AMERICAS
T-Mobile reported that the antitrust expert hired by a group of states seeking to block its takeover of Sprint "rigged" his analysis of stock prices in a report that will be used as evidence in an upcoming trial, Bloomberg reported.
Carl Shapiro, a professor at the University of California at Berkeley, preselected trading data and ignored historical stock movements that undermined his theory about why the merger should be stopped on antitrust grounds, lawyers for T-Mobile and Sprint said in a filing late Friday in federal court in New York.
Sprint is advised by Centerview Partners, JP Morgan, Mizuho, SMBC, The Raine Group, Morrison & Foerster, Potter Anderson & Corroon, Simpson Thacher & Bartlett, and Skadden Arps Slate Meagher & Flom. SoftBank, the largest shareholder of Sprint before the transaction, is advised by Morrison & Foerster. Deutsche Telecom is advised by Deutsche Bank, Evercore, Goldman Sachs, Morgan Stanley, PJT Partners, Allen & Overy, Hogan Lovells, DLA Piper, Latham & Watkins, Richards Layton and Finger, and Wachtell Lipton Rosen & Katz.
Bristol-Myers Squibb said the decision meant it had all the needed regulatory approvals and would close the acquisition on Wednesday. The proposed divestiture is the largest that the FTC or the US Department of Justice has ever required in a merger enforcement matter.
Celgene is advised by Morrow Sodali Global, Citigroup, JP Morgan, Davies Ward Phillips & Vineberg, Jones Day, Slaughter & May, Wachtell Lipton Rosen & Katz, Simpson Thacher & Bartlett, and Kekst CNC. BMS is advised by Dyal Co, Evercore, Morgan Stanley, Kirkland & Ellis, Mayer Brown, Davis Polk & Wardwell, Brunswick Group, Joele Frank, and Sard Verbinnen & Co. Debt Financing is provided by Mitsubishi UFJ Financial Group and Morgan Stanley.
Broadcom, a Nasdaq-listed chipmaker, paid a $110m tax bill to Irish tax authorities following its $10.7bn acquisition of security software developer Symantec's enterprise division.
Hock Tan, chief executive of Broadcom, said the purchase of Symantec’s enterprise division could add more than $2bn worth of sustainable run-rate revenues.
Broadcom was advised by BMO Capital Markets, Bank of America Merrill Lynch, Barclays, Citigroup, Credit Suisse, HSBC, JP Morgan, Mizuho Securities, Morgan Stanley, RBC Capital Markets, Wells Fargo Securities, Wachtell Lipton Rosen & Katz, and Joele Frank. Symantec was advised by Goldman Sachs, Fenwick & West, and Sullivan & Cromwell.
Shareholders of both Caesars Entertainment and Eldorado Resorts voted to approve the issuance of shares for the $17.3bn acquisition. The transaction is expected to be closed in the first half of 2020 and remains subject to the receipt of all required regulatory approvals and other closing conditions.
Eldorado's and Caesars' stockholders approved each of the other matters on their respective meeting agendas, including the Eldorado stockholders’ approval of the reincorporation of Eldorado from Nevada to Delaware subject to and promptly following the consummation of the merger.
Caesars is advised by Deutsche Bank, PJT Partners, Skadden Arps Slate Meagher & Flom, and Teneo. Eldorado is advised by Credit Suisse, JP Morgan, Macquarie Group, Latham & Watkins, Milbank, and JCIR. Debt financing to Eldorado is provided by Credit Suisse, JP Morgan, and Macquarie Group.
West Virginia-based lender WesBanco received all regulatory approvals for the $500m all-stock transaction merger with Old Line Bancshares, a financial services firm.
The receipt of all regulatory approvals comes nearly a month after the shareholders of the two companies approved the transaction. The acquisition is expected to close later this month, subject to other customary closing conditions.
Old Line Bancshares is advised by Keefe Bruyette & Woods, and Baker Donelson Bearman Caldwell & Berkowitz. WesBanco is advised by D.A. Davidson & Co, K&L Gates, and Phillips Gardill Kaiser & Altmeyer.
Liberty Hall Capital, a US-based aerospace and defense industry-focused private equity firm, agreed to acquire Numet Machining, a provider of aerospace engine machined components, from Bromford. Financial terms were not disclosed.
"The acquisition of Numet marks a critical step in our overall plan of designing a ‘new’ Bromford as we transform the company into a leading, global supplier of aerospace engine machined and fabricated components and assemblies," Rowan Taylor, Liberty Hall founding and Managing Partner.
Liberty Hall is advised by Citizens Bank, Stellus Capital, and Gibson Dunn and Crutcher. Bromford is advised by Gibson Dunn and Crutcher. Numet Machining is advised by Lincoln International, Benesch, Friedlander, Coplan & Aronoff.
