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AMERICAS
Chevron, one of the world's largest integrated energy companies, completed the acquisition of PDC Energy, an independent exploration and production company, for $7.6bn.
"PDC's attractive and complementary assets strengthen Chevron's position in key US production basins. This transaction is accretive to all important financial measures and enhances Chevron's objective to safely deliver higher returns and lower carbon. We look forward to welcoming PDC's team and shareholders to Chevron and continuing both companies' focus on safe and reliable operations," Mike Wirth, Chevron Chairman and CEO.
Clayton, Dubilier & Rice to acquire Veritiv for $2.3bn. (FS)
Clayton, Dubilier & Rice, an American private equity company, agreed to acquire Veritiv, a distributor of packaging, facility solutions and print products, for $2.3bn.
"This agreement is a pivotal moment in Veritiv's history. CD&R's interest in our company is a testament to our team's hard work, innovation, and dedication. Fueled by this partnership, we will continue to evolve towards our greatest potential, delivering innovative and sustainable solutions to our customers today – and into the future," Sal Abbate, Veritiv CEO.
Veritiv is advised by Morgan Stanley and Alston & Bird. Clayton, Dubilier & Rice is advised by BMO Capital Markets, Goldman Sachs, Guggenheim Partners, RBC Capital Markets, UBS, Wells Fargo Securities, Debevoise & Plimpton and Kirkland & Ellis (led by Richard Campbell and David Klein). Debt financing is provided by BMO Capital Markets, Goldman Sachs, RBC Capital Markets, UBS and Wells Fargo Securities.
The US Federal Trade Commission has agreed to dismiss a federal court case against Intercontinental Exchange's $16bn proposed acquisition of Black Knight, easing the regulatory path for the companies to close their deal, Reuters reported.
On August 7, New York Stock Exchange-owner ICE and mortgage data vendor Black Knight said the joint agreement will allow them to continue working toward a final settlement agreement with the FTC. The agreement clears a major regulatory hurdle for ICE and Black Knight, which had been struggling to get a green light from regulators.
Black Knight is advised by JP Morgan, Wachtell Lipton Rosen & Katz (led by Edward D. Herlihy and Jacob A. Kling). Financial advisors are advised by Cravath Swaine & Moore (led by Andrew Wark). ICE is advised by Credit Suisse, Goldman Sachs, Wells Fargo Securities, Morgan Lewis & Bockius, and Shearman & Sterling (led by Cody Wright and Rory O’Halloran).
Campbell Soup Company, a manufacturer of branded convenience food products, agreed to acquire Sovos Brands, a food and beverage company, from Advent International for $2.7bn.
"We're thrilled to add the most compelling growth story in the food industry and welcome the talented employees who have built a nearly $1bn portfolio. This acquisition fits perfectly with and accelerates our strategy of focusing on one geography, two divisions and select key categories that we know well. Our focused strategy has enabled us to deliver strong results over the last five years, enhance our brands and capabilities, and generate strong cash flow to lower debt. With all this progress, I am confident in our readiness to execute and integrate this important acquisition. The Sovos Brands portfolio strengthens and diversifies our Meals & Beverages division and paired with our faster-growing and differentiated Snacks division, makes Campbell one of the most dependable, growth-oriented names in food," Mark Clouse, Campbell President and CEO.
Sovos Brands is advised by Centerview Partners, Goldman Sachs, Hogan Lovells, and Richards Layton and Finger. Campbell Soup Company is advised by Evercore and Davis Polk & Wardwell (led by Daniel Brass and John D. Amorosi). Advent International is advised by Weil Gotshal and Manges.
Nautic Partners-backed ExactCare Pharmacy, a national medication management and pharmacy care provider, agreed to merge with Tabula Rasa HealthCare, a healthcare company advancing personalized, comprehensive care for value-based care organizations, in a $570m deal.
"We see broad strategic alignment between Tabula Rasa and ExactCare. Our organizations provide unique but complementary solutions to address the healthcare challenges experienced by at-risk populations through innovative pharmacy and medication-related services. This partnership enables us to leverage each organization's strengths to enhance the value we deliver to our patients and partners," Marty Butler, ExactCare President and CFO.
