Carlyle Group considers selling a 3% stake in SBI Life Insurance for $391m. (FS)
KKR to choose CK Infrastructure, Blackstone, and EQT for Goodpack divestment. (FS)
New Zealand's NZME confirms talks to buy media firm Stuff from Nine.
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MODE, a portfolio company of York Capital Management and provider of transportation and third-party logistics services, agreed to acquire SunteckTTS, a provider of transportation services. Financial terms were not disclosed.
Under the terms of the transaction, MODE will merge with SunteckTTS, with both businesses operating under the MODE brand name going forward. The company will facilitate more than 1.5m annual customer shipments and generate over $2bn of revenue.
"In today's increasingly competitive logistics market, the importance of scale, service diversity, and technology cannot be overstated. The combination of MODE and SunteckTTS provides new and existing agents, shippers, and carrier partners a significantly enhanced platform positioned for the future," Ken Forster, SunteckTTS CEO.
MODE is advised by Kirkland & Ellis. SunteckTTS is advised by Piper Jaffray and McDermott Will & Emery.
Wind Point-backed A&R Logistics, which provides truck transportation and supply chain logistics services, agreed to acquire Plantgistix, a provider of packaging, warehousing and full-scale export services dedicated to the plastic resin industry. Financial terms were not disclosed.
"Through his focus on delivering the industry's highest quality service and an emphasis on building a strong corporate culture, Marc Levine laid the foundation for a truly unique company. Likewise, Sam Diaz has done a remarkable job leading the business day-to-day, positioning Plantgistix as a true leader in this space. We could not be happier to welcome the Plantgistix management team and employees to the A&R family," Mark Holden, A&R CEO.
A&R Logistics is advised by Kirkland & Ellis and KPMG. Statesman Plantgistix is advised by Statesman Corporate Finance and Foley and Lardner.
Kape Technologies, a provider of software solutions, agreed to acquire Private Internet Access, a digital privacy company, from London Trust Media for c.$128m. The acquisition will significantly increase the company’s presence in North America and double its existing user base to over 2m paying customers.
“We are excited to join forces with Kape to create a true pioneer in digital privacy with significant scale. This transaction brings us one step closer in realizing our vision of a digitally private and secure world for our customers,” Ted Kim, LTMI Chief Executive Officer.
PIA/LTMI is advised by Lumos Partners and Baker Botts. Kape is advised by Bryan Cave Leighton Paisner, N+1 Singer, Shore Capital & Corporate and Vigo Communications.
Creative Planning, a US registered investment adviser, agreed to acquire OptiFour, which provides financial planning, investment management, trust, legal and tax services. Financial terms were not disclosed.
"Mark and Wes have done a remarkable job building a firm that, like Creative, looks to help clients in all aspects of their financial lives. They have shown this level of client service not because the market forced them to, but rather for decades, simply because it was the right thing to do. We are proud to have them on our team," Peter Mallouk, Creative Planning CEO.
OptiFour is advised by DeVoe & Company. Creative Planning is advised by Republic Capital Group.
Woodstream, a manufacturer and marketer of pest control and wildlife caring and control products, agreed to acquire Dynamic Solutions Worldwide, a manufacturer of technology-driven insect traps. Financial terms were not disclosed.
"The addition of DynaTrap not only adds a highly regarded and successful product line to Woodstream's existing offerings, but it also introduces us to additional blue-chip clients which complement our current roster of world-class customers. Demand for DynaTrap insect traps has never been higher as new and more potent strains of mosquito viruses develop each year," Miguel Nistal, Woodstream CEO.
Woodstream is advised by Blicksilver Public Relations.
The Rohatyn Group, an emerging markets-focused asset management firm, agreed to acquire AEM business of Lazard Asset Management, which offers investment advisory services. Financial terms were not disclosed.
“We believe that each investor’s individual objectives and constraints demand a range of options to access the rich set of growth and alpha opportunities present in emerging markets. TRG has thus purposefully sought out thoughtful, non-traditional approaches to complement, or even replace, core allocations. Our new AEM team’s investment strategy offers a unique alternative to a conventional, benchmarked equity investment program that we find highly attractive,” Nicolas Rohatyn, The Rohatyn Group Chief Executive Officer.