Pharmaceutical manufacturing company Roche is set to acquire Promedior, a privately held biotechnology company pioneering the development of targeted medicines to treat fibrosis, for $1.39bn.
Under the terms of the merger agreement, Roche will make an upfront cash payment of $390m, plus additional contingent payments of up to $1bn based on the achievement of certain predetermined development, regulatory and commercial milestones. The closing of the transaction is subject to the expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and other customary conditions.
"We believe Roche is ideally positioned to bring the potential of our platform to patients and provide new treatment options within these areas of urgent unmet medical need," Jason Lettmann, Promedior CEO.
Promedior is advised by Argot Partners.
ACProducts, a manufacturer and distributor of cabinets, is set to acquire Masco Cabinetry, a manufacturer of wooden cabinets, tabletops, and home remodeling materials, for $1bn.
The deal value of $1bn consists of $850m in cash and preferred stock issued by a holding company of the buyer with a liquidation preference of $150m. The preferred stock will have a coupon of 8%, increasing to 10% in the third year. The transaction, which is subject to standard closing conditions, is expected to be completed by the end of the first quarter of 2020.
"We proudly welcome Masco Cabinetry’s associates to the ACPI family. This is a momentous day for ACPI as we continue to focus on offering the most diverse and balanced cabinet offering in North America. Each of our brands is targeted to serve a specific channel segment, and we look forward to expanding on our brands’ strong value propositions as a result of this acquisition,” Tom Samanic, ACProducts Chief Commercial Officer.
ACProducts is advised by Barclays, Goldman Sachs, Baker Botts, and Ropes & Gray.
Cerberus Capital Management, a mid-market private equity firm, completed the acquisition of an 80% stake in Off Lease Only, a used car dealership. Financial terms were not disclosed.
Off Lease Only founders Mark and Eileen Fischer will maintain 20% ownership of the company and will continue to provide strategic direction and support.
“We look forward to working with Mark, Eileen, and their talented team to expand the Company’s footprint and further strengthen the business through strategic investments and the integration of operations and technology initiatives," Scott Wille, Cerberus Co-Head of Private Equity and Senior Managing Director.
Cerberus was advised by Sard Verbinnen & Co.
Seventy2 Capital Wealth Management, a private equity firm, completed the acquisition of Creative Benefit Concepts, a provider of corporate and nonprofit retirement plans, and succession planning strategies. Financial terms were not disclosed.
"We are thrilled to have Creative Benefits Concept and Kerry Hemphill join Seventy2 Capital. We saw a unique opportunity to partner with a veteran and specialist in the corporate retirement planning industry," Paul Carlson, Seventy2 Partner, and Co-Founder.
Seventy2 Capital was advised by 4PR Group.
Generation Investment Management and T. Rowe Price Associates, two investment management firms, agreed to invest $400m in Convoy, in a Series D funding round that values the business at $2.75bn. Seattle-based Convoy is an operator of online marketplaces that match truckers with shippers needing to move cargo.
"Generation's investment in Convoy is rooted in many years of deep research into the future of logistics. We are seeing Convoy drive the next evolution in efficiency across the industry, through its use of sophisticated data science techniques to continuously optimize its growing network of carriers. This is a true win-win opportunity for the industry – driving a reduction in carbon emissions, while simultaneously increasing take-home pay for carriers and service quality for shippers," Joy Tuffield, Generation's Growth Equity team Partner.
Siemens, a German multinational conglomerate company, is set to acquire MultiMechanics, a software services company. Financial terms were not disclosed.
Siemens plans to integrate MultiMechanics into Siemens Digital Industries Software, which will add the ability for customers to create a digital twin of materials by tightly combining materials engineering with part design, performance engineering, and manufacturing.
"We are excited to join Siemens and the Simcenter family. The combination of the TRUE Multiscale technology of MultiMechanics with Simcenter 3D software will provide a strong basis for further innovation, enabling an expansion of the scope of structural simulation," Flavio Souza, MultiMechanics President and CTO.
FFL Partners, a private equity firm, completed an investment in Orthodontic Partners, a provider of orthodontal services. Financial terms were not disclosed.
FFL will be partnering with co-founders Jamie Reynolds, Jeff Kozlowski, and CEO Chip Hurlburt, who also have significant equity in the business.
"We look forward to working with Chip, Jamie, and Jeff, who have earned their excellent reputations for strong leadership, exceptional orthodontic outcomes, and best-in-class patient care. We’re very excited for practices across the country to join the OP family,” Aaron Money, FFL Partner.
