AMERICAS
Assertio Therapeutics, an American specialty pharmaceutical company, completed the merger with Zyla Life Sciences, a specialty pharmaceutical company. Zyla stockholders received 2.5 shares of common stock of a newly-formed holding company for each share of Zyla common stock held.
"With the completion of this merger, we are on track to be a leading specialty pharmaceutical company. I am excited to lead the talented team that has worked so hard to grow both businesses and remain dedicated to creating the new Assertio during this challenging time. Thank you to everyone who has seen this transaction through to close. This is just the beginning of an exciting growth opportunity for our employees, the patients we serve and the investors who support our path to value creation. We look forward to updating you on our progress and path forward on our second quarter earnings call," Todd Smith, Assertio Incoming President and CEO.
Zyla was advised by MTS Securities and Dechert. Assertio was advised by Stifel and Gibson Dunn & Crutcher.
GenesisCare, a healthcare provider, completed the acquisition of 21st Century Oncology, a provider of cancer care services across multiple modalities. Financial terms were not disclosed.
"GenesisCare is delighted to partner alongside the leading physicians and specialist teams at 21st Century Oncology. Together, we can deliver a profound positive impact for cancer patients, not only across America, but around the world,” Dan Collins, GenesisCare Founder and CEO.
21st Century was advised by Simpson Thacher & Bartlett and JConnelly. GenesisCare was advised by Cannings Purple and Finsbury.
Linden Capital-backed Solara Medical Supplies, a supplier of blood glucose monitors, completed the acquisition of the diabetes supplies business of Active Healthcare, a respiratory and diabetic care services provider. Financial terms were not disclosed.
“We are proud of what we have built at Active Healthcare and our diabetes team is excited to grow further with the capabilities that Solara provides,” Lisa Feierstein, Active Healthcare Co-Founder.
Solara was advised by Honigman Miller Schwartz & Cohn. Active Healthcare was advised by Brown & Fortunato.
Atria Wealth Solutions, a multi-channel wealth management solutions holding company, completed the acquisition of Western International Securities, a brokerage and investment solutions provider. Financial terms were not disclosed.
"The acquisition of WIS is another step forward for our firm, our clients and the financial industry at large. The intensely rapid and evolving wealth management landscape is forcing firms to rethink their value proposition and offer greater expertise and choice to their clients. We are very excited to welcome all of the advisors and employees of WIS and look forward to our bright future together," Doug Ketterer, Atria, Founding Partner and CEO.
WIS was advised by Broadhaven Capital Partners. Atria was advised by SunTrust Robinson Humphrey.
Bain Capital Life Sciences led a $215m Series D financing round in Atea Pharmaceuticals, a biopharmaceutical company engaged in the discovery and development of next-generation therapeutics for severe human viral infections.
The financing round saw investments from RA Capital Management, Perceptive Advisors, Rock Springs Capital, Adage Capital Management, Redmile Group, and Omega Funds. Existing Atea investors, including Morningside Ventures, Cormorant Asset Management, Ally Bridge Group, and Sectoral Asset Management, as well as other investors.
"Atea’s team has an outstanding track record in developing novel, potent DAAs, which we believe can contribute to the urgent fight against the Covid-19 pandemic and other RNA viruses. We are pleased to partner with Atea’s leadership team and an outstanding group of leading healthcare investors as Atea advances its diverse pipeline of transformative antiviral medicines," Andrew Hack, Bain Capital Life Sciences Managing Director.
Atea Pharmaceuticals was advised by Westwicke.
Pivotal bioVenture Partners led a $145m Series B financing round in Rallybio, a biopharmaceutical company committed to identifying and accelerating the development of life-transforming therapies for patients with severe and rare disorders.
The financing round saw investments from Viking Global Investors, TPG’s The Rise Fund, F-Prime Capital, funds managed by Tekla Capital Management, Solasta Ventures, Fairview Capital, and Mitsui & Co, 5AM Ventures, Canaan Partners, New Leaf Venture Partners and Connecticut Innovations.
