AMERICAS
First Interstate BancSystem and Great Western Bancorp receive final regulatory and shareholder approvals to merge in a $2bn deal.
First Interstate BancSystem, parent company of First Interstate Bank, and Great Western Bancorp, parent company of Great Western Bank, jointly announced that they have received all required regulatory clearances