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AMERICAS
Blackstone, an American alternative investment management company, completed the acquisition of a 60% stake in the Climate Technologies business of Emerson, a technology, software and engineering powerhouse, for $8.4bn.
“Today’s announcement is a definitive step in the portfolio journey we embarked on when I became CEO in early 2021. Over the past 18 months, the Emerson team has accelerated our portfolio transformation, divesting non-core businesses including InSinkErator and Therm-O-Disc, while investing in organic growth opportunities and important transactions including AspenTech," Lal Karsanbhai, Emerson President and CEO.
GIC was advised by Dechert (led by Mark Thierfelder). Blackstone was advised by Barclays (led by Richard Siegel and John McCann), Evercore (led by Naveen Nataraj), Guggenheim Partners, Corrs Chambers Westgarth (led by Jeremy Horwood), Herbert Smith Freehills (led by Joseph Dennis), Simpson Thacher & Bartlett (led by Elizabeth Cooper and William Allen) and Joele Frank (led by Jonathan Keehner). Debt financing was provided by RBC Capital Markets, SMBC Nikko Securities and Wells Fargo Securities. Emerson Electric was advised by Centerview Partners, Goldman Sachs, Baker McKenzie (led by Jannan Crozier), Davis Polk & Wardwell (led by Phillip R. Mills and Marc O. Williams), FleishmanHillard and Joele Frank (led by Matthew Sherman). Financial advisors were advised by Sullivan & Cromwell (led by Stephen M. Kotran).
Madison Dearborn Partners, an American private equity firm, completed the acquisition of MoneyGram, a digital P2P payments provider, 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 was advised by Bank of America (led by Kevin Brunner), Vinson & Elkins (led by Lande Spottswood and Alan Bogdanow) and Joele Frank (led by Joseph Sala and Viveca Tress). Bank of America was advised by Paul Hastings. Madison Dearborn Partners was advised by Barclays, Deutsche Bank, Goldman Sachs, JP Morgan, Covington & Burling, Kirkland & Ellis, Latham & Watkins (led by Fiona M. Maclean, Ian Bushner, Christopher Drewry and Neal Reenan), Abernathy MacGregor Group. Financial advisors were advised by Cleary Gottlieb Steen & Hamilton (led by Paul Shim) and Davis Polk & Wardwell. Debt financing was provided by Barclays, Deutsche Bank and Goldman Sachs.
Altria, a producer and marketer of tobacco, cigarettes and related products, completed the acquisition of NJOY, a company that manufactures and distributes electronic cigarettes and vaping products, from Mudrick Capital, a private equity company, for $2.75bn.
“We believe we can responsibly accelerate US adult smoker and competitive adult vaper adoption of NJOY ACE in ways that NJOY could not as a standalone company. We believe the strengths of our commercial resources can benefit adult tobacco consumers and expand competition. We are also excited to welcome NJOY's talented employees to Altria at closing,” Billy Gifford, Altria CEO.
Altria was advised by Morgan Stanley, Perella Weinberg Partners, Arnold & Porter Kaye Scholer and White & Case (led by Chang-Do Gong and Kristen Rohr). Mudrick Capital was advised by Kekst CNC (led by Todd Fogarty). NJOY was advised by Moelis & Co and Weil Gotshal and Manges (led by Michael Lubowitz and Brian Gingold). Financial advisors were advised by Paul Weiss Rifkind Wharton & Garrison. Debt financing was provided by Morgan Stanley.
Vector Capital, a private equity firm, agreed to acquire Riverbed Technology, an IT solutions provider. Financial terms were not disclosed.
“Riverbed is a premier brand in the networking and IT observability sectors with a strong portfolio of market-leading products that we are proud to invest behind. We look forward to working with Riverbed’s management team to execute on the Company’s growth strategy," Andy Fishman, Vector Capital Managing Director.
Riverbed Technology is advised by Centerview Partners, FTI Consulting, Houlihan Lokey, White & Case and Davis Polk & Wardwell. Vector Capital is advised by Ernst & Young, Lazard, Stifel, TD Cowen, Paul Hastings, Gasthalter & Co (led by Nathaniel Garnick) and Joele Frank (led by Meaghan Repko and Jed Repko).
PAI Partners, a private equity firm, completed the acquisition of the savory solutions business of International Flavors & Fragrances, a specialty ingredients producer globally, for $900m.
"A key aspect of our strategy is to continuously evaluate our portfolio to identify opportunities to maximize shareholder value. The sale of IFF's Savory Solutions Group is an important milestone as it allows us to focus on our highest-return businesses, improve our capital structure and enhance our go-forward growth and return profile. We appreciate the contributions of our Savory Solutions colleagues who have, for years, demonstrated their commitment to innovation, service and quality. We will work closely with PAI Partners to have a successful transition and look forward to Savory Solutions' future under its ownership," Frank Clyburn, IFF CEO.
Baupost and Cross Rapids-backed CAM Industrial, an industrial equipment & supplies provider, completed the acquisition of the maintenance and turnaround business in North America from Worley, a provider of professional project and asset services in the energy, chemicals, and resources sectors, for $125m.
"We thank our employees for their dedication and our customers for their business and support. Under our new name, CAM Industrial, our team will continue to be focused on safely and reliably operating our business, without interruption. We are very excited about this transaction and the growth prospects ahead," Mick Kaefer, CAM Industrial President.
Cross Rapids was advised by Greenberg Traurig. Worley was advised by UBS and Reed Smith.