Tabula Rasa HealthCare is advised by Goldman Sachs, Cravath Swaine & Moore and Morgan Lewis & Bockius. ExactCare is advised by Cantor Fitzgerald, Centerview Partners and Kirkland & Ellis.
Mr. Cooper, a customer-centric servicing, origination and transaction-based services provider, completed the acquisition of Home Point Capital, a residential mortgage servicing company, for $324m.
"This acquisition adds scale to our platform, bringing us closer to our $1tn strategic target, while enhancing returns due to attractive yields and positive operating leverage," Jay Bray, Mr. Cooper Chairman and CEO.
Apollo, an American private equity firm, agreed to invest in Accent Family of Companies, a provider of distribution and manufacturing of baling wires and wire-tier machines. Financial terms were not disclosed.
"We believe Accent is a critical supplier to the recycling industry poised for continued growth and impact, and we see several opportunities to help grow and develop the Company. We look forward to partnering with Bill and the talented team at Accent to support its expansion globally, which we believe will contribute to the continued adoption of sustainable recycling practices leading to a decrease in landfilled waste and emissions in local communities," Joanna Reiss, Apollo Partner and Co-Head of Impact.
Accent Family of Companies is advised by Jefferies & Company. Apollo is advised by PricewaterhouseCoopers, Bridgespan Group, Latham & Watkins and Paul Weiss Rifkind Wharton & Garrison.
Marketaxess, an international financial technology company that operates an electronic trading platform for the institutional credit markets, and also provides market data and post-trade services, agreed to acquire Pragma, a quantitative technology provider of multi-asset trading algorithms and analytical solutions. Financial terms were not disclosed.
"Pragma and MarketAxess share a common mission of using technology and automation to improve trader efficiency and generate superior trading outcomes for investors. MarketAxess' scale and resources will amplify the results we can deliver for clients with the cutting edge technologies we've built – both for our existing clients in equities and FX, and for MarketAxess' large client network as we continue developing new solutions in fixed-income," David Mechner, Pragma Founder and CEO.
Marketaxess is advised by Weil Gotshal and Manges. Pragma is advised by Broadhaven Capital Partners and WilmerHale.
Ikena Oncology, a targeted oncology company forging new territory in patient-directed cancer treatment, agreed to acquire Pionyr Immunotherapeutics, a privately held, clinical-stage biotechnology company. Financial terms were not disclosed.
"Ikena has made incredible strides this year, and we are glad to welcome the Pionyr shareholders to the Ikena team as we head into a pivotal time for our targeted oncology programs. The capital from this acquisition allows us to accelerate and expand our clinical efforts in IK-930 and further support our comprehensive clinical plan for IK-595 as we continue to build value through both depth and breadth in our pipeline. We are looking forward to sharing more updates from across our business and pipeline, including initial clinical data from IK-930 later this year," Mark Manfredi, Ikena CEO.
Ikena Oncology is advised by LifeSci Public Relations. Pionyr is advised by Latham & Watkins (led by Mark Bekheit).
TFI International, a North American provider of transportation and logistics, agreed to acquire JHT, an asset-light logistics and transportation provider in North America for Class 6-8 truck manufacturers. Financial terms were not disclosed.
"We were immediately impressed by JHT's well-run operations, its asset-light approach and leadership in this differentiated niche market. We extend a warm welcome to CEO John Harrington and his impressive team and look forward to watching JHT thrive in the years ahead under the TFI International umbrella," Alain Bédard, TFI International Chairman, President and CEO.
Berkshire posts record operating profit. (FS)
Conglomerate Berkshire Hathaway posted its highest ever quarterly operating profit, while gains from stock holdings helped the conglomerate led by billionaire Warren Buffett swing to a nearly $36bn overall profit, Reuters reported.
Rising interest rates, and better results at the Geico car insurer, allowed Berkshire's insurance businesses to generate more money in the second quarter, with profit up 38% and interest and other investment income growing sixfold.
Trucker Yellow files for bankruptcy.
Yellow, the 99-year-old trucking company, filed for bankruptcy and is closing the business, falling victim to mounting debt including a government loan and a standoff with the Teamsters union, WSJ reported.
The bankruptcy follows years of struggles for the Nashville, Tenn.-based trucker as it tried to address the debt it accumulated through a series of mergers and a $700m federal Covid-19 relief loan during the pandemic. On July 30, the company shut down its operations and laid off a large number of workers.
