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AMERICAS
Blackstone Real Estate agreed to acquire Retail Opportunity Investments, a fully integrated, self-managed real estate investment trust, for $4bn.
“We are pleased to reach this agreement with Blackstone, as it will provide significant and certain value to our stakeholders. This transaction represents the culmination of the steadfast commitment and extraordinary dedication of our talented team and their tireless efforts over the past 15 years. We are confident that Blackstone will position ROIC’s portfolio for continued growth and success," Stuart A. Tanz, ROIC President and Chief Executive Officer.
ROIC is advised by JP Morgan and Clifford Chance (led by Chang-Do Gong, Jay Bernstein and John Healy). Blackstone is advised by Bank of America, Eastdil Secured, Morgan Stanley, Newmark Group and Simpson Thacher & Bartlett.
Royalty Pharma, a company specializing in acquiring pharmaceutical royalties, and Pharmakon Advisors, an investment manager providing non-dilutive debt for the life sciences industry, completed the $375m investment in Geron, a commercial-stage biopharmaceutical company.
“The substantial financial commitment of exceptional long-term partners like Royalty Pharma and Pharmakon Advisors strengthens our cash position and further solidifies our balance sheet, while providing flexibility to invest in our future. We believe that the terms reflect the significant commercial potential of RYTELO. The proceeds are expected to enable us to support the commercial launch of RYTELO in the US and potential launch in the EU, complete our Phase 3 IMpactMF trial in relapsed/refractory myelofibrosis, invest in supply chain redundancy for RYTELO, and our general working capital requirements,” Michelle Robertson, Geron Executive Vice President and CFO.
Geron was advised by TD Cowen and Cooley. Royalty Pharma was advised by Fenwick & West and Goodwin Procter. Pharmakon Advisors was advised by Akin Gump Strauss Hauer & Feld.
Godspeed Capital-backed Stengel Hill Architecture, an architectural and interior design firm, completed the acquisition of Mason Blau & Associates, a full-service architectural firm providing solutions for the healthcare and government infrastructure markets. Financial terms were not disclosed.
“We look forward to joining the SHA platform and leveraging its resources to continue expanding our team’s capabilities and service offerings. It is our pleasure to work with the talented teams at SHA and Godspeed Capital to strategically grow our business and continue delivering sensible, cost-effective architecture, engineering, and design solutions for our clients,” Michael R. Mason and Robert H. Blau, Mason Blau & Associates Co-Founders.
Mason Blau & Associates was advised by PSMJ Resources and Bush Ross. Godspeed Capital was advised by Latham & Watkins and Gasthalter & Co (led by Alex Jeffrey).
American Plus Bank to acquire Long Beach branch from United Fidelity Bank.
American Plus Bank, a bank, agreed to acquire Long Beach branch from United Fidelity Bank, a bank. Financial terms were not disclosed.
“We are thrilled to enter the Long Beach market and welcome new customers into the American Plus Bank family. This acquisition reflects our dedication to providing outstanding banking services and support to communities throughout the Southern California Market," John Nerland, American Plus Bank President.
United Fidelity Bank is advised by Piper Sandler and Amundsen Davis (led by John Tanselle). American Plus is advised by MJC Partners.
Aterian Investment, a private equity firm, completed the acquisition of Outlook Group, a provider of pressure sensitive labels and turnkey packaging solutions. Financial terms were not disclosed.
"We are excited to partner with the Outlook team to support the Company through its next phase of growth. Outlook has an industry-wide reputation for quality earned through decades of superior levels of service that has resulted in a longstanding customer base," Brandon Bethea, Aterian Co-Founder & Partner.
Aterian Investment was advised by Perella Weinberg Partners, PricewaterhouseCoopers and Weil Gotshal and Manges (led by Chris Machera).
Kiwa, a quality assurance company, completed the acquisition of NQA, a provider of certification services to aerospace in the US, from Element Materials Technology, a testing, inspection, and certification services provider. Financial terms were not disclosed.