Atlas Holdings-backed Flagstone Foods, a manufacturer of snack nuts, culinary nuts, trail mixes, and other nut-based snacks, completed the acquisition of Emerald Nuts, a brand known for its snack nuts and nut-based products, from Campbell Soup Company, an American company, most closely associated with its flagship canned soups and other baked goods, beverages, and snacks. Financial terms were not disclosed.
"Flagstone Foods has long been trusted by the nation's premier retailers to provide the highest quality snacks. Emerald has been providing high-quality branded snack nuts since 2004 and is now the go-to option for consumers seeking better-for-you snacking on the go. Adding Emerald Nuts to our portfolio establishes a new avenue for Flagstone to service our customers with innovative snack products and unites two industry leaders with a shared commitment to the highest levels of product quality and innovation. Our Flagstone team is excited to welcome Emerald as a transformative acquisition to our portfolio and we're looking forward to continuing to drive growth for both Flagstone and our retail partners," Harry Overly, Flagstone Foods Chief Executive Officer.
Flagstone Foods was advised by Piper Sandler and Willkie Farr & Gallagher (led by Laura Acker and Justin Sommerkamp). Campbell Soup Company was advised by Barclays.
TA Associates, a private equity firm, agreed to invest in WestView Capital-backed Alpha II, a software developer. Financial terms were not disclosed.
“We are excited to welcome TA on Alpha II’s continued journey to revolutionize the revenue cycle technology ecosystem. The foundation of our partnership is a shared desire to create the leading RCM software platform. With deep experience investing in and scaling mission-critical healthcare technology companies, we believe TA will be a valuable partner as we further expand our solution suite and accelerate our growth trajectory,” Todd Doze, Alpha II CEO.
Alpha is advised by William Blair & Co and Latham & Watkins. TA is advised by Kirkland & Ellis.
Amulet Capital Partners, a private equity firm, completed the acquisition of Alliance Clinical Network, a comprehensive clinical site platform. Financial terms were not disclosed.
“For prominent sponsors, ACN’s scalable, technology-driven approach has established the platform as a partner of choice with exceptional on-site expertise and a patient-centric focus that consistently drives successful outcomes. We see a tremendous opportunity to grow and expand the platform and the exceptional team Anthony has built to position the business for long-term success. We look forward to working together to continue delivering high-quality results that exceed the expectations of our sponsor and CRO clients, while providing opportunities for a diverse set of patients to participate in clinical research,” Nick Amigone, Amulet Partner.
Alliance Clinical Network was advised by Cantor Fitzgerald. Amulet Capital Partners was advised by Harris Williams & Co and Joele Frank (led by Jonathan Keehner).
Franklin Templeton, a private equity firm, agreed to acquire Putnam Investments, an asset manager, from Great-West, an international financial services company, for $925m.
“This is a compelling transaction for Franklin Templeton, and we are excited about the numerous opportunities that will be unlocked by this long-term strategic partnership with the Power Group of Companies including Great-West. Power and Great-West are global leaders across financial services, particularly in the wealth, insurance and retirement channels. With outstanding investment performance, Putnam will add complementary capabilities to our existing specialist investment managers to meet the varied needs of our clients and will increase Franklin Templeton’s defined contribution AUM. We are pleased to welcome Great-West as a strategic investor, along with the impressive team at Putnam,” Jenny Johnson, Franklin Templeton President and CEO.
Franklin Templeton is advised by Ardea Partners, Broadhaven Capital Partners and Willkie Farr & Gallagher.
PSG, a growth equity firm, completed a $175m investment in Hostaway, a rental software and management system.
“We are thrilled to partner with PSG, as we continue to elevate the vacation rental industry and unlock value for property managers beyond what had been thought possible. We have operated with incredible speed and efficiency, balancing growth with our current strong profitability, and this investment represents a significant milestone in our journey toward global market leadership. We’ve come a long way, but we are just getting started. The opportunities are endless!" Marcus Rader, Hostaway CEO and Co-Founder.
Atlas, a private investment & equity firm, agreed to acquire Thunder Bay pulp and paper mill from Resolute Forest, a pulp and paper company. Financial terms were not disclosed.
"The mill is an exceptional asset. I am confident that the dedicated and talented team in Thunder Bay will have a prosperous future, and I sincerely wish them all the best," Remi G. Lalonde, Resolute President and CEO.
Resolute Forest is advised by BMO Capital Markets and Stikeman Elliott.
Magnetar Capital, an alternative asset manager, led a $200m Series B extension round in CoreWeave, a specialized cloud provider built for large-scale GPU-accelerated workloads.
“In my 25-year career, I’ve never been a part of a company that’s growing like this. It’s an incredible moment in time. From a demand standpoint, revenue and client scale, the rise has been exponential, and Magnetar has been an amazing partner from the beginning," Michael Intrator, CoreWeave CEO and Co-Founder.
NEA, an American-based venture capital firm, led a $166m Series C round in Strive Health, a provider of value-based kidney care, with participation from CVS Health Ventures, CapitalG, Echo Ventures, Town Hall Ventures, Ascension Ventures and Redpoint.
"Since our founding, we've strongly believed that we must meaningfully change the standard of kidney care so people with kidney disease can have better access to care regardless of their socioeconomic background. With the help of our investor partners, this capital raise will propel us further along in our journey to transform kidney care," Chris Riopelle, Strive CEO.
Strive Health was advised by Walker Sands Communications (led by Maggie Crouch).
424 Capital, a capital partner that invests in lower middle market companies in the tech-enabled services space, completed the investment in PTP, a cloud consulting and managed services firm. Financial terms were not disclosed.