The Rohatyn Group is advised by Sard Verbinnen & Co.
FoodChain ID, a Paine Schwartz Partners portfolio company and a platform dedicated to providing technology-enabled food safety, quality and sustainability solutions, agreed to acquire Diversified Laboratories, an analytical laboratory specializing in the detection of pesticide, chemical and antibiotic residues and quality measurements in food and animal feed products. Financial terms were not disclosed.
"The acquisition of Diversified enables FoodChain ID to provide a more comprehensive contaminants testing solution while offering our customers industry-leading turnaround times. Diversified brings a complementary set of expertise and capabilities that expand our market-leading portfolio of broader technology-enabled solutions and accelerates FoodChain ID's strategic innovation initiatives. We look forward to working closely with Peter and his team to serve customers and drive growth in the new food economy," Brad Riemenapp, FoodChain ID Chief Executive Officer.
HomeServe, the international home repairs and improvements business, agreed to acquire a 79% stake in eLocal, a performance-based advertising platform, for $140m.
“We are delighted to have agreed to buy a majority shareholding in eLocal. Bruce Aronow and the team have created a successful business model with great growth potential. I am looking forward to working with them as we continue to grow our Home Experts business,” Richard Harpin, HomeServe Founder and CEO.
HomeServe is advised by Tulchan and Hill+Knowlton Strategies. eLocal is advised by LLR Partners.
Luminate Capital Partners, a San Francisco-based private equity firm, is set to invest in Quantivate, a SaaS governance, risk and compliance solution provider. Financial terms were not disclosed.
"We believe that our partnership with Luminate will allow us to expand upon our foundation, accelerate product innovation, scale our team, and ultimately drive further value to our customers," Andy Vanderhoff, Quantivate CEO and Founder.
Luminate Capital is advised by Kirkland & Ellis and Chris Tofalli Public Relations. Quantivateis advised by Marks Baughan and Reed Pruett Walters Larsen.
Sony Pictures Entertainment, a video producer, agreed to acquire a 42% stake in Game Show Network, a provider of entertainment programming services, from AT&T for $500m.
The acquisition will bolster SPT’s already robust catalog of game shows and first-run series, such as Jeopardy! and Wheel of Fortune, solidifying its position in all facets of the US TV game show business. Game Show Network will continue to be managed by Sony Pictures Television.
“We’re excited to bring Game Show Network fully into the Sony Pictures Entertainment portfolio. The acquisition allows us to work more closely with the company’s talented team to deliver the best iconic game shows, develop and syndicate new game show IP for audiences across the nation, as well as to advance the fast-growing GSN Games business, all of which directly aligns with our strategy of developing targeted direct-to-consumer offerings," Mike Hopkins, Sony Pictures Chairman.
Charlesbank Capital Partners-backed WolfePak Software, a provider of accounting, regulatory compliance and automation software for the oil and gas industry, agreed to acquire DocVue, a provider of imaging, document management and workflow software. Financial terms were not disclosed.
"Adding DocVue to WolfePak's product portfolio expands our ability to help independent oil and gas companies solve the continuous challenge of managing all data touchpoints in the digital oilfield. We are delighted to welcome DocVue employees, customers, and partners to WolfePak," Brent J. Rhymes, WolfePak Software CEO.
Connectria, a provider of information technology solutions, agreed to acquire WSM International, a provider of cloud migration and transformation services. Financial terms were not disclosed.
“Connectria has provided world-class cloud managed services and cloud management tools for many years to clients that were already in the cloud," Rich Waidmann, Connectria CEO.
Global Infrastructure Partners seeks $5bn for Debut Emerging-Markets Fund. (FS)
Global Infrastructure Partners is seeking to raise $5bn for its debut emerging-markets fund, Bloomberg reported. The fund is targeting gross US dollar returns of 20% annually and will focus on transport, energy, water, and waste investments in middle-income countries in Latin America and Asia, excluding India.