“This addition of activities and investment in capabilities is an important milestone for us on both a strategic and a cultural level. To begin with, these new companies collectively provide us with deeper access and new, complementary services in targeted growth markets such as the United States and the United Kingdom as we make life safer for even more people around the world. Secondly, we welcome over 1k new, highly skilled colleagues to our global team. We have worked with some of them before, through our joint venture partnership in China, and we know they are a strong cultural fit; they already live our values in terms of delivering outstanding customer service and going the extra mile. I would also like to thank SHV as our parent company for their ongoing support and belief in our strategy and for their indispensable role during the process," Luc Leroy, Kiwa CEO.
GFL expects to reap $4.3bn from environmental services deal.
GFL Environmental has received interest from several buyers for its environmental services business and expects to sign a deal by early next year. The Vaughan, Ontario-based waste management company expects to net a minimum of CAD6bn ($4.3bn) after tax from the sale, Bloomberg reported.
GFL will use the money to repay at least CAD3.5bn ($2.5bn) of debt with the remainder available for share buybacks or other purposes.
Cybersecurity company Qualys explores potential sale.
Qualys is exploring options including a potential sale after receiving takeover interest, as consolidation is expected to accelerate in the cybersecurity sector, Bloomberg reported.
The stock rose as much as 33%. The security software company is working with advisers as it weighs options.
Elf Beauty bets big on rural market with Dollar General partnership.
Elf Beauty, a maker of affordable cosmetics, is betting on rural markets and a tie-up with Dollar General to fuel its expansion as it hedges against a slowdown in the US cosmetic industry where shoppers have shied away from pricey makeup, Reuters reported.
The company raised its forecasts for annual sales and profit on November 7, in contrast to legacy cosmetics brands like Estee Lauder and L'Oreal that have been facing weak demand.
CVS names former UnitedHealth executive as head of Aetna. (People)
CVS Health’s new chief executive, David Joyner, moved quickly to put his stamp on the company, promising a reorganization and new leadership at Aetna, its troubled insurance unit, WSJ reported.
In his first public call with analysts on November 6, Joyner focused extensively on his plans to fix Aetna, saying its performance was unacceptable and tied to significant past missteps. Aetna has seen higher-than-expected medical costs tank its performance, particularly in its Medicare business, where the insurer had bet on a big expansion this year.
EMEA
Spain’s competition watchdog is likely to announce it needs more time for a final decision on BBVA’s proposed takeover of Banco Sabadell, which would extend the current takeover battle by several months.
The board of the watchdog is leaning toward putting the offer through a more thorough assessment known as Phase 2, rather than approving or rejecting it after the current Phase 1, Bloomberg reported.
Banco BPM, an Italian bank, agreed to acquire a 66.67% stake in Anima, an asset manager. Financial terms were not disclosed.
"The offer entails, in fact, a further strengthening of the business model of Banco BPM Vita and, in a broader perspective, of the entire Banco BPM financial conglomerate; this will be able to obtain the benefits of achieving a more complete structure, where the proven potential of the distribution network will be complemented by that of the new integrated Life Insurance and Asset Management factory resulting from the transaction," Banco BPM.
Banco BPM is advised by Citigroup, Lazard and Legance.
Hammerson, a real estate developer, completed the acquisition of the remaining 50% stake in Westquay, a shopping centre in Southampton, England, for £135m ($174m).
"This transaction is in line with our stated strategy. Combined with our recently enhanced funding position and disciplined approach to capital allocation, we are well placed to deliver growth and value creation," Rita-Rose Gagne, Hammerson CEO.
Hammerson was advised by MHP Communications (led by Oliver Hughes).
Advent mulls €5bn sale of generic drugmaker Zentiva. (FS)
Buyout firm Advent International is considering the sale of generic drugmaker Zentiva, in a deal that could value the former Sanofi unit at about €5bn ($5.4bn), Bloomberg reported.
Advent is working with Goldman Sachs and boutique adviser PJT Partners to explore options for the business that it acquired in 2018. The business is likely to draw interest from other buyout firms and financial investors who are keen to expand in the sector.
Thames Water bondholders submit rival £3bn financing offer. (FS)
A group including BlackRock has tabled a cheaper, fully underwritten proposal that will pile pressure on Thames Water to switch its backing from a rival offer.
The battle for control of Thames Water's future has deepened after a second group of bondholders tabled a fully underwritten offer to provide £3bn ($3.8bn) of new debt. Sky News has learnt that the utility's class B bondholders submitted a proposal to the company on November 7 morning which aims to trump a rival offer from its class A creditors.