"We are excited to close this investment with 424 Capital. The power of PTP's cloud and managed services portfolio combined with the additional business-growth expertise of 424 Capital will enable PTP to provide valuable services and cloud solutions to a greater number of life sciences clients and net-new markets," Ethan Simmons, PTP Managing Partner.
PTP was advised by Canaccord Genuity.
AE Industrial Partners-backed Altus Fire, a full-service fire and life safety platform, agreed to acquire Crime Intervention Alarm, a provider of installation, monitoring, inspection and service for security and surveillance systems, access control and fire systems. Financial terms were not disclosed.
"The strategic addition of CIA strengthens our services portfolio with a diverse range of critical security and life safety solutions while also expanding our presence into Pennsylvania and deeper into the mid-Atlantic region. The addition of CIA is an important step for us as it provides Altus with the ability to meet the increasing demand arising from our customers seeking security solutions to enhance our current fire safety offerings. We're delighted to welcome John and CIA to our growing team," John Adams, Altus CEO.
SIP Global Partners, a US-Japan VC firm investing in early-stage decarbonization technology, and Aliya Capital Partners, a multi-family office based in Miami, led a $154m Series C round in Lightmatter, a computer hardware manufacturer.
"Lightmatter's unique approach to harnessing the power of photonics will drive the enormous compute required for generative AI. The massive global growth in these technologies and use cases is at the forefront of this absolutely essential paradigm shift. We are especially excited to see LM's early entry into the Japanese market. We expect them to play a leading role as Japanese AI use cases grow exponentially," Jeffrey Smith, SIP Global Partners General Partner.
Ingka Group, owner and operator of 482 IKEA stores and e-commerce in 31 counties, completed the acquisition of Made4net, a provider of end-to-end supply chain execution software, from Thompson Street Capital Partners, a private equity firm. Financial terms were not disclosed.
"Our business currently requires a better fulfillment operations system with more accurate data that better supports handling for our customers. Our goal is to become leaders of life at home, serving more people in an omnichannel reality, whenever and however customers choose to meet us," Tolga Öncu, Ingka Group Head of Retail.
Patria Investments-backed Lavoro, an agricultural input retailer, completed the acquisition of Cromo Química, an agrochemical company. Financial terms were not disclosed.
"We expect that partnering with Latin America’s largest ag inputs retailer will foster our growth. With this alliance, we have a clear vision of our expansion plan for the coming years, with new product launches, governance structuring, and market access,” Josir Neuls, Cromo Química CEO.
Francisco Partners, TPG end talks to buy New Relic.
Private equity firms Francisco Partners and TPG have ended talks to acquire software maker New Relic after they failed to secure enough debt financing and could not meet the business software company's valuation expectations.
The demise of the deal negotiations underscores the challenges facing private equity firms seeking to put together leveraged buyouts. New Relic has been negotiating with potential acquirers since last year, and it's possible that deal talks resume some time in the future, Reuters reported.
Bacardi nears a deal to buy Ilegal Mezcal.
Bacardi, the spirits maker best known for its rum, is nearing a deal to acquire Ilegal Mezcal after private equity firm L Catterton held talks to buy the company.
A deal would value Ilegal Mezcal at less than $200m. Bacardi, alongside private equity firm VMG Partners, is an existing investor in Ilegal Mezcal and has a right of first refusal in a sale, Bloomberg reported.
Japan's Daiwa targets 50% jump in M&A advisory with US focus.
Japan's Daiwa Securities Group aims to boost annual revenue from the M&A advisory business by 50% in eight years by hiring more bankers and acquiring boutique firms to try to expand its presence in the United States.
The second-largest Japanese brokerage and investment bank is targeting global M&A revenue of at least YEN70bn ($518m) in the year ending March 2031, compared to YEN46.7bn ($333m) for the financial year just ended, Reuters reported.
CPP Investments discloses over $3.7bn in Asia commitments in FY2023.
Canada's largest pension fund, Canada Pension Plan Investment Board, committed over $3.77bn to direct and indirect investments in Asia in the fiscal ended March 31, 2023.
The pension fund spent over $2.5bn on primary and secondary investments in regional companies. During the year, it also earmarked over $1.2bn for capital commitments to Asia-focused funds.
Adams Street raises over $3.2bn for secondary investment programme.
Adams Street Partners, a private markets investment management firm with more than $54bn of assets under management globally, secured more than $3.2bn in capital commitments for its Secondaries Investment Program, including the successful close of Global Secondary Fund 7.
The latest Secondaries Investment Program is 50% larger than the firm’s previous fundraise, which included the close of Global Secondary Fund 6. Adams Street’s Global Secondary Fund 6 has consistently outperformed its peers, ranking in the top quartile since closing in 2019. Adams Street’s Secondaries Investment Program enjoyed strong demand from new and existing institutional investors globally. The successful close raises total secondaries strategy assets at Adams Street to $8.2bn.
Integrum exceeds target for inaugural fund with $1.1bn in commitments.
Integrum, an investment firm focused on partnering with technology-enabled service companies, has completed fundraising for its inaugural fund, Integrum Capital Partners at $1.1bn, exceeding the fund’s original target. This total excludes related co-investment vehicles that provide the fund with capacity to invest additional capital.
The fund received strong support from an international group of high-quality institutional investors, including pension funds, wealth managers, insurance companies, consultants, family offices, foundations, and funds of funds. Integrum says the new funding will allow it to continue executing on its differentiated approach to value creation, investing to produce sustainable organic growth, and establishing strong partnerships with management teams.