OCAP, a private equity firm, completed the acquisition of Enertech Holdings, a wireless infrastructure service provider, form Tower Arch Capital, a lower-middle market private equity fund. Financial terms were not disclosed.
“Enertech is a market leader due to a relentless focus on exceptional customer service, employee safety, and technical expertise. We are thrilled to partner with Eric Chase and the Enertech management team to continue to grow the business through acquisitions and organic growth,” Edmund Kim, ONCAP Managing Director.
Ion Group, a provider of financial software and data business, is set to acquire MarketFactory, a provider of software solutions for digital currencies. Financial terms were not disclosed.
"Ion was the right partner to invest in the company’s growth. There have been many potential buyers over the years, but none appreciated the importance of managing a critical piece of the daily supply chain," Darren Jer, MarketFactory CEO.
Teradyne, a diversified industrial machinery manufacturer, completed the acquisition of AutoGuide Mobile Robots, a manufacturer of industrial robots. Financial terms were not disclosed.
“We are happy to welcome AutoGuide to Teradyne and look forward to helping expand their product lineup and accelerate their global growth plans,” Mark Jagiela, Teradyne President and CEO.
Synopsys, an electronic design automation company, completed the acquisition of DINI Group, a manufacturer of FPGA-based boards and solutions. Financial terms were not disclosed.
DINI Group’s FPGA-based solution further expands Synopsys' leadership position in physical prototyping and extends the company's FPGA solutions into network applications and high frequency/low latency algorithmic trading.
WPP sued two private equity firms over a $300m acquisition of a digital retail media company, Triad Retail Media three years ago, claiming they misled the state of its finances and artificially increased its value, causing the ad giant to lose more than $120m, Bloomberg reported.
WPP agreed to acquire Triad Retail Media in October 2016 from entities formed by Detroit-based Rockbridge Growth Equity and Boston-based Falcon Strategic Partners.
Noble Midstream to acquire Noble Energy's incentive distribution rights for $1.6bn.
Noble Midstream Partners, a developer, and operator of midstream infrastructure assets, is set to acquire the Noble Energy’s incentive distribution rights and substantially all of hydrocarbon exploration firm for $1.6bn.
"We are excited to announce the resulting simplification and drop transaction. This financially-attractive acquisition of essentially all of Noble Energy’s remaining midstream assets will enhance operational synergies and increase economic alignment in Noble’s growth basins. The acquisition is expected to be accretive to distributable cash flow per unit," Brent J. Smolik, Noble Midstream CEO.
Berkshire Hathaway invests in Restoration Hardware. (FS)
Warren Buffett’s Berkshire Hathaway disclosed a new investment in RH, boosting shares of the luxury furniture and home furnishings chain, once known as Restoration Hardware.
Berkshire owned about 1.21m RH shares worth $206m as of September 30, according to a regulatory filing detailing Berkshire’s US-listed stocks.
Court tosses Carl Icahn's lawsuit exploring Occidental acquisition records. (FS)
Carl Icahn will not have access to Occidental Petroleum Anadarko takeover records to help his proxy fight against the oil firm's board, a Delaware court judge governed on Thursday, Reuters reported.
Icahn sued Occidental in Delaware Court of Chancery last May asking for financial records and details of its negotiations with Anadarko. He has since committed to a proxy fight to elect new management and accelerate asset sales to repay debt taken on with the $38bn deal.
Norwest Venture Partners seals $2bn NVP XV fund. (FS)
Norwest Venture Partners, a venture and growth equity investment firm, closed its largest fund, Norwest Venture Partners XV, at $2bn.
The launch of Norwest Venture Partners XV, which brings the firm's total capital commitments to more than $9.5bn, closes on the bases of a record two years, as 23 of the firm's portfolio companies achieved notable liquidity events.
Alpine Investors closed Fund VII at $1bn hard cap. (FS)
Alpine Investors, a middle-market private equity firm that focuses on software and services businesses, concluded fundraising for Alpine Investors VII with $1bn in limited partner capital commitments. Fund VII exceeded its $750m target and hit its hard cap, bringing the firm's total AUM to $2.7bn.
"We are very grateful to the diverse group of new and returning limited partners who have demonstrated their confidence in our approach to private equity," Graham Weaver, Alpine Founder, and CEO.
HarbourVest Partners concludes the direct co-investment fund above target. (FS)
HarbourVest Partners, a private markets asset manager, has closed its fifth co-investment fund at its hard cap of $3bn. HarbourVest Partners Co-Investment Fund V, which had an original target of $2.5bn, was oversubscribed.
"HarbourVest's direct co-investment program has established itself as a leader within the private equity space," Peter Wilson, HarbourVest Partners Managing Director.
