadcast space, was a great complement to 3Play, which has a strong presence in the recorded captioning space across industries and is focused on the same goals of reliability and quality," Josh Miller, 3Play Media Co-Founder and Co-CEO.
3Play was advised by LeClare PR.
Firm Capital Property Trust, a real estate investment trust, completed the acquisition of the 135 unit multi-residential building for $55m.
This condominium quality nine floor building contains 11 one-bedroom units, 114 two-bedroom units and 10 three-bedroom units, as well as roof top terrace, indoor pool and exercise room. The property is a Class A asset located within the Pointe Claire City Centre neighbourhood which features access to public transit, several schools, medical clinics, gyms, daycares and a variety of popular amenities.
Garden City Companies, a provider of legal administrative services, completed the acquisition of Duncan & Sons Building Maintenance, a commercial janitorial and facilities maintenance company. Financial terms were not disclosed.
“The Duncan Standard has always been about serving people. From our cleaners to executive management, everyone prides themselves for leading with a servant heart. With Garden City’s investment, we’re now equipped to further advance our mission and better serve our manufacturing, logistics, healthcare, education, office and church clients with the best cleaning service in the industry," Luke Duncan, Duncan & Sons CEO.
Blank-check companies backed by buyout firm Warburg Pincus and billionaire real estate investor Barry Sternlicht are in talks to take security services firm Allied Universal public in a $20bn deal.
The deal will involve three special purpose acquisition companies. The SPACs are currently in talks to raise a private investment in public equity,
Reuters reported.
Monster Beverage and Constellation mergers talks are progressing.
Talks between Monster Beverage, the maker of energy drinks, and Constellation Brands, a producer and marketer of beer, wine, and spirits, about a combination are progressing,
Bloomberg reported.
A merger agreement could be reached in the coming weeks if negotiations proceed smoothly. The similarly sized companies have a combined market value of about $90bn.
Berkshire Hathaway bought Activision shares before the Microsoft takeover.
Berkshire said that as of December 31, it owned 15m shares worth about $975m of the "Call of Duty" maker. Microsoft announced its plan to buy Activision Blizzard on January 18, in its largest-ever acquisition.
Top investor urges Siemens Energy to take full control of Siemens Gamesa. (FS)
Siemens Energy should buy the rest of struggling wind turbine division Siemens Gamesa, reported Union Investment, the first such demand by a major investor since a recent profit warning and leadership change.
Siemens Gamesa last month issued its third profit warning in nine months, a move that has led parent Siemens Energy to send board member Jochen Eickholt to take charge at the unit from March to become its third CEO in 18 months. At the root of the problem lie supply chain issues and a delayed ramp up of Siemens Gamesa's next generation of onshore wind turbine, causing project delays and higher-than-expected costs that have also hit its parent.
Sachem Head seeks control of US Foods board. (FS)
Sachem Head Capital Management, an investment management firm, plans to nominate a slate of seven directors at US Foods, a foodservice distributor, in an effort to take over the food distributor’s board.
The New York-based activist fund, which owns a 8.7% stake in US Foods, believes the company is underperforming compared with its peers and has failed to improve its operations as promised. The firm contends bringing US Food’s margins in line with its nearest competitor, Sysco, could see shares of US Foods double after the market regains faith in the company,
Bloomberg reported.
KKR-owned Marelli in talks with lenders on debt reorganization. (FS)
Mizuho Financial Group and other lenders are in talks with KKR-owned Marelli, a parts supplier to the automotive sector, to renegotiate debt and offer financing to keep it operational,
Bloomberg reported.
The auto-parts company, created in 2019 when KKR merged its Calsonic Kansei and Magneti Marelli units, is seeking to file as soon as March for an alternative dispute resolution in Japan. Marelli had at least $9.5bn in total debt as of September.
Intel, a computer components and related products, agreed to acquire Tower Semiconductors, an Israeli company that manufactures integrated circuits using specialty process technologies, for $5.4bn.
"With a rich history, Tower has built an incredible range of specialty analog foundry solutions based upon deep customer partnerships, with worldwide manufacturing capabilities. I could not be prouder of the company and of our talented and dedicated employees. Together with Intel, we will drive new and meaningful growth opportunities and offer even greater value to our customers through a full suite of technology solutions and nodes and a greatly expanded global manufacturing footprint. We look forward to being an integral part of Intel's foundry offering," Russell Ellwanger, Tower CEO.