Boost founder to pay up to $2bn to buy a brand from Sprint.
Boost Mobile founder Peter Adderton is willing to pay up to $2bn to buy back the prepaid wireless brand from Sprint, a significant potential premium to what satellite TV provider Dish Network agreed to pay for Sprint's entire prepaid wireless business, Reuters reported.
The business, Zayo Colocation, or zColo, could fetch about $1bn in a sale. Zayo is working with an adviser to solicit interest from prospective suitors, which include infrastructure funds.
Russell Investments is up for sale. (FS)
TA Associates hired Goldman Sachs to explore a sale of Russell Investments, putting the $293bn asset manager on the block as part of a wave of consolidation in the fund management industry, FT reported.
A sale of the money manager follows several bruising years for the industry, with profits at some of the biggest fund houses squeezed by the rise of passive investing. Shares in listed asset managers have trailed the benchmark US stock index, the S&P 500, over the past five years.
Russell Investments was last valued at $1.15bn in 2016 when TA Associates acquired the group from the London Stock Exchange. It is unclear how much TA is seeking for the firm.
Apollo Global Management to explore the sale of Qdoba Restaurants. (FS)
Apollo Global Management is exploring a sale of Qdoba Restaurant, a Mexican food chain it acquired last year, according to Qdoba Chief Executive Officer Keith Guilbault.
“We’re extremely grateful for the guidance, strategy, and resources Apollo has provided. Now, as Apollo explores a potential sale, it shows the health and strength of the Qdoba brand as we continue to focus on what we do best - creating a flavor that our customers love and cultivating a culture that our team members enjoy every day,” Keith Guilbault, Qdoba Chief Executive Officer.
Novartis considers acquisition of Medicines.
Novartis is considering an offer for US biotechnology firm The Medicines, Reuters reported, a deal that could broaden the Swiss drugmaker's cabinet of heart medicines and shore up growth threatened by patent expirations.
Novartis is hunting for a $5bn acquisition in the United States. The Medicine's top drug candidate is cholesterol-lowering drug inclisiran for heart patients. Novartis has historically had a robust cardiovascular drug franchise, but lost ground when Diovan, once a $6bn-per-year seller, lost patent protection in 2012 and left the company without an immediate, innovative follow-up product.
CDPQ names Charles Émond a new international PE Head. (FS, People)
Caisse de dépôt et placement du Québec has a new head of private equity after revealing Stephane Etroy has decided to leave the firm.
CDPQ said it had taken the opportunity to regroup all of its private equity activities in Québec and abroad under the leadership of Charles Émond, who becomes executive vice-president, Québec, private equity and strategic planning.
Osage to seek $135m for Fund V. (FS)
Osage Venture Partners is aiming to raise up to $135m for its fifth fund. The firm has yet to register any capital commitments for Osage Venture Partners V. It said in the documents that it does not expect the fundraise to last longer than 12 months.
Osage raised $90m for its predecessor vehicle in 2017, which it used to back early-stage companies such as Phone2Action, Noodle Partners and Galactic Fog. The firm has been consistently upping the size of its funds after raising $66m for its third fund in 2011 and $40m for Fund II in 2005.
The British Government plans to wave through the acquisition of defense company Cobham by Advent for $5bn after the US private equity group offered several commitments to address national security concerns.
After Advent put forward several legal undertakings, including to place several British executives on Cobham's boards, Britain's Business minister Andrea Leadsom stated that now she was minded to accept the deal.
"We have worked closely with the Ministry of Defence to construct undertakings that would adequately mitigate against any potential national security risks," Shonnel Malani, Advent Partner.
Cobham is advised by Bank of America Merrill Lynch, JP Morgan, Rothschild & Co, Allen & Overy, and MHP Communications. Advent is advised by Citigroup, Credit Suisse, Goldman Sachs, Linklaters, Weil Gotshal & Manges, and Finsbury. GSO provided debt financing and was advised by White & Case.