Tencent in discussions to create a consortium for Universal Music Group stake. (FS)
Tencent is in talks with possible co-investors for its proposed bid for a minority stake in Universal Music Group from Vivendi. The Chinese tech firm is weighing to raise about $1.1bn in debt to help fund the deal, while the rest will likely be funded in equity.
Hillhouse Capital and GIC are among potential investors that the Chinese tech giant has approached. Tencent plans to supervise the consortium for the 10% stake in UMG to carry out the purchase within the next few months.
Highwoods completed the acquisition of Bank of America Tower at Legacy Union for $436m. (RE)
Highwoods Properties, an office real estate investment trust, completed the acquisition of Bank of America Tower at Legacy Union in the heart of Charlotte's dynamic Uptown CBD submarket for $436m.
Bank of America Tower at Legacy Union is a trophy, LEED gold-registered office building encompassing 841k square feet with structured parking that delivered this year. Bank of America Tower at Legacy Union is currently 90% leased.
Ares Management appoints new Head of Credit Trading. (FS, People)
Ares Management assigned Michael Schechter as Partner and Head of Credit Trading. Mr. Schechter will oversee the trading of all bank loans, high yield, and related credit instruments in the US and Europe. He will work with current senior trading professionals, portfolio managers, and management to set and execute Ares' trading agenda.
"We are pleased to welcome Michael to Ares in his new position as the leader of our Credit Group's trading team. Michael brings extensive knowledge and deep experience within our markets, as well as a broad range of relationships across both buy-side accounts and our sell-side counterparties," Kipp de Veer, Ares Credit Group, Partner and Head.
Samhällsbyggnadsbolaget I Norden, a long-term investor in social infrastructure assets, offered to acquire Hemfosa, a Swedish property company, for $2.4bn. The price represents a 22.7% premium compared to the closing price of Hemfosa common shares on Nasdaq Stockholm on 14 November 2019.
"With this transaction, we are creating the largest social infrastructure property owner in the Nordics. The combined company would have an attractive and stable property portfolio characterized by exposure against the Nordic welfare states with long term leases, high occupancy rates, and a diversified tenant base. It is a portfolio with notable low risk due to its unique combination of community service properties with the Swedish and Norwegian state as the largest tenants and Swedish rent-regulated residential properties," Ilija Batljan, SBB Founder and CEO.
Hemfosa is advised by SEB Corporate Finance, Swedbank, and Cederquist. SBB is advised by ABG Sundal Collier, JP Morgan, Nordea Bank, Clifford Chance, and Vinge.
GeoPark, an oil and natural gas exploration and production firm, offered to acquire Amerisur Resources, a full-cycle independent oil exploration and production company focused onshore Colombia, for £242m ($312m). The transaction represents a premium of approximately 58.8% to the closing price per Amerisur share on 18 July 2019.
"The FSP has been a very thorough exercise with multiple parties provided with access to data rooms and management presentations held in Bogota. The cash offer from GeoPark Colombia of 19.21 pence ($0.24) per share represents a premium of almost 60% to Amerisur's share price prior to the FSP and is an attractive proposition for Amerisur and its shareholders, particularly when compared to recent public markets acquisitions in the sector. The market for Amerisur has been fully tested, and the Board is unanimously recommending this condition light offer to shareholders," Giles Clarke, Amerisur Chairman.
Amerisur is advised by Arden Partners, Investec, Stifel, BMO Capital Markets, Ashurst, Rosenblatt Law, and Camarco. GeoPark is advised by Rothschild & Co and Norton Rose Fulbright.
Equistone Partners is set to acquire Amadys, a provider of passive network equipment solutions, from an investment fund Vectis Private Equity. Financial terms were not disclosed.
The management team will reinvest and will retain a sizable minority share in the company. The transaction is expected to complete in early 2020 and remains subject to clearance from the relevant competition authorities.
"We are very impressed by Amadys’ strong market position, earned by providing an exceptional level of expertise and service to its customers and OEMs. In partnership with Amadys’ excellent management and employees, we look forward to supporting the company’s continued growth trajectory,” Hubert van Wolfswinkel, Equistone Director.
Equistone is advised by PwC, Ernst & Young, Rothschild & Co, Allen & Overy, Shearman & Sterling, and IWK Communication Partner. Vectis and Amadys are advised by Roland Berger, GCA Altium, Nielen Schuman, Argo Law, and PwC.
Savannah Petroleum, a holding company, completed the acquisition of Seven Energy, a provider of services to oil and natural gas industries. Financial terms were not disclosed.