Intel is advised by Goldman Sachs, Skadden Arps Slate Meagher & Flom and Yigal Arnon & Co. Tower is advised by JP Morgan and Latham & Watkins.
SalMar, a firm that produces and sells farmed salmon internationally, offered to acquire NTS, a company that produces and sells farmed salmon through its subsidiary in Norway, for $1.7bn. The offer represents a $13.5 price per share with premium of 29%.
The merger will facilitate improved capacity utilization combined the MTB and location portfolio, as well as the implementation of best practices on operation, which in total is expected to give even better biological results and lower production costs. The parties have great expertise in sales and distribution, and the merger will provide improved access to customers worldwide. The merger will in total strengthen the competence base and production capacity, and prepare the ground for further sustainable growth in the local communities parties operates, both in the northern parts of Trøndelag, northern Norway and the Westfjords in Iceland.
SalMar is advised by Arctic Securities and BAHR. NTS is advised by Carnegie Investment Bank and Thommessen.
Canada Pension Plan Investment Board, a global investment management organization, and Motive Partners, a next-generation investment firm focused on technology enabled companies that power the financial services industry, led a $1.4bn funding round in FNZ, a financial services company that specialises in providing platform as a service investment platforms to major financial institutions.
"Today's announcement represents a resounding endorsement of FNZ’s track record and future strategy. The company has successfully demonstrated exponential growth in the scale and depth of customer relationships and geographic expansion with platform revenues more than quadrupling in the past three years to over $1bn per annum, whilst also growing profitably and sustainably," Adrian Durham, FNZ Founder and CEO.
FNZ was advised by Lazard and Allen & Overy.
BPER, an Italian banking group, agreed to acquire an 80% stake in Carige, an Italian bank, from Interbank Deposit Protection Fund, an Italian deposit guarantee fund, for $601m.
BPER Banca will launch a mandatory public purchase offer, after closing, on the remaining shares of CARIGE at a price of $0.91 per share.
BPER is advised by Mediobanca.
ECI Partners, a private equity group, agreed to invest in Zenergi, a provider of energy brokerage and administration services to the education sector. Financial terms were not disclosed.
"We are delighted to be working with ECI Partners to deliver future growth for Zenergi, and further support schools and other institutions with their energy requirements as we all move towards a greener future. ECI has a strong track record supporting energy services businesses and we are excited about the opportunity ahead. We’d also like to thank August Equity for their support over the last 4 years during what has been an enjoyable part of our journey,” Graham Cooke, Zenergi CEO.
ECI Partners is advised by DC Advisory.
20VC, a venture capital form, led a $116m Series B funding round in Tripledot, an operator of a gaming studio intended to develop casual mobile games, with participation from Access Industries, Lightspeed Venture Partners and Eldridge.
The plan is to acquire interesting startups working on creative ideas, to complement what Babayigit describes as a particularly strong set of skills that Tripledot has gained in developing engaging monetization mechanics and scaling games.
Tabreed looks at expansion in Egypt.
Dubai-listed National Central Cooling Company is considering an acquisition in Oman and expanding into Egyptian and other Gulf markets, its CEO Khalid Abdulla Al Marzooqi said in an interview.
Tabreed, which provides cooling systems to governments, commercial, residential and private organisations, is also looking at opportunities to expand in the United Arab Emirates, Marzooqi said.
ABB rebrands its turbocharging business Accelleron.
ABB, a Swiss automation group, rebranded its turbocharging business Accelleron and said it expected to make the final decision on whether to sell or spin it off towards the end of the first quarter.
"Whichever path is chosen by ABB to separate the business, this process should be completed in the first half of 2022", ABB.
Adnoc and Borealis are hiring banks for IPO of Borouge.
Abu Dhabi National Oil and Borealis said they’re considering an initial public offering of a minority stake in Borouge. They hired Citigroup, HSBC, and First Abu Dhabi Bank for the IPO,
Bloomberg reported.
The largest oil producer in the United Arab Emirates and its Austrian chemicals partner are lining up banks to help arrange a potential listing of their plastics venture Borouge within months.