EMEA
Renesas Electronics, a provider of semiconductor solutions, including microcontrollers, SoC solutions, and analog and power devices, agreed to acquire Sequans Communications, a provider of single-mode 4G LTE semiconductor solutions, for $249m.
"We have been working closely with Renesas to serve the growing market demand for massive IoT and broadband IoT customers. As many telecom operators around the world continue to invest in 5G infrastructure and with the expanding deployment of IoT applications, combining with Renesas opens up vast opportunities to usher in a new era of seamless connectivity and digital mobility that can transform a multitude of industries," Georges Karam, Sequans Chairman and CEO.
Renesas Electronics is advised by Bank of America, Goodwin Procter (led by Jon Olsen and John Haggerty), and Hayden IR (led by Kim Rogers). Sequans Communications is advised by Needham & Co and Orrick Herrington & Sutcliffe.
ATHOS, a Munich-based single family office, agreed to acquire Schülke, a provider of infection prevention and treatment solutions for the healthcare industry, from EQT, an investment company. Financial terms were not disclosed.
"It has been a pleasure working with EQT Private Equity over the past years. Together we have strategically re-positioned the business, driven organic growth, and pursued an active M&A agenda with five add-on acquisitions. Perhaps most importantly, we delivered on a sustainability transformation strategy to ensure that we live up to our mission and are set up for sustainable growth. We are grateful for the partnership and are now looking forward to building on this momentum under the ownership of the ATHOS Consortium," Stefan Kukacka, Schülke CEO.
EQT is advised by Deloitte, Bain & Co, Bank of America and Freshfields Bruckhaus Deringer.
KKR, a global investment firm, agreed to acquire a minority stake in OHB, a space and technology company, for €44 ($48) per share.
"The global market for space solutions will continue to grow. We see great potential in Europe and are convinced that with additional investments in Research and Development OHB is ideally positioned to achieve long-term sustainable growth. KKR's capital will support OHB's future development. At the same time, the offer provides existing shareholders with the opportunity for immediate value realization at an attractive premium. KKR is delighted to have the opportunity to support the Fuchs family," Christian Ollig, KKR Partner and Head of the DACH region.
OHB is advised by Morgan Stanley.
Aramco boosts payout to government, investors to $29bn.
Saudi Arabian public petroleum and natural gas company Saudi Aramco raised its payout to investors and Saudi Arabia's government by more than half, in a move that will help fill state coffers that had increasingly been expected to be in deficit this year, Bloomberg reported.
The total payout will be $29.4bn, including a performance-linked portion, up from a regular dividend of $18.8bn a year ago. The boost to the dividend came despite profit dropped by more than a third to about $30bn as a result of lower oil prices.
Global Switch weighs carving up a $6bn data center empire.
International data centre provider Global Switch's Chinese owners are considering carving up the data center group in the hopes of reviving a sale that could fetch about $6bn, Bloomberg reported.
The UK company's shareholders have been discussing a potential move to sell Global Switch operations in Europe and Asia Pacific separately to different buyers. Each division could be valued at roughly $3bn.
Shawbrook plots £3.5bn merger with Co-operative Bank. (FS)
Private equity-backed small business lender Shawbrook has tabled a stock-based proposal to combine with the Co-operative Bank in a £3.5bn ($4.5bn) deal, Sky News reported.
Shawbrook Group has approached the owners of the Co-operative Bank in recent weeks to outline plans for a stock-based combination of the two companies. A tie-up between Shawbrook and the Co-operative Bank would rank among the most significant banking sector deals since the 2008 financial crisis.
CEZ plans to bid for Czech gas distribution network GasNet.
Czech electricity producer CEZ plans to bid for the country's gas distribution network GasNet if it goes on sale, as it would complement CEZ's expansion into gas, a transitional fuel in the shift from coal to clean energy, Reuters reported.
CEZ deputy chairman Pavel Cyrani said CEZ would bid when a formal sale process is launched for GasNet, adding the unit would also be a good fit for CEZ's electricity distribution business.
Saudi Arabia's PIF sets up SRJ Sports Investments. (FS)
Saudi Arabia's sovereign wealth fund, the Public Investment Fund, has announced the launch of SRJ Sports Investments, a new company aimed at boosting the sports sector in Saudi Arabia and the MENA region, DealStreetAsia reported.