Pear VC closes oversubscribed $432m seed fund.
Pear VC has closed its fourth fund with $432m in capital commitments, making it one of the largest seed funds raised in recent years by a non-multistage vehicle. The fund will target pre-seed and seed investments in AI.
The fund will also support PearX, Pear’s early-stage bootcamp for founders, Pear’s Female Founders Circle, a community for technical female entrepreneurs, and Pear Dorm, which supports student builders, Bloomberg reported.
Godspeed closes oversubscribed $250m fund II.
Godspeed Capital Management, a lower middle-market Defense & Government services, solutions, and technology focused private equity firm, has held the final close of Godspeed Capital Investment Program II with $250m in capital commitments.
Godspeed Capital previously raised $155m in capital commitments for its inaugural fund, Godspeed Capital Investment Program I, which closed in 2021.
The oversubscribed fund was raised in less than six months, exceeded its $185m initial target, and received commitments from a range of both new and existing US-based institutional investors including existing strategic partner East Rock Capital, a US public pension fund, family offices, and leading financial institutions representing endowment and foundation clients.
Godspeed Capital was advised by Lazard and Davis Polk & Wardwell.
Brazil's Patria raises $118m in SmartFit share offering.
Brazilian private equity firm Patria Investments raised $118m in a secondary offering to sell shares in local gym chain SmartFit, Reuters reported.
The offering of 33m shares was priced at $3.6 each, a 1.5% discount to SmartFit's closing price of $3.7 on May 29, 2023.
Kinzie Capital closes first institutional fund at $150m.
Kinzie Capital Partners announced the close of the company's first institutional fund, Kinzie Fund II. The Fund closed with $150m in total commitments, the company's largest to-date, from a wide range of investors including foundations, endowments, pension funds and family offices.
"Thanks to the relentless dedication of our team, Kinzie has closed our first institutional fund. I am so proud of this outcome, which is a true testament to the confidence our investors have in Kinzie. This new fund will allow for the continued growth of our portfolio and our team, and I am grateful to our diverse range of exceptional investors," Suzanne Yoon, Kinzie Founder and Managing Partner.
KKR to launch flexible private credit fund.
KKR is looking to launch a new euro-denominated direct lending fund that will give investors more flexibility in depositing and withdrawing their cash than typical closed-ended funds.
The new fund, which will primarily provides unitranche loans to European private equity-owned businesses, has a permanent capital structure, meaning investors can put in and withdraw cash on an ongoing basis. With more mainstream private debt funds, investors can have their capital locked up for as long as 10 years.
EMEA
Permira, a private equity firm, agreed to acquire a majority stake in Gruppo Florence, a luxury goods manufacturer. Financial terms were not disclosed.
“Our industrial project involves significant investments in training, innovative digital tools, research on sustainable production processes, and qualified management for the design and implementation of these programs. To achieve our ambitions, it is necessary to bring together a significant number of companies, in particular leveraging their heritage and expertise,” Attila Kiss, Gruppo Florence CEO.
Gruppo Florence is advised by Bain & Co, Bank of America, Citigroup, KPMG, BonelliErede, DWF and Gianni Origoni Grippo Cappelli & Partners.Permira is advised by Boston Consulting Group, Ernst & Young, JP Morgan, Latham & Watkins, Legance and Maisto e Associati. VAM is advised by UniCredit.
TDR Capital-backed Asda Group, a supermarket chain, agreed to acquire UK and Ireland operations from EG Group, a retailer which operates filling stations, convenience stores and fast-food restaurants, for £2.27bn ($2.8bn).
“Asda’s acquisition of EG UK and Ireland will create a consumer champion like the UK has never seen. Throughout my career in retail – one thing has always been true, that meeting the evolving needs of customers is the route to growth. This transaction is all about driving growth by bringing Asda’s heritage in value to even more communities and accelerating the growth of its convenience retail business," Stuart Rose, Asda Chair.
Asda is advised by Lazard, Rothschild & Co, Barclays, PJT Partners, JP Morgan, Morgan Stanley, PricewaterhouseCoopers, Eastdil Secured, Kirkland & Ellis, Addleshaw Goddard, Latham & Watkins, and Allen & Overy. EG Group is advised by FGS Global (led by Rollo Head).
IK Partners, a mid-market European private equity group, agreed to invest in Linxea-Irbis Group, a provider of financial and savings products. Financial terms were not disclosed.
"We have been thoroughly impressed with the Group's journey to date, especially in the way in which it has led the market in terms of offering innovative solutions which capitalize on market disruption. We are delighted at the level of confidence bestowed upon us by the Group's management team as well as shareholders and we look forward to working with them to actively contribute to its continued development," Pierre Gallix, IK Managing Partner.
SPWOne, an investment firm, and Phoenix Asset Management-backed Castelnau Group, a holding company, completed the acquisition of Dignity, a funeral services provider, for £789m ($733m).
"Dignity has long-term growth potential - the signs are clear to me. But the changes and significant development work and investment needed to enable this growth mean the best way forward for Dignity is as a private company," Peter Wood, SPWOne Chairman.
Dignity was advised by Investec (led by Gary Clarence), Rothschild & Co (led by Majid Ishaq), Slaughter & May (led by Sally Wokes) and Buchanan. Phoenix Asset Management was advised by Morgan Stanley (led by Laurence Hopkins) and H/Advisors Maitland. Morgan Stanley was advised by Norton Rose Fulbright. Castelnau was advised by Liberum Capital and Macfarlanes.
Apollo, a global private equity firm, agreed to acquire United Living, a company provides essential services to the owners & operators of UK utility infrastructure and property assets. Financial terms were not disclosed.