“We are very pleased to have completed the Seven Energy Transaction. The deal transforms Savannah into a full-cycle E&P company in West Africa and marks the start of a very exciting time for us. We have acquired a business with great people and a strong set of exploration, appraisal, development and production assets which are expected to be highly cash flow generative for the Company," Andrew Knott, Savannah Petroleum CEO.
Savannah Petroleum was advised by Strand Hanson, Mirabaud, Jefferies & Company, Numis Securities, Celicourt Communications.
Dalata Hotel Group, an owner and operator of hotels, agreed to acquire the Tamburlaine hotel. The hotel will be rebranded as Clayton Hotel Cambridge in the coming months, and Dalata will operate the hotel under a new full repairing and insuring lease for a 30-year term. Financial terms were not disclosed.
"Cambridge has been a priority target city for our Clayton brand, and I am delighted that we have secured such a high-quality, modern hotel in the center of the city. The acquisition of the leasehold interest of this hotel is another important step in our stated strategy of expanding our Maldron & Clayton brands in key cities across the UK," Dermot Crowley, Dalata Deputy CEO.
Dalata Hotel Group is advised by Berenberg, Davy Corporate Finance, and FTI Consulting.
Alteri Investors, a private equity firm, is set to acquire Blue Group Hold, owner of Bensons for Beds, Harveys Furniture and upholstery & bedding manufacturers Relyon, Steinhoff UK Beds and Formation Furniture, from Steinhoff International Holdings. Financial terms were not disclosed.
The investment will be made from Alteri’s second investment vehicle, launched in August 2019, with the backing of funds and accounts managed by affiliates of Apollo Global Management. The acquisition is subject to regulatory approval.
“We are delighted to be teaming up with Alteri. Throughout the sale process, they have demonstrated an in-depth understanding of our business, and their expertise, not least in digital, will help turbo-charge our plans to drive the performance of the group,” Mark Jackson, Blue Group CEO.
Alteri is advised by Maitland.
Columbia Threadneedle European Sustainable Infrastructure Fund and French ferry operator, Brittany Ferries, are set to acquire Condor Ferries, an operator of lifeline freight and passenger ferry services, from Macquarie Infrastructure and Real Assets. Financial terms were not disclosed.
“The acquisition of Condor Ferries together with Brittany Ferries is exciting news for Columbia Threadneedle as it marks the first investment by our new infrastructure fund," Nick Ring, Columbia Threadneedle CEO.
MIRA is advised by Rothschild & Co.
Hellman & Friedman, an American private equity firm, agreed to acquire a minority stake in Action, a non-food discount retailer, from Partners Group. The transaction values Action at $11.3bn and is expected to close in January 2020.
"Partners Group is pleased to have been able to support the company through its rapid expansion across Europe over the past eight years. Action has been able to generate extraordinary growth by combining an entrepreneurial culture with a unique retail format. While the sale of our stake in Action generates a very attractive return for our clients, we leave the company extremely well-positioned for continued future growth," Walter Keller, Partners Group Partner.
Anex Tour, a tour operator, agreed to acquire Intourist, a provider of tourism and hospitality services, from Thomas Cook Group. Financial terms were not disclosed.
Neset Kockar, Anex Tour chairman, who was a shareholder in Thomas Cook, said he planned to keep the Intourist brand and develop it with Anex Tour, which is also present in Russia.
TransPerfect Global, a provider of language and technology solutions, is set to acquire Scheune München Mediaproduction, a video production and recording studio based in Munich. Financial terms were not disclosed.
The acquisition gives TransPerfect a complete network of company-owned FIGS (French, Italian, German, Spanish) language studios located in-country: with Paris and Rennes in France, Milan in Italy, Munich in Germany, and Barcelona and Madrid in Spain.
"Scheune München has proven themselves a trusted provider in the field of media localization, serving entertainment clients in Germany and beyond. We want to welcome their entire team to the TransPerfect family of companies," Phil Shawe, TransPerfect President and CEO.
Blueprint Gaming, a subsidiary of gambling firm Gauselmann Group, completed the acquisition of Livewire Gaming, a UK-based gaming software developer. Financial terms were not disclosed.
The acquisition will significantly boost Blueprint’s land-based development capabilities, particularly in producing games for the Cat C market.
“We would like to officially welcome Alan and his team to the Gauselmann Group. Livewire and Blueprint have had a close relationship for many years, so this merger makes perfect sense for both parties. We look forward to working with Livewire and building on our already successful partnership,” Sascha Blodau, Gauselmann Group General Manager.
Aramco to accelerate into indices with the help of MSCI, S&P Dow Jones, FTSE Russell.
MSCI, an index provider, will follow S&P Dow Jones and FTSE Russell, which told clients this week that they could fast-track Saudi Aramco's inclusion into their indexes as soon as December.