SRJ Sports Investments will focus on acquiring and creating sports event intellectual property, commercial rights for popular competitions, and hosting global events in Saudi Arabia.
APAC
Toshiba said a group led by private equity firm Japan Industrial Partners would launch a $15bn tender offer on August 8 to take the industrial conglomerate private and put it in domestic hands, DealStreetAsia reported.
The tender offer, which values the electronics-to-power stations maker at $15bn, will complete on September 20. It was originally scheduled to start in late July, but pushed back due to a regulatory delay.
Toshiba is advised by JP Morgan, Mizuho Securities, Nomura, UBS, Morrison & Foerster, Nagashima Ohno & Tsunematsu, Nishimura & Asahi, White & Case and Kekst CNC (led by Jochen Legewie). JIP is advised by Crosspoint Advisors, Davis Polk & Wardwell (led by Ken Lebrun), De Brauw Blackstone Westbroek (led by Pete Lawley), Hengeler Mueller (led by Thomas Meurer), Shearman & Sterling (led by Etienne Gelencsér, Derek Kershaw and Simon Letherman), Slaughter & May (led by Richard Hilton) and TMI Associates.
Silvercorp Metals, a Canadian-based, China-focused precious metals company, agreed to acquire OreCorp, a development and exploration company listed on the Australian Securities Exchange, for AUD242m ($159m).
"This transaction will create a new globally diversified precious metals producer. We believe this is a rare opportunity to leverage our technical expertise and strong balance sheet to unlock value for all shareholders by bringing Nyanzaga into commercial production by H2 2025. Under the leadership of Her Excellency, President Samia Suluhu Hassan, Tanzania is becoming an attractive place for foreign investment. We look forward to partnering with the Government of Tanzania and leveraging OreCorp's existing team and relationships to ensure a successful development that benefits all stakeholders," Rui Feng, Silvercorp Chairman and CEO.
OreCorp is advised by CIBC World Markets, Allen & Overy and REX Attorneys. Silvercorp Metals is advised by Canaccord Genuity, A&K Tanzania, King & Wood Mallesons and NWR Communications (led by Nathan Ryan).
Private equity firm TPG has made a revised takeover proposal to Australian funeral home operator InvoCare of around AUD1.83bn ($1.21bn), down from about AUD1.87bn ($1.23bn) following exclusive due diligence, Bloomberg reported.
The firm proposed a revised takeover offer of around AUD12.70 ($8.4) per share for the Sydney-based company over the weekend, down from a AUD13 ($8.6) per share offer in May. InvoCare requested a trading halt on August 7 morning ahead of a statement it planned to make on the TPG proposal.
InvoCare is advised by Gresham, Clayton Utz, and Cato & Clive (led by Clive Mathieson).
Global private equity firm Bain Capital will pay $552m for Australian aged care operator Estia Health, pushing the takeover target's stock to a near five-year high in a sign that appetite for deals down under remains strong, Reuters reported.
The Sydney-based Estia said it had signed a deal to finalise the takeover at $2.1 per share which is a 25.5% premium to Estia's stock closing price on June 6, before the offer was first disclosed.
Estia Health is advised by John Connolly & Partners (led by Julie
Connolly), UBS, and Minter Ellison. Bain is advised by Kirkland & Ellis.
Lithium Australia, a manufacturer of safer batteries, and Mineral Resources, a mining service company, agreed to form a joint venture. Financial terms were not disclosed.
"We are thrilled by the formation of a new partnership with Mineral Resources, one of Australia's largest and most prominent mining companies. MinRes is the perfect partner to complement our leading lithium extraction technology, given its extensive owned operations and strategic movement downstream into the battery materials sector. Securing a development partner is also noted as a significant step within Lithium Australia's recently released roadmap and serves as a powerful validation of our patented technology. We are excited by the future opportunity to licence our proven highvalue technology to all existing and new lithium mines across Australia and the rest of the world," Simon Linge, Lithium Australia CEO.
Vijay Shekhar Sharma agreed to acquire a 10.3% stake in Paytm, a digital payments start-up that offers innovative and intuitive digital products and services for customers and merchants, from Ant Group, an affiliate company of the Chinese Alibaba Group and owner of largest digital payment platform Alipay, for $628m.