“United Living is a proven provider with an exceptional reputation for quality and reliability that has a profound impact on affordable housing residents and their broader communities. As investment in infrastructure and social housing remains a key priority, we believe the business is well-positioned for further growth. We are excited to partner with Neil and the talented team to deepen United Living’s positive impact,” Joanna Reiss, Apollo Partner and Co-Head of Impact.
United Living is advised by DC Advisory (led by Richard Madden), Addleshaw Goddard, Strategy&, Deloitte, Taylor Wessing and Jamieson. Apollo is advised by Paul, Weiss, Rifkind, Wharton & Garrison, Macfarlanes and KPMG.
SCHMID Group, a global solutions provider for the high-tech electronic, photovoltaics, glass, and energy systems industries, agreed to go public via merger with StratCap-backed Pegasus Digital Mobility Acquisition, a special purpose acquisition company, in a $640m deal.
"We are excited to partner with the SCHMID team to further grow the Group's platform and accelerate expansion into new attractive markets, including the automotive sector. We look forward to bringing to bear our deep experience in product development, manufacturing, and operational excellence, as well as our track record of enhancing shareholder value, to realize the SCHMID Group's full potential," Ralf Speth, Pegasus CEO and Chairman.
SCHMID Group is advised by Fenwick & West, Gleiss Lutz and Kekst CNC (led by Daniel Yunger and Knut Engelmann). Pegasus is advised by Marshall & Stevens Transaction Advisory Services, Solomon Partners, Appleby and Clifford Chance.
SGT Capital, a global private equity firm, agreed to acquire Elatec, an international developer and supplier of a range of secure physical and digital access solutions, from Summit Partners, a growth equity investor, for €400m (£347m).
"We are moving at a fast pace into Elatec's next phase of growth with our primary focus on continued technical innovation plus international expansion. SGT Capital's ownership and support is key to sustaining our performance and momentum," Robert Helgerth, Elatec CEO.
SGT Capital is advised by Roland Berger, Ernst & Young, Willkie Farr & Gallagher, FTI Consulting (led by Florian Bamberg), Grant Thornton and Consileon Business Consultancy.
Rhône Capital, a private equity firm, agreed to acquire a 20% stake in RHI Magnesita, a supplier of refractory products, systems and services, for £268m ($331m).
RHI Magnesita, together with its subsidiaries, is a global supplier of high‐grade refractory products, systems and solutions which are critical for high‐temperature processes in a wide range of industries, including steel, cement, non‐ferrous metals and glass.
Private equity firms Aquiline Capital Partners and Abu Dhabi Investment Authority, completed an investment in Fullsteam, a business management software and payment company. Financial terms were not disclosed.
"When we established Fullsteam with Mike and Greg Colella, our M&A leader, our goal was to address and accelerate two significant trends in vertical software: the adoption of business management across the small business economy and the convergence of this core software with merchant payment processing. Today, Fullsteam is emerging as a leading buyer and supporter of vertical software companies driving these two trends in North America. We are delighted to expand our existing relationship with ADIA through this transaction and we look forward to continuing our collaboration with Fullsteam to enhance the day-to-day experiences of its growing customer base," Joe Pappalardo, Aquiline Partner.
Fullsteam was advised by Goldman Sachs, Raymond James and Prosek Partners. Aquiline was advised by Willkie Farr & Gallagher (led by Jeffrey Poss and Thomas Sharkey).
Enlightenment Capital-backed Agile Defense, a digital transformations solutions provider, completed the acquisition of XOR Security, a provider of cybersecurity operations. Financial terms were not disclosed.
“The acquisition of XOR Security bolsters our already comprehensive suite of Enterprise IT solutions with additional cutting-edge cybersecurity talent. We are thrilled to welcome XOR Security’s talented employees, sophisticated capabilities, and customers to the Agile Defense family," Jay Lee, Agile Defense CEO.
XOR Security was advised by Robert W Baird (led by Jean Stack) and Pillsbury Winthrop Shaw Pittman. Agile Defense was advised by Moore & Van Allen and Morrison & Foerster.
The Carlyle Group, a global investment firm, agreed to acquire Meopta Optika, a manufacturer of optical, opto-mechanical, and opto-electronic solutions. Financial terms were not disclosed.
Carlyle will seek to support Meopta's growth in partnership with its management team by capturing the opportunity in more advanced built-to-spec use cases through an increased focus on R&D, capitalizing on attractive opportunities in a diverse range of end markets, expanding its international presence through the creation of a direct sales network, and improving its operations.
Meopta Optika is advised by Deloitte, Goldman Sachs and Dentons.
I Squared Capital-backed nLighten, a digital infrastructure platform, completed the acquisition of Euclyde Data Centers, a French regional platform with six, carrier-neutral data centers. Financial terms were not disclosed.
"With this acquisition, we are taking another step towards our goal of creating a leading pan-European edge data center platform. Euclyde is an excellent fit with our strategy, and the existing management team, employees and assets are a solid base for our ambitions in France," Harro Beusker, nLighten CEO.
Euclyde Data Centers was advised by DC Advisory (led by Gregory Roquier) and Askesis. nLighten was advised by Reinhart Marville Torre.
Bregal Unternehmerkapital-backed MEDIA Central Group, a provider of data-based marketing solutions, agreed to merge with ShopFully, a software and marketing tech platform. Financial terms were not disclosed.