Aramco is set to launch a share sale process on November 17, aiming to raise $20bn-$40bn in a domestic IPO in early December, Reuters reported.
Aramco stated in its IPO plan that the offering of shares would rely on the 144A rule of the US Securities Act, which allows a non-US issuer to tap the US market. Aramco will not market shares in the US.
Credit Suisse inspects a start of $7bn for the private capital unit of Amine. (FS)
A new private capital unit set up by Credit Suisse under Jim Amine could start with $7bn to invest, as the Swiss bank follows its Wall Street rivals in a push towards the latest debt boom.
Amine resigned as chief executive of Credit Suisse's investment bank this week, ending a tenure of more than ten years at the top of the bank's advisory business.
CityFibre's acquisition of FibreNation from TalkTalk stalls over Labour's nationalization plans.
British broadband provider TalkTalk stated that a deal to sell its FibreNation business to digital infrastructure provider, CityFibre had stalled after the opposition Labour Party announced a plan to create a “British Broadband” public service if they win the General Election.
“Our discussions are very advanced, and yes, the news overnight, of course, is making everybody in the sector pause and consider," Tristia Harrison, TalkTalk CEO.
Vivendi may reduce its stake in Mediaset.
Fresh mass media conglomerate Vivendi is looking to reduce its stake in Italian broadcaster Mediaset, in a potential deal to end a long-running legal row between the two companies.
Such a deal would help a European expansion plan by the broadcaster controlled by the family of former Italian prime minister Silvio Berlusconi, which is opposed by the French media group led by billionaire Vincent Bollore, Reuters reported.
Mediaset to raise ProSieben stake to 20%.
Mediaset could raise its stake in German broadcaster ProSiebenSat.1 to 20% but does not plan to launch a tender offer. Mediaset currently holds 15.1% of ProSieben after it acquired a 5.5% stake on November 11.
“Clearly, for us, it’s not a final step. We would hope to see others joining the project. We are sure that that’s the best way for the shareholders to get the value of the larger scale,” Marco Giordani, Mediaset CFO.
Lloyds Banking wins legal action protecting HBOS purchase.
Lloyds Banking Group shareholders have lost a £385m ($497m) legal action over the acquisition of rival HBOS in 2009.
The High Court of Justice dismissed the order, which claimed shareholders were misled by Lloyds’ directors, who suggested the deal without revealing vital information about the parlous state of HBOS.
FDJ moves to the high end of price range on its IPO.
French national lottery operator Francaise des Jeux's demand for the IPO is moving towards the top of the price range.
The IPO was overenrolled in a range of $20.4 and $22. The initial price guidance for the IPO was $18-$22. The share deal should raise $1.9bn for the state, and about a third of it has been designated for retail investors, Reuters reported.
Italy files appeal to stop ArcelorMittal from leaving Ilva steel plant.
Italy's government filed an urgent court request on Friday to stop ArcelorMittal from stepping away from a 2018 deal to acquire the troubled Ilva steel plant, as a union said the group was preparing to leave on December 4.
ArcelorMittal accused the government move to scrap previous guarantees of legal immunity during a massive clean-up operation at Ilva's plant. The group has no legitimate grounds to resign from the contract and is accused of using the immunity issue as a pretext to step away from Ilva, the government stated.
Telecom Italia includes own fiber assets in broadband network bid.
Telecom Italia, Italy's biggest phone group, is inviting infrastructure funds to bid next week for the assets of smaller broadband rival Open Fiber including its last-mile network.
The former monopoly is pressing ahead with plans to find one or more funds to help it acquire Open Fiber and create a national champion that can roll out a single broadband network to avoid repeating investments, Reuters reported.
ADNOC plans to acquire many rigs by 2025.
ADNOC Drilling, a subsidiary of the Abu Dhabi National Oil, announced a significant rig fleet expansion program to support ADNOC's growth plans and enable the delivery of its 2030 Smart Growth Strategy.
"ADNOC Drilling's rig fleet expansion underscores ADNOC's drive to unlock and maximize value from Abu Dhabi's vast hydrocarbon resources and will further improve drilling and well-completion efficiencies. The program is a pivotal enabler of our plans to substantially increase drilling for conventional oil and gas as well as considerably ramp up the number of unconventional wells, as we grow our oil production capacity and work to achieve gas self-sufficiency for the UAE," Abdulmunim Saif Al Kindy, ADNOC Executive Director and ADNOC Drilling Chairman of the Board of Directors.
Saipem to evaluate combination with Subsea 7.
Saipem, an Italian oil and gas industry contractor, is considering a combination with rival Subsea 7, a subsea engineering, construction and services company serving the offshore energy industry, in what could rank as one of the European oil services industry’s biggest-ever deals, Bloomberg reported.