SIX Group's $3.1bn offer for Spanish bourse operator BME is “financially attractive” for BME shareholders, SIX’s CEO said on Tuesday. Euronext, a pan-European stock market operator and SIX entered a bidding war for BME on Monday, with both trying to snap up one of Europe’s last standalone stock exchanges, Reuters reported.
SIX Group is advised by Alantra, Credit Suisse, Linklaters, Brunswick Group, and Estudio de Comunicacion. BME is advised by Morgan Stanley and Latham & Watkins.
Cairngorm Capital, a specialist private investment firm, completed the acquisition of Grant & Stone, an independent builders’ merchant. Financial terms were not disclosed.
“We welcome the investment and support from Cairngorm Capital. Our company is at a really exciting point in its development and is ready to capitalize on the numerous growth opportunities available to it. We have ambitious plans to fulfill but also the advantages of exceptional products, first-rate employees, and a well-deserved reputation for superior service. I am looking forward to the next phase of our development,” Nick House, Grant & Stone Chief Executive.
Grant & Stone was advised by Pinsent Masons. Cairngorm Capital was advised by Collins M&A Advisors, JLT Group, Gowling, and PricewaterhouseCoopers.
Shares in Germany's TLG Immobilien rose 1.9% in early trading after the firm agreed to merge with Aroundtown in an all-share deal to create a commercial real estate company with $27.7bn in assets, Reuters reported.
Under the terms of the deal, TLG shareholders will receive 3.6 Aroundtown shares, which amounts to a $30.55 offer price per TLG share or a 3.2% premium based on last closing prices.
TLG is advised by UBS and Sullivan & Cromwell. Aroundtown is advised by JP Morgan, Deutsche Bank, Kempen and Victoria Partners, Taylor Wessing and GSK Stockman.
The majority of unions representing workers at Peugeot maker PSA are in favor of a planned $50bn merger with Fiat Chrysler, PSA executives and union representatives said.
The unions will seek detailed information about the plans for the combined company once the merger deal is signed, Reuters reported.
FCA is advised by Goldman Sachs, d'Angelin & Co, Community Group, Image Sept and Sard Verbinnen & Co. PSA is advised by Messier Maris & Associes, Morgan Stanley and Perella Weinberg Partners. Exor is advised by Lazard. Peugeot family is advised by Zaoui & Co. Bpifrance is advised by Willkie Farr & Gallagher.
Baring Private Equity Asia, a private equity firm, agreed to acquire Lumenis, a provider of specialty energy-based medical devices, from XIO. The transaction values Lumenis at an enterprise value of over $1bn, and remains subject to the customary regulatory approval process and is expected to be completed in early 2020.
"BPEA's investment is a tremendous vote of confidence in Lumenis and in the achievements of our entire global organization. In recent years, we have developed and introduced multiple groundbreaking technological solutions that have redefined our industry and opened entirely new market segments. I would like to thank the entire Lumenis team, I am truly proud of all we have accomplished and honored to lead a company on the cutting edge of healthcare innovation, committed to improving the lives of people across the world. We look forward to partnering with the team at BPEA to continue developing and delivering to the world better technology for better patient care," Tzipi Ozer-Armon, Lumenis CEO.
Lumenis is advised by Scherf. BPEA is advised by Newgate.
TJX, an off-price apparel and home fashion retailer, completed the acquisition of a 25% stake in Familia, a major off-price apparel and home fashions retailer that operates exclusively in Russia, for $225m.
This transaction allows TJX to invest in an established, off-price retailer with significant growth potential in the Russian market. The company’s ownership in Familia is expected to be slightly accretive to earnings per share beginning in Fiscal 2021.
TJX was advised by Bank of America Merrill Lynch and Ropes & Gray.
Eni gas e luce, the energy retail company 100% controlled by Eni, agreed to acquire 70% of Evolvere, an Italian energy distributor, from private equity firm L&B Capital. Financial terms were not disclosed.