"ShopFully complements MEDIA Central perfectly - both geographically with its leading market positioning in Southern Europe and internationally, and in terms of its highly scalable, AI-driven digital platform which will help to further strengthen our ties with major retailers and brands. The combination with ShopFully marks another major step in our strategy to digitize drive-to-store marketing, which began with the acquisition of Offerista in 2021 and data-science-specialist Yagora in 2022," Ingo Wienand, MEDIA Central Group CEO.
Bregal Unternehmerkapita is advised by IWK Communication Partner. ShopFully is advised by Rothschild & Co.
Rexel, a company specializing in the distribution of electrical, heating, lighting and plumbing equipment, agreed to acquire Wasco, a distributor of HVAC products and services, from Gilde Equity Management, a private equity company, for €485m ($520m).
“With the acquisition of Wasco, we are totally in line with our strategy aiming at seizing electrification and energy transition opportunities. It’s also fully consistent with our purpose, ‘Electrifying solutions that make a sustainable future possible’. The Netherlands is one of the most exciting European markets from an electrification perspective, benefitting from a fast-paced transition from gas, driven by incentives and regulations, notably the ban on gas boilers both in new build and renovation," Guillaume Texier, Rexel CEO.
Rexel was advised by Brunswick Group (led by Thomas Kamm).
GIC, a private equity firm, agreed to acquire a minority stake in Messer, a privately held specialist for industrial, medical and specialty gases. Financial terms were not disclosed.
“Messer is a high-quality business with a proven growth track record and compelling strategy to significantly expand its market position in the coming years. We look forward to supporting Bernd Eulitz and the management team, and are pleased to be partnering with the Messer family for the long-term," Choo Yong Cheen, GIC Chief Investment Officer of Private Equity.
PPF Group, a financial and investment group, agreed to acquire a 15% stake in InPost, a fast-delivery company, from Advent International, a private equity firm. Financial terms were not disclosed.
"With this investment, we have taken a major step towards strengthening the e-commerce sector in which PPF has long been active. E-commerce is one of our four main investment pillars, along with financial services, telecommunications, and media. As a major shareholder, we are committed to contributing to the international expansion of, and value generation by, InPost, one of the most dynamic companies in its sector," Didier Stoessel, PPF Group Chief Investment Officer.
Gimv, a private equity firm, completed the acquisition of a majority stake in ERS electronic, a thermal management solutions provider. Financial terms were not disclosed.
"The importance of thermal management in the semiconductor manufacturing process continues to grow, leaving us uniquely positioned to capitalize on the rapidly evolving industry to continue to deliver value to our customers. Our choice to partner with Gimv was based on our mutual commitment to excellence and passion for innovation and technology. We are excited to embark with them on a new chapter in ERS's story to realize our shared vision," Laurent Giai-Miniet, ERS electronic CEO.
German football rejects €1.85bn private equity media rights sale.
Deutsche Fussball Liga, Germany's professional football body, failed in its bid to secure backing from clubs for the sale of a stake in its media rights to private equity suitors including CVC Capital Partners, Blackstone Group, and Advent International.
DFL needed the backing of two-thirds of the 36 Bundesliga clubs at a meeting on Wednesday to proceed with the sale of a 12.5% stake in a subsidiary holding Bundesliga broadcast rights for as much as €1.85bn ($2bn). Only 20 of clubs voted in favor of the plan with a host of clubs including FC St Pauli, FC Köln and FC Augsburg, all having expressed concerns in the run-up to the vote.
PIC, Sipho Maseko’s Afrifund and Axian to make a 35% offer for Telkom.
Africa’s largest asset manager, the Public Investment Corporation, is backing a possible bid led by the former chief executive of Telkom for a 35% stake in South Africa’s third-biggest mobile phone company.
The PIC, which manages more than$130bn in assets, is in talks to team up with the Sipho Maseko’s investment vehicle Afrifund and Mauritius-based Axian Telecom in a potential offer for the stake in the partly state-owned company. The 35% stake could also be combined with the PIC’s current shareholding to boost the overall holding of the group, Bloomberg reported.
Boeing looks to sell at least 150 737 Max jets to Riyadh Air.
Boeing is working on a deal to sell at least 150 737 Max jetliners to Saudi Arabian startup Riyadh Air. The new carrier, wholly owned by Saudi Arabia's Public Investment Fund, is looking for about 300 to 400 single-aisle jets in total.
Boeing previously won another order by state-owned airline Saudia and Riyadh Air for a combined 78 Boeing 787 Dreamliners, the fifth-largest commercial order by value in the plane maker's history.
APAC
Warburg Pincus, a global private equity firm, completed the acquisition of a 90% stake in Vistaar Finance, an Indian small-business lender, for $250m.
"We believe micro-enterprises in semi-urban and rural India are underserved by formal sources of credit and we believe Vistaar has the potential to fulfil that need gap and be a driver for broad-based growth in those regions and communities. Warburg Pincus has a deep history in partnering with exceptional teams, particularly within financial services and looks forward to a similarly exciting future at Vistaar," Narendra Ostawal, Warburg Pincus Managing Director.
MoneyHero Group, a financial products platform in Greater Southeast Asia, agreed to go public via merger with Bridgetown Holdings, a special purpose acquisition company formed as a collaboration between Pacific Century Group and Thiel Capital, in a $200m deal.
"MoneyHero is empowering financial service providers in the Greater Southeast Asia region to transform the way they connect with consumers—and consumers in turn are benefiting from a trusted and transparent online platform offering access to a wide variety of financial products. This business model promises significant growth potential given the demographic evolution across Greater Southeast Asia. With continued strong leadership by the management team and fresh funding from this transaction, we believe MoneyHero is poised to penetrate deeper in the Greater Southeast Asia market and to become a household online platform for retail financial offerings in the region," Matt Danzeisen, Bridgetown Chairman.