“The Rallybio team is highly motivated to bring our innovative product candidates to patients suffering from devastating rare disorders. With ambitious plans to progress our current pipeline, expand our portfolio, and grow our team of rare disease experts, we appreciate the profound support of our knowledgeable and esteemed investors,” Martin Mackay, Rallybio Chairman and CEO.
Rallybio was advised by TellMed Strategies.
Insightful Science, a technology company with software designed to empower scientists at every step of the research and development process, completed the acquisition of Cytapex, a bioinformatics contract research organization. Financial terms were not disclosed.
"We were immediately impressed with the bioinformatics expertise of the Cytapex team. Pharmaceutical customers are increasingly looking to outsource core functions of the research and development process, and reputation and trust are critical. Cytapex stands out as a leader that offers high-quality services and solutions that add substantial value for partners. We are honored to have them join our team," Thomas Swalla, Insightful Science CEO.
B. Riley Financial decided to pursue its $231m acquisition of Spok, despite that the Board of Directors of Spoke rejected the offer. B. Riley advised the shareholders of Spok to hold management teams accountable through times of crisis as well as prosperity.
"As shareholders, we are disappointed by Spok's Board of Directors' dismissive response to our March 16, 2020 proposal to acquire the Company for $12.00 per share. We have refrained from responding sooner in acknowledgement of the disruption caused by the Covid-19 pandemic. However, we do not believe that the current environment should shield Spok management from accountability to its shareholders indefinitely. We would also note that Spok's common stock was trading in the current $10 per share range before the emergence of Covid-19, reflecting investors' lack of confidence in the direction of the Company," Bryant Riley, B. Riley Financial Chairman and Co-CEO.
Amazon is eyeing bankrupt J.C. Penney.
As J.C. Penney plans to shut nearly 250 stores as part of its turnaround starting with Friday’s bankruptcy filing, Amazon is in talks with the struggling mid-priced department store chain about a deal.
The talks between the two parties suggest there may be plenty of jostling for deals behind the scenes especially when the retailers and brands in a liquidity crunch may make cheap deals with those that have money to spend.
Tonal is seeking new funding. (FS)
Tonal, a company that sells a wall-mounted workout station for $3k, is in talks with investors about raising new equity, Bloomberg reported.
The San Francisco-based company is in discussions with investors including private equity firm L Catterton about a new round of funding that would value it at $250m or more.
Dalmac Energy goes on the auction block.
GA Global Partners, Maynards Industries and GD Auctions and Appraisals announced that the firms will conduct a live virtual public auction of the assets of Dalmac Energy on June 3, 2020. Items available for auction include Dalmac's entire fleet of oilfield services trucks and trailers, as well as remaining inventory, parts and tools from its service garages located at sites throughout Alberta, Canada.
"The unfortunate challenges faced by the energy industry as a result of the current economic environment has resulted in this quality fleet becoming available for sale by auction. In light of varying Covid-19 related restrictions, we are enthused to be able to conduct the auction virtually, allowing bidders to participate entirely online, while having the benefit of seeing and interacting directly with a real-time auctioneer," Jeff Tanenbaum, GA Global Partners President.
EMEA
Omnes Capital, an investment company, completed the acquisition of Biofutur, a group of medical biology analysis laboratories in Ile-de-France, for $66m.
"We are proud to support Biofutur in its transformation, allowing it to take an important step in its development. This primary and non-intermediated deal perfectly illustrates our investment thesis of targeting solid mid-cap companies with ambitious management teams, and developing these platforms. The goal is to allow the company to double in size in the medium term. Our ability to structure a co-investment fund dedicated to the deal with leading partners confirms our analysis on this sector and more generally on the attractiveness of the health sector," Yoann Malys, Omnes Director.
Omnes Capital was advised by Winston & Strawn and Brackendale Consulting. Biofutur was advised by Indefi, LEK Consulting, Eight Advisory and GATE Avocats.
EQT and OMERS completed the acquisition of Deutsche Glasfaser, a provider of fibreglass fibre networks for households and companies, from KKR. Financial terms were not disclosed.
Deutsche Glasfaser combined with EQT Infrastructure IV portfolio company inexio to form an FTTH player in rural Germany. EQT Infrastructure owns 51% in the combined group, while OMERS owns 49%.