"I am proud of Paytm's role as a true champion of made-in-India financial innovation, and our achievements in revolutionizing mobile payments and contributing to formal financial services inclusion in the country. As we announce this transfer of ownership, I would like to express my sincere gratitude to Ant for their unwavering support and partnership over the past several years," Vijay Shekhar Sharma, Paytm CEO.
QIA likely picks up shares worth $500m in India's Adani Green. (FS)
Qatar Investment Authority likely picked up shares worth $500m in India's Adani Green Energy via block deals on August 7, Reuters reported.
QIA's potential investment in the billionaire Gautam Adani-owned firm comes at a time when the group is coming out of the impact caused after US-based Hindenburg Research said it held short positions in the conglomerate in January.
Vena Energy, Suntech, others explore solar panel parts production in Indonesia.
Four foreign renewable energy companies said they will jointly explore opportunities to produce solar panel components and energy storage systems in Indonesia, Reuters reported.
Singapore-based Vena Energy, China's Suntech and REPT Battero, and US-based Powin aim to produce components of solar photovoltaic panels and energy storage systems, which will also be used in Vena Energy's solar project in Indonesia's Riau Islands.
SoftBank may turn profit after huge Vision Fund loss. (FS)
SoftBank Group's Vision Fund is likely to return to profitability after five quarters of losses, thanks to an artificial-intelligence-fueled rebound that's lifting startup valuations, Bloomberg reported.
The Japanese conglomerate is fighting to regain its footing after losing $48bn at the Vision Fund investment unit in the last two fiscal years. Analysts expect a modest profit at the fund for the three months ended June, while SoftBank as a whole will likely report a profit of around $515m on August 8.
Australia announces tax adviser crackdown after PwC leak scandal.
Australia will drastically toughen penalties against promoters of dodgy tax schemes and beef up regulatory powers under reforms announced on Sunday in response to a scandal over the use of leaked fiscal plans by PwC Australia, DealStreetAsia reported.
The leak of the confidential government documents, by a former partner at the professional services firm, was revealed in January. It caused a scandal that has forced out 12 PwC Australia partners, including the chief executive, triggered the sale of its lucrative government consulting wing for AUD1 ($0.66), and embroiled clients Google, Uber and Facebook.
Hua Hong rises in Shanghai debut.
Shares of China's Hua Hong Semiconductor advanced in its trading debut in Shanghai after it raised $2.96bn in the largest sale of new equity in the Asia Pacific region this year, Bloomberg reported.
The country's second largest chip foundry company closed 2% higher in Shanghai, trimming an increase of as much as 15% in early trade. The firm sold 408m shares, or 24% of its total share capital, at $7.2 each. Half of the offering was alloted to 30 strategic investors, with the rest distributed among funds and individuals. The company's Hong Kong-listed shares fell 11%, the most since May 2022.
Long distance battery maker WeLion plans IPO by 2025.
A Chinese maker of long-range electric vehicle batteries — including one capable of going 1k kilometers (620 miles) on a charge — plans to go public as soon as 2025 as it banks on automakers embracing next-generation cells in the race to overcome range anxiety, Bloomberg reported.
Beijing WeLion New Energy Technology, which supplies the long-range semi-solid state cell to Chinese EV upstart Nio, is targeting a 20-fold surge in revenue to $1.4bn by 2025 to fuel its aspirations.
Hong Kong's PAG said to have closed third Asia realty fund at $1.8bn. (FS)
Hong Kong-based private equity firm PAG raised $1.8bn in the final close of its Asia-focused core-plus real estate vehicle PAG Real Estate Partners III, DealStreetAsia reported.
The fund secured commitments from 18 institutional investors globally, including pension funds, endowments, and sovereign wealth funds.
Miyako Capital launches fund for deeptech, AI startups. (FS)
Kyoto University-linked venture capital firm Miyako Capital has launched a $141m fund to support startups focused on deep-tech biology and artificial intelligence, DealStreetAsia reported.
The new fund will be one of Japan's largest in its category and is set to allocate between $3.5m and $7m per startup, with half the funds dedicated to biology and life sciences and the other half to AI and electronics.
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