Brookfield Renewable, a publicly traded limited partnership that owns and operates renewable power assets, completed a $360m investment in CleanMax, a Mumbai-based renewable energy company.
This funding of $360m, which is a mix of primary and secondary, will enable CleanMax to pursue its growth plans of becoming a >5 GW platform over the next three to four years. Through this investment, Brookfield Renewable will have a controlling stake in CleanMax, and will work with existing shareholders and management to drive the platform's growth in the commercial and industrial segment in India.
CleanMax was advised by Rothschild & Co (led by Aalok Shah).
Sparkedge Capital, an investment company, completed a $145m investment in Fox ESS, China's new energy firm.
Fox ESS focuses on energy storage solutions and is backed by Chinese nickel producer Tsingshan Group.
China Ministry of Finance and Cinda Kunpeng, an investment management firm, led a $141m Series A round in ZhongChuGuoNeng, a developer of compressed air energy storage technology intended to provide power.
ZhongChuGuoNeng is mainly engage in developing compressed air energy storage technology, providing business users with more energy storage efficiency for their energy storage system, enabling clients to promote clean-tech industry.
Indonesia Investment Authority, the sovereign wealth fund of Indonesia, ESR Group, a real asset manager, and MC Urban Development Indonesia, a real estate developer, agreed to form a joint venture. Financial terms were not disclosed.
"Today marks a significant milestone for INA as we venture into the real estate asset class with a strong focus on Indonesia's modern warehouse facilities. We recognize the immense potential of the logistics market, spurred by the robust growth of the e-commerce, 3PL, and automotive industries in our region. Our strategic partnership with ESR and MCUDI not only aims to meet the evolving needs of the logistics industry but also reflects INA's commitment to sustainable development and economic growth. By harnessing our collective expertise, we are poised to create a significant impact on Indonesia's warehousing landscape and contribute to the country's economic progression," Ridha Wirakusumah, INA CEO.
IK Partners, a private equity group, agreed to acquire GoodLife Foods, a manufacturer of frozen snacks, from Egeria Capital Management, an investment company. Financial terms were not disclosed.
“We look forward to the next chapter which will see us working with the team at IK who have vast experience in the Food sector and can support us with our ambitious plans to internationalise through organic initiatives and M&A. I would also like to use the opportunity to thank Egeria. We are grateful for the support and opportunities that Egeria has provided GoodLife with over the past years," Dirk Van de Walle, GoodLife Foods CEO.
DCP Capital, a private equity firm, agreed to acquire Cargill Protein China, a poultry business, from Cargill, a agricultural products provider. Financial terms were not disclosed.
The sale includes chicken farms in Chuzhou in eastern Anhui province and related manufacturing sites.
Cannon-Brookes snaps up $20bn Sun Cable mega-project.
Billionaire Mike Cannon-Brookes will revive a stalled $20bn plan to export solar power from Australia to Singapore after acquiring the assets of the failed Sun Cable project.
The deal gives Cannon-Brookes and Quinbrook Infrastructure Partners control of a vast renewable energy development in northern Australia, which went into voluntary administration in January following a dispute between the Atlassian co-founder and fellow billionaire Andrew Forrest, both key investors. The two disagreed over a plan to transport electricity to Asia through a 4.2k -km (2.6 mi) submarine cable.
FTI confirmed Sun Cable had entered into an asset sale agreement with Helietta Holdings, an entity linked to Cannon-Brookes’ privately owned Grok Ventures, which would acquire all of Sun Cable’s assets.
Apollo, Bain, possible bidders for Fujitsu's $2.7bn stake in Shinko.
Fujitsu's controlling stake in Shinko Electric Industries has attracted interests from Apollo Global Management and Bain Capital as potential bidders. Dai Nippon Printing, Japan Investment and KKR have also expressed interest in the stake, Bloomberg reported.
Fujitsu's stake is valued at around $2.7bn based on the latest stock price of Shinko. In an earlier update, the news agency had pegged it at $2.4bn. Fujitsu has been weighing options for Shinko as its largest stakeholder, looking to streamline operations adding that potential bidders could practice more caution in valuing the firm its business involves national security issues.
DNE launches $2bn offshore vehicle with yuan and dollar funding.
DNE, a Chinese developer and operator of new economy real estate such as logistics and cold chains, said it had completed fundraising for a $2bn offshore development venture that can be financed in both US dollar and the yuan.
The dual currency arrangement is relatively rare, though the Chinese currency is gaining popularity among overseas investors. The unique funding strategy “gives investors the flexibility to pay in either offshore yuan or dollar,” Yu said, adding that nearly all China-focused, offshore-based private equity real estate funds were historically funded in dollar.
The Shanghai-based operator, which also builds life sciences and modern manufacturing parks, said the logistics fund launch shows offshore investors remain interested in China’s new economy segments, despite challenges in global markets.
Macquarie weighs $2bn sale of DIG Airgas.
Financial services company Macquarie Group is considering selling South Korea's oil and gas exploration company DIG Airgas at a valuation of more than $2bn, Bloomberg reported.
An investment arm of Macquarie is working with a financial adviser as it prepares for a potential sale of the business formerly known as Daesung Industrial Gases. Other companies in the industry and investment funds have shown preliminary interest in the industrial gas producer.
Australia's Silver Lake revises offer for St Barbara's Leonora assets.