“In an energy market where final customers take on a more active role – being both producers and consumers – Evolvere’s acquisition lets Eni gas and luce become a leader in the market of distributed generation from renewable sources in Italy, in accordance with Eni’s mission that aims to create value through the energy transition,” Alberto Chiarini, Eni gas e luce Chief Executive Officer.
European Union antitrust regulators have opened an in-depth investigation into German copper giant Aurubis's planned acquisition of Belgian-Spanish recycling firm Metallo Group.
The commission will assess the merger between two copper scrap refiners "to ensure the transaction would not negatively affect competition in this important sector,” Margrethe Vestager, EU competition commissioner.
Aurubis, Europe’s biggest copper smelter, said in May it had agreed to buy Metallo for $421m as part of an acquisition-led shift into other metals.
Mail.Ru, Russian internet company, and Sberbank, a state-owned Russian banking and financial services company, have settled the terms of their food and taxi joint venture and intend to invest $1bn in the business.
The deal is expected to be closed by the end of the year and will hand the firms 50/50 stakes in the joint venture.
Investec Asset Management, which operates as an investment firm, is set to demerge from its Anglo-South African parent Investec Group. Financial terms were not disclosed. The demerger still remains subject to the approval of Investec shareholders.
Investec’s fund arm plans to list in London, with a dual listing in Johannesburg, as part of a restructuring of the financial services company announced last year, Reuters reported.
BNP Paribas Securities Services, which operates as an investment management company, agreed to acquire a stake in AssetMetrix, an asset servicer for private capital investors. Financial terms were not disclosed.
”This marks a major milestone in the development of our offering to private capital clients, including direct fund managers, asset owners and private equity funds of funds, who need specialist tools to monitor their non-listed investments. With this partnership, we will be able to offer our clients powerful analytics and reporting for their investors via a dedicated and interactive web portal for real-time monitoring and live scenario analysis,” Laurent Durdilly, BNP Paribas Securities Services Private Capital Head.
Orange agreed to acquire Spanish division of SUMA Mobile, a mobile services platform, from Alantra Private Equity-backed Grupo Ingenium, a telecommunications holding. Financial terms were not disclosed.
"In 2012 we began this exciting adventure with the clear objective of helping our customers to make their mobile business projects a reality, always offering state-of-the-art technology and always seeking to offer excellence in customer service. During all this time, we have deployed more than 30 operators in Spain from different sectors, with different business models and positions, which has led us to become the first independent convergent multi-service platform in our country and a reference at the international level. All these have been thanks to the trust and support that our customers have given us since the beginning, key to the success of SUMA Móvil in Spain," Sergio Cano, Grupo Ingenium CEO.
Macquarie Capital, an advisory, capital markets and principal investment arm of Macquarie Group, completed the acquisition of a majority stake in BioCow, a producer and innovator in the UK biogas industry. Financial terms were not disclosed.
BioCow will use the investment from Macquarie to expand its existing operations in Cambridgeshire, as well as to support the completion of the UK’s first biomethane injection point into the national transmission grid.
“We have followed the development of anaerobic digestion in Europe for several years, looking for the right operating partner to scale this carbon-neutral energy technology. We are excited to work with BioCow to develop its platform and contribute to the UK’s energy transition,” Patrick Ottersbach, Macquarie Capital Managing Director.
Thyssenkrupp and Kone discuss a multi-billion-euro break-up fee. (FS)
Finland's Kone proposed to pay a multi-billion euro break-up fee to Thyssenkrupp to improve its chances in an auction for the German conglomerate's elevator business, Reuters reported.
Kone, in a partnership with CVC, is among suitors for Elevator Technology, which Thyssenkrupp has put up for sale in a bid to pay down pensions and debt and invest in restructuring its other struggling businesses.
Under the plans, Kone would pay the break-up fee of $3.3bn - upfront, making it easier for Thyssenkrupp to accept a deal with the firm, which could face an antitrust review lasting more than a year.
Smiths Group to begin the sale of $3bn medical unit.