The Italian company is pursuing a potential transaction with Norway-listed Subsea 7 as it seeks to bulk up and weather an industry downturn.
Capital & Counties to divest Earls court interests for £425m. (RE)
Capital & Counties Properties, a United Kingdom-based property investment and development company, agreed to sell its interests in Earls Court, London to APG, provider of pension fund management, and Delancey, a real estate management company, for £425m ($549m). The transaction is expected to close before the end of November 2019.
The company stated the sale, which excludes assets Lillie Square, West London, is on a cash-free and debt-free basis.
"Having prepared Earls Court for future development, we are now pleased to have agreed terms for the sale of our interests to APG and Delancey, an experienced real estate investment partnership which, with the support of Transport for London will take forward this important scheme for London," Ian Hawksworth, Capital & Counties Properties CEO.
Barchester to acquire Brighterkind care homes from Terra Firma for £160m. (RE)
Barchester, an independent care provider, agreed to acquire a portfolio of two dozen Brighterkind care homes from Terra Firma for £160m ($206m).
If confirmed, a transaction will add the homes to Barchester's 200-strong estate, which collectively employ about 17k people and look after 11k residents.
Lazard hires Numis bankers to start a venture and growth banking team. (People)
Lazard poached two executives from British stockbroker Numis to manage a new team that will focus on European private firms seeking growth equity and venture capital. The US-based investment bank said that Garri Jones and Nick James would enter as managing directors in its London hub in January to lead the team known as Lazard Venture and Growth Banking.
"Provide companies with greater access to capital markets and financial advice throughout their life cycle," William Rucker, Lazard UK Chairman.
APAC
SoftBank-backed Fortress Investment Group raises its bid for Japanese hotel chain Unizo Holdings Company by 2.5%. Fortress, the only suitor with a formal bid currently in play, bumped up its offer to $37.7 per share from $36.7, valuing Unizo at $1.3bn. It extended its tender offer for a sixth time, until November 29.
Unizo is advised by Benedi Consulting, KPMG, ZECOO Partners, Daiwa Securities, Mitsubishi UFJ Financial Group, Davis Polk & Wardwell, Nishimura & Asahi, TMI Associates, Horwath HTL Asia Pacific, Hospitality Capital Management, and Ernst & Young.
India's Supreme Court cleared ArcelorMittal's $5.8bn acquisition plan for the bankrupt steel manufacturer Essar Steel, following a legal struggle that has dragged through multiple courts for over two years.
The acquisition of Essar Steel India will make Arcelor the fourth-biggest producer in a nation where the government is investing trillions of rupees in infrastructure. The verdict is likely to be the final approval in a more than yearlong battle by Arcelor to take over Essar.
“We are very pleased with the judgment that our resolution plan has been approved. We look forward to the closing of the acquisition soon,” ArcelorMittal Spokesperson.
Nippon Steel and ArcelorMittal are advised by Sullivan & Cromwell. Debt Financing is provided by Credit Suisse. Linklaters is advising Credit Suisse.
Australia cleared dairy producer China Mengniu Dairy's $983m acquisition of local infant formula, Bellamy's Australia. The government said the Foreign Investment Review Board had unanimously decided that the sale of Bellamy’s to Hong Kong-listed China Mengniu Dairy was not against Australia’s interests.
Bellamy's Australia is advised by Morgan Stanley and Allens.
GrainCorp passed a significant regulatory hurdle to divest its Australian bulk liquid terminals business to ANZ Terminals, driving its shares around 8% higher.
The clearance from the Australian Competition and Consumer Commission comes a day after GrainCorp posted its most significant annual loss in more than two decades. It had also warned of a weaker crop outlook in 2020 as it battles a three-year drought that has weakened its output, Reuters reported.
The ACCC said it would not reject the acquisition after ANZ Terminals agreed to divest its Osborne facility in South Australia, and GrainCorp decided to retain its bulk liquid facility at Port Kembla in New South Wales.
Graincorp is advised by Blackpeak Capital and Gilbert + Tobin.
Hotel group LvYue raised more than $100m in the recent funding round Series A and A+ led by Tencent, Sequoia Capital, Baidu Capital and Goldman Sachs. The round also saw the participation of Ocean Link, Citic Trust, Oriza Holdings, and Caissa Travel. Exact financial terms were not disclosed.
The funding raised will help the company spruce up its innovations and ramp up its self-dependent e-platforms besides building its brand marketing and accelerating its expansion in India and beyond.