Australia's Silver Lake Resources revised its offer for St Barbara's Leonora assets to address its concerns that the buyout financing is subject to due diligence.
The implied value of the proposal is AUD718m ($487m), comprising AUD370m ($566m) in cash and 328m Silver Lake shares worth AUD348m ($227m), Reuters reported.
GF Securities plans to buy $140m Value Partners stake.
GF Securities plans to buy a 20% stake in Value Partners from the biggest shareholders and founders, as part of a push by the mainland Chinese brokerage to expand overseas.
The Guangzhou-based brokerage is nearing an agreement to buy the stake from shareholders including Cheah Cheng Hye and V-Nee Yeh for about $141m. The deal is subject to board approval later this week.
Cheah and Yeh currently hold 25% and 16% of Value Partners, respectively, and will both retain a smaller share in the Hong Kong-based and listed firm. It posted a loss of $70m last year as its assets under management tumbled to $6.1bn from $10bn in 2021. The purchase price represents more than a 35% premium to the last close of Value Partners, which has tumbled over 35% since late January.
Kedaara eyes majority stake in Paras Healthcare for $100m.
Kedaara Capital, an India-focused private equity firm, is in the early stages of discussion to acquire a majority stake in hospital chain operator Paras Healthcare for about $100m, DealStreetAsia reported.
Paras Healthcare, which runs a chain of hospitals in North India under the Paras Hospitals brand, has been on the road for quite some time to raise capital and has been in talks with both private equity and strategic players. The transaction is likely to provide an exit to Paras’ existing investor, Creador, which has been invested in the company since 2017.
SE Asian tech giant Sea disbands investment arm.
Southeast Asian e-commerce and gaming giant Sea is winding down its investment arm amid a cooling investment environment globally as macroeconomic and market uncertainty weighs on valuations. The arm, Sea Capital, stopped new equity investing in 2022 with leadership moving on in May, while Sea itself is placing less priority on investing given market conditions, DeelStreetAsia reported.
Sea’s decision to close the two-year-old arm comes as technology investors – both funds and firms – have held back on investing amid higher interest rates and while economies struggle for growth as they recover from the Covid-19 pandemic. Southeast Asia’s biggest listed tech firm, began an overhaul of the group last year, reducing its workforce by around 7k people, or about 10%, and freezing salaries as its market capitalisation tumbled to $32.5bn from an early pandemic high of over $200bn.
Hong Kong telco HKBN’s sale stalls again on valuation.
A sale of HKBN has stalled again as the Hong Kong broadband provider’s owners couldn’t agree with prospective buyers on a valuation, Bloomberg reported.
The Hong Kong-listed company in March confirmed private equity firm I Squared Capital had expressed interest in the company that could involve a possible offer, the buyout firm was considering a takeover at a valuation of more than $1bn.
BYJU'S faces great valuation cuts from stakeholders.
Private equity firm BlackRock, which holds a minority stake in BYJU'S, has marked down its valuation to $8.4bn, in yet another valuation downgrade for the edtech giant, DealStreetAsia reported.
In April too, BlackRock marked down its valuation to $11.2bn, a huge drop from the $22bn valuation the Indian edtech giant had secured during its last fundraising earlier this month.
Japan's SoftBank cuts borrowing from Mizuho.
SoftBank Group cut borrowing from its main bank Mizuho Financial Group by 25% in the year ended March to JPY608.5bn ($4.5bn). The tech investing conglomerate also cut borrowing from lenders, including JP Morgan Chase and Goldman Sachs.
SoftBank has been moving to shore up its balance sheet after recording loss at its Vision Fund investing arm due to falling tech valuations.
China's HighLight Capital looks to raise combined $1bn across two funds.
Shanghai-based venture capital firm HighLight Capital is targeting to raise $650-700m for its fourth USD fund, after closing its fourth RMB fund at CNY3.1bn ($437m) last month.
The combined target of $1bn comes despite the difficult fundraising environment globally, the firm’s founder and CEO Steven Wang said. The fourth USD fund is targeting a close by Q3 2023, DealStreetAsia reported.
Real Pet Food raises funds from Temasek.
Investment companies Hosen Capital, New Hope Group, and Temasek Holdings reportedly led a $161m equity injection into Real Pet Food, an Australia-based chilled pet food supplier. The company will use the funds to pay down debt and support growth.
The Real Petfood Company is a specialist co-manufacturer of high-quality baked semi-moist treats, premium biscuits & snacks for private-label pet food.
Baidu creates $140m fund to back ChatGPT-like startups.
Baidu has set aside CNY1bn ($140m) to fund Chinese startups that explore generative AI, joining a global investment wave keen on riding a frenzy around ChatGPT-like services, Bloomberg reported.
China’s internet search leader will use the pool to incubate projects built atop its Ernie AI model, in deployments as high as CNY10m ($1.4m) apiecet. Venture investors including IDG Capital will take and judge pitches from founders, who then build demo products before receiving a verdict on whether they get seed funding.
Ambani-backed EV maker is said to weigh raising $85m.
Altigreen Propulsion Labs is considering raising about INR7bn ($85m) in a new funding round as the Indian electric cargo vehicle maker looks to ramp up its production and invest in new models.
Deliberations are at an early stage and details of the fundraising could still change. Altigreen CEO Amitabh Saran confirmed that the company is in the midst of fundraising and targets to wrap it up by July.
The firm raised around INR3bn ($29m) in a Series A round last year that was led by Sixth Sense Ventures. Ambani’s Reliance New Energy, Xponentia Capital, Momentum Venture and Accurant International also participated.
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