"We are excited to welcome EQT and OMERS as our new owners and we are fully aligned to further develop Germany's digital infrastructure. With the industry experience and financial support from EQT and OMERS, Deutsche Glasfaser is well-positioned to take the next step on our growth journey and accelerate the fibre roll-out across Germany. On top, we as a management team are excited to join forces with inexio, which will help us to combine our highly complementary skill-sets and to further accelerate our growth," Uwe Nickl, Deutsche Glasfaser CEO.
EQT and OMERS were advised by Latham & Watkins. KKR was advised by Morgan Stanley, Clifford Chance, Finsbury, and Hering Schuppener.
The Blackstone Group is seeking to renegotiate the terms of its planned $1.5bn offer for Dutch lender NIBC, Bloomberg reported. The buyout firm aims to secure a lower price after the coronavirus pandemic affected the bank’s business prospects.
In an unusual move in late April, Blackstone flagged there was “substantial uncertainty” around its bid due to the impact of Covid-19. It is currently slated to offer NIBC investors $10.18 per share, valuing the bank at about $1.4bn after making adjustments related to dividend payments. Blackstone has previously said it’s not obliged to “agree to anything that would affect the viability of the agreed transaction-related business plan.”
AerCap and BOC Aviation, two aircraft leasing companies, completed the acquisition of a stake in Norwegian Air, a Norwegian low-cost airline. Aercap now holds a 15.9% stake and BOC Aviation holds a 12.67% stake in the company. The bidders completed a debt restructuring and secured a long-sought credit guarantee from Norway’s government in a $1.3bn deal. Lessors collectively took a majority of Norwegian’s capital as smaller firms including Avolon and DP Aircraft did similar deals.
Leasing firms reluctantly agreed to take shares for debt as Norwegian’s bankruptcy would have released a glut of used planes into the market, hurting the rest of their business.
“Norwegian will still need to collaborate closely with a number of creditors as the company currently has limited revenues,” Jacob Schram, Norwegian Air CEO.
Dacke Industri, which develops and invests in technology companies with a focus on design, manufacturing and sales of customized components and systems, completed the acquisition of LGL Construction, a provider of complete solutions in steel construction. Financial terms were not disclosed.
" LGL is a very well-managed and healthy company within an area of business where Dacke Industri have good experience. We look forward to continue developing what Mats Holmqvist and the employees have built in LGL. The relationships between customers and LGL are very deep and long-term and that is the way we at Dacke Industri like to work," Lars Fredin, Dacke Industri CEO.
Total confirms the sale of UK assets to HitecVision-backed NEO Energy. (FS)
Total confirmed its commitment to completing the sale of its UK North Sea non-core assets to HitecVision-backed NEO Energy. The initial price for the sale of the assets, which produce around 23k barrels per day, was $635m. Under the new deal, Total will get better terms if oil prices recover sharply.
"We have worked closely with HitecVision and its portfolio company NEO Energy to reconfirm our mutual commitment to completing the deal. The agreed revisions respond to current market conditions while retaining the majority of the value of the transaction. The structure of the consideration and phasing of payments has been modified, including interest-bearing vendor financing and earnout arrangements. We look forward to progressing swiftly to completion and for NEO Energy to take over operations. We are confident that this sale is the right thing for both parties and for the business and its employees," Jean-Pierre Sbraire, Total CFO.
Salzgitter not in deal talks with Thyssenkrupp.
Germany’s second-largest steelmaker Salzgitter said it was not in talks with larger rival Thyssenkrupp about consolidation, pouring cold water on hopes for the creation of a national metals giant, Reuters reported.
Salzgitter said it has been successfully independent for more than two decades, but added that it remained open to ideas about what cooperation with peers could look like, provided it was beneficial for its future.
Thyssenkrupp earlier this week said it was talking to peers about consolidation in the steel industry, fuelling hopes for tie-ups in Germany or Europe. A combination with Salzgitter has long been considered one of the most likely options.
Poland adopts rules to prevent takeovers by non-EU investors.