"Goldman Sachs has a positive outlook for both China and global travel destination markets and will support LvYue to further expand its business throughout China and abroad," Stephanie Hui, Goldman Sachs Managing Director and Co-head of Principal Investment Area.
LvYue was advised by Fanzhuo Capital.
Assa Abloy, a manufacturer of access solutions, is set to acquire AM Group, an industrial door manufacturer. Financial terms were not disclosed.
The acquisition is subject to regulatory approval and customary closing conditions and is expected to close during the first quarter of 2020.
"I am very pleased to welcome AM Group and its employees into the ASSA ABLOY Group. I welcome this complementary addition to our business, specializing in innovative entrance automation," Nico Delvaux, Assa Abloy President and CEO.
Alibaba receives a strong demand for $13.4bn Hong Kong IPO, cancels investor luncheon amid protests.
Alibaba plans to list its shares in Hong Kong from November 26, where it is hoping to raise up to $13.4bn, and it is marketing the deal to investors around the world. Potential investors had been told that the “quality of demand is high” and that there “continues to be powerful feedback” about the deal, Reuters said.
Alibaba Group abandoned an investor luncheon in Hong Kong amid escalating protests in the city. The e-commerce company is conducting investor meetings by phone rather than in person for its planned new share sale, citing logistics and safety concerns.
KKR seeks record $12.5bn buyout fund for Asia. (FS)
KKR is looking to raise $12.5bn for its buyout fund targeting Asia, a record size for the region.
The proposed amount is about a third higher than it's previous $9.3bn fundraised in 2017, the majority of which has already been invested.
SoftBank's second Vision gathers $2bn in initial fundraising. (FS)
SoftBank Group completed an initial money-raising push for its second technology fund, at a fraction of its targeted $108bn. The Japanese company raised roughly $2bn for the second Vision Fund so it can start backing startups.
SoftBank said in July that its second Vision Fund would be even more significant than the first, which broke records in 2017 by raising almost $100bn. This time around, SoftBank said it is taking more control, committing $38bn of its capital and replacing Saudi Arabia, the largest investor in the first fund.
India's Supreme Court refused to remove a barrier for the takeover of Fortis by IHH.
India's Supreme Court refused to remove a barrier to the takeover of above a 50% stake in Fortis Healthcare, a chain of hospitals, headquartered in India, by a rival group IHH Healthcare.
The court held Fortis’ founders - Malvinder Singh and Shivinder Singh - guilty of contempt of court and said it could start similar proceedings against the company. This effectively halts IHH’s open offer to Fortis shareholders that would have brought its holdings in India’s second-largest hospital company above 50%. IHH is already Fortis’ largest shareholder with a 31% stake.
The block comes just as IHH’s efforts to turn around Fortis’ fortunes through cost-cutting was starting to show results. It will hobble the company’s attempt to move past a scandal in which it was allegedly defrauded of millions of dollars by its founders. The Singh brothers are no longer shareholders in Fortis, DealStreetAsia reported.
Guotai Junan Securities takes over the brokerage arm of CEFC.
State-owned Guotai Junan Securities took control over the brokerage arm of troubled energy conglomerate CEFC China Energy. Guotai Junan will administer the business of CEFC Shanghai Securities for no longer than 12 months, the China Securities Regulatory Commission said.
Ooredoo contemplates reducing stake in $4bn Myanmar arm.
Qatari carrier Ooredoo considers decreasing its stake in Myanmar unit amid fierce competition in one of the world's newest mobile-phone markets.
Ooredoo has been assessing interest from possible investors, including state-owned China Telecommunications, about taking a stake in its Myanmar business. The deal could value the unit at $4bn.
Coffee Day enters deal talks with private equity firms. (FS)
Shares of Coffee Day, owner and operator of a cafe chain, rose 5% in Friday's trade after the non-disclosure agreements with private equity firms KKR, TPG Capital and Bain Capital for initiating discussions on a stake purchase in the group's coffee business, were signed.
The PE firms are expected to begin due diligence shortly.
Saracen in talks to buy Barrick's mine stake for $750m.
Saracen Mineral is in advanced talks with regards to a deal for Barrick Gold share of the Kalgoorlie Super Pit gold mine in Western Australia for $750m.
The Perth-based Saracen offer values the 50% stake in the mine at about $750m.
BAM seeks to raise $1.2bn in IPO.
State-owned Bangkok Commercial Asset Management, Thailand's largest manager of distressed assets, is contemplating to raise THB35bn ($1.2bn) in its upcoming initial public offering.
The company, which began estimating investor demand for its IPO this week, is conditionally planning a domestic roadshow next week and an international one from November 25.
BAM intends to offer 1.77bn shares in the IPO, decreasing the central bank's stake to 45.6%, according to its IPO filing.
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