Elliott is said to take stake in RWE, call for share buyback. (FS)
Activist investor Elliott Investment Management has built up a sizable stake in RWE and is calling on the German utility’s management to consider a share buyback, Bloomberg reported.
The fund founded by billionaire Paul Singer amassed a stake in recent months and has spoken to top RWE executives about its demands.
Amazon to invest $1.3bn in Italy data centre business.
Amazon's computing unit AWS on November 7 said it planned to invest €1.2bn ($1.3bn) in Italy over the next five years in a further expansion of its data centre business in the country, Reuters reported.
The plan was part of the tech giant's effort to boost its cloud offer in Europe under which AWS launched its first cloud region in Italy in 2020 with the prospect to invest €2bn ($2.15bn) by 2029.
Advent, Apollo among potential bidders for Reckitt's homecare assets. (FS)
Private equity groups Advent International and Apollo Global are among firms considering a potential buyout of consumer goods company Reckitt's homecare assets, Reuters reported.
Britain-based Reckitt announced plans in July to divest its home care portfolio, which includes Air Wick air fresheners and Cillit Bang cleaner, by the end of 2025.
Stellantis, Infineon announce cooperation on architecture for next-generation cars.
Automaker Stellantis and German chipmaker Infineon said on November 7 they would cooperate to further develop power architecture for the automaker's next generation vehicles, Reuters reported.
The two companies said in a joint statement they signed supply and capacity agreements that will serve as a base for their cooperation.
A Burberry takeover is not for the faint hearted.
The UK luxury group’s botched turnaround has halved its share price over the past 12 months. With a bijou market capitalisation of £3bn ($3.8bn), Burberry has become a bite-sized morsel in a world that is increasingly dominated by giants, FT reported.
Yet even now, potential predators will struggle to make the numbers stack up. The problem is not that the Burberry brand lacks potential. But in its attempt to “elevate” it -for which read hike prices - the group has managed to sink sales. Analysts expect revenues to be down almost 20 per cent this year, virtually wiping out operating profits.
APAC
Sigma Healthcare shares surged to their highest since 2007 after Australia’s competition regulator approved the company’s AUD8.8bn ($5.8bn) merger with pharmacy chain Chemist Warehouse, Bloomberg reported.
Sigma’s stock jumped as much as 39% on November 7 after the Australian Competition and Consumer Commission said it will not oppose the planned deal after accepting a court-enforceable undertaking from the health-care supplier. The regulator previously raised concerns that the tie-up could reduce competition in pharmacy retailing.
MTR Lab, a venture capital firm, completed the investment Ensonic, an industrial acoustic AI technology provider. Financial terms were not disclosed.
The investment comes as MTR Lab’s attempt to expand its investment portfolio into mainland China. It will accelerate the ongoing research and development of Ensonic’s technology and products.
Katha VC, the US-based venture capital firm focused on fintech startups, led a seed round in Cards, an Indonesian school management SaaS platform, with participation from EduSpaze and DS/X Venture. Financial terms were not disclosed.
With the new funding, Cards plans to expand its reach and further develop its product offerings, hire a regional sales team, strengthen after-sales support, and develop new technologies like artificial intelligence to assist school staff.
STMicro strikes long-term solar deal for Malaysia chipmaking unit.
STMicroelectronics has struck a long-term solar energy deal with joint venture BKH Solar to power its test and assembly site in southern Malaysia, Reuters reported
The 21-year power purchase agreement, which starts in 2025, will enable annual electricity supply of about 50 gigawatt hours from BKH Solar's new plant in the north. BKH Solar is a joint venture between Engie's renewable energy business in southeast Asia and Malaysia's Conextone Energy. The solar farm supplying STMicro is located nearly 700 km away.
Malaysian tycoon Lim is said to consider sale of toll roads.
Malaysian tycoon Lim Kang Hoo is exploring selling his toll road business in a deal that could value the assets at as much as MYR5bn ($1.1bn), Bloomberg reported.
Lim, the biggest shareholder of Kuala Lumpur-listed Ekovest, is working with a financial adviser on the potential divestment of a majority holding in closely held Konsortium Lebuhraya Utara-Timur, also known as Kesturi. The assets may attract interest from other industry players.
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