The Polish government approved regulations aimed at making it difficult for investors from outside the European Union to cheaply take over companies that Poland considers strategic for its economy. The regulations are part of a government rescue package worth more than $72bn to help the country survive the new coronavirus pandemic and the resulting economic crisis, Reuters reported.
The development ministry, which devised the new rules, said they would be binding for two years and would apply to public companies, producers of software used in power plants, transportation and health systems, and companies in the energy, telecoms and defence sectors.
“We do not want to scare off investors but only protect Polish companies against hostile takeovers due to the deteriorating economic situation,” Jadwiga Emilewicz, Development Minister.
Deutsche Bank chairman to stand down in 2022. (People)
Deutsche Bank’s chairman Paul Achleitner intends to step down when his term ends in 2022, heralding a new era at Germany’s largest lender as it struggles to become profitable. His announcement, made to shareholders at the bank’s annual general meeting, was the first time he has publicly said he would not seek a third five-year term.
Achleitner, one of Europe’s most prominent bankers, has faced criticism from some shareholders for the bank’s strategy zig-zags, management upheaval, and an 80% share price decline over the past decade.
APAC
Bangkok Bank, a commercial bank, completed the acquisition of a 44.56% stake in Permata, an Indonesian Bank, from Standard Chartered for $1.2bn. Astra International is yet to dispose of its 44.56% stake in Permata.
The sale of Permata will allow the group to focus exclusively on optimising the performance of its wholly-owned branch in Indonesia, which remains a large and strategically important market for the group.
Bangkok Bank is advised by Morgan Stanley and Ogilvy. Standard Chartered and Astra are advised by JP Morgan.
TA Associates in talks to buy Piramal Pharma stake. (FS)
TA Associates is in advanced talks to acquire a minority stake in Piramal Pharma, Indian billionaire Ajay Piramal’s pharmaceutical business, Bloomberg reported.
The Boston-based private equity firm is in discussions to buy about a 20% stake in Piramal Pharma, a unit of Piramal Enterprises, for as much as $500m. Piramal aims to reach an agreement as soon as June.
KKR leads race to acquire a majority stake in JB Chemicals for up to $400m. (FS)
US private equity giant KKR & Co emerged as the front-runner to buy a 51% stake in JB Chemicals and Pharmaceuticals, which manufactures popular over-the-counter drugs rantac and metrogyl.
Rothschild and Co has been appointed merchant banker by JB Chemicals for the proposed stake sale. The Mumbai-based pharma company had been discussing the majority stake sale with several private equity players over the past few months.
Indigo Partners teams up with Oaktree Capital for Virgin Australia bid. (FS)
Indigo Partners is teaming up with Oaktree Capital Management in its offer for Virgin Australia and will consider adding an Australian partner as the bidding process progresses, Bill Franke, Indigo Managing Partner said.
“In terms of local Australian partners we have been approached by a number of Australian entities and at the end of the day we would like to have an Australian partner. It is the right thing to do. But it all depends on the details,” Bill Franke, Indigo Managing Partner.
Indigo, a private equity investor in low-cost airlines globally including Frontier Airlines and Wizz Air Holdings, was one of four parties shortlisted by administrators to buy Virgin Australia. The others are BGH Capital, Bain Capital and Cyrus Capital Partners.
Power Grid of India to file draft papers for $1bn InvIT. (FS)
Electricity transmission company Power Grid of India plans to file a draft prospectus for a $1bn infrastructure investment trust by June-end, in the first InvIT offering from any state-owned company, DealStreetAsia reported.
The InvIT was proposed by the government as an alternative fundraising route for state-owned companies to manage their funding requirements without having to depend on government support. The National Highways Authority of India is also preparing to raise funds through this route.
KKR gathers $162m for fourth Asia buyout fund. (FS)
Private equity giant KKR & Co raised an additional $162m for its fourth Asia-focused buyout fund, according to the latest filing of KKR Asian Fund IV with the US Securities and Exchange Commission.
Everbright-backed Three’s Company eyes $147m in Shanghai IPO. (FS)
Three’s Company Media Group, an Internet-focused advertisement company, is seeking to raise $147m in an IPO on the Main Board of the Shanghai Stock Exchange.
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