Smiths Group kicked off a formal sale of its medical-equipment business in a deal that could value the unit at more than $3bn, Bloomberg reported.
The UK industrial conglomerate’s advisers have sent information memoranda to potential bidders. Smiths Group expects to receive first-round bids before the end of the year.
Aramco IPO banks to have a relatively small payday of $90m. (FS)
After battling it out for a role in a giant IPO that promised to make history, and enduring delay after delay, investment banks advising Saudi Aramco are set to be rewarded with relatively slim pickings. The 25 banks working on the listing will earn combined fees of $90m or less, Reuters reported, after the oil company scaled back its ambitions.
That fee pool is dwarfed by the $300m paid out by Chinese retail titan Alibaba for its 2014 listing in New York. It also significantly trails the estimated $176m shelled out by Facebook for its 2012 IPO. However, the company was always expected to pay less lucrative rates, given it is a state firm, and the initial public offering was seen as a gateway to other lucrative deals in the kingdom.
Aramco has nearly enough new orders to pull off IPO. (FS)
Saudi Aramco's bankers are seeing sufficient early demand to pull off the state oil giant’s initial public offering just three days after launching the deal, Bloomberg reported.
The IPO arrangers are indicating that they already have nearly enough orders to cover the institutional portion of the deal. They still have more than two weeks to go, as fund managers can subscribe to the stock until December 4, according to Aramco’s prospectus.
Woodside considers increasing stake in Senegal oil field.
Woodside Petroleum, an Australian petroleum exploration and production company, is considering increasing its equity stake in the Sangomar oil project off Senegal if any of its partners looked to sell down their stake, Chief Executive Peter Coleman said.
Advent International agreed to acquire a majority interest in Bharat Serums and Vaccines, a provider of biopharmaceutical healthcare, assisted reproductive treatment, critical care and emergency medicine in India and emerging markets. Financial terms were not disclosed.
With this transaction, OrbiMed PE and Kotak PE, two private equity firms that previously held minority positions in Bharat Serums, will fully exit their investments in the company. The Daftary family, which founded BSV, is retaining a meaningful equity stake in the business and is partnering with Advent on the company's next stage of growth.
"Bharat Serums has a differentiated portfolio of biotech and biological offerings in high-growth segments. We are also excited about the company's robust R&D pipeline, which offers the potential to capture whitespace both in India and global markets," Pankaj Patwari, Advent International Director.
Bharat Serums and Vaccines is advised by Innergize Solutions. Advent is advised by Finsbury Hering Schuppener and Ketchum Sampark.
Carlyle Group considers selling a 3% stake in SBI Life Insurance for $391m. (FS)
Carlyle Group is looking to sell a 3% stake in SBI Life Insurance through a block deal route, DealStreet Asia reported.
The price range of the offer has been fixed at a 6-7% discount over closing price. SBI Life is a joint venture between State Bank of India, the country's largest lender by assets, and BNP Paribas Cardiff, a BNP unit. SBI owned a 57.6% stake in the insurance company while BNP Paribas held 5.2%.
JP Morgan is advising on the block deal.
KKR to choose CK Infrastructure, Blackstone, and EQT for Goodpack divestment. (FS)
KKR & Co has tapped Hong Kong's CK Infrastructure and buyout groups, including Blackstone and Sweden's EQT, to gauge interest in Singapore-based Goodpack, an intermediate bulk container maker, Reuters reported.
Working with advisors, KKR has reached out to more than a dozen potential buyers as it seeks bids for a deal that could give Goodpack a valuation of at least $2bn.
If successful, this would rank as one of the most significant PE-backed sales in the past few years in Asia, excluding Japan and Australia.
New Zealand's NZME confirms talks to buy media firm Stuff from Nine.
NZME, the owner of New Zealand's top-selling newspaper, said it was in talks with Nine Entertainment to buy rival news firm Stuff and has made a proposal to New Zealand's government about a possible transaction.
NZME, which owns the newspaper New Zealand Herald and radio brand Newstalk ZB, said the discussions are preliminary and stressed that no decision had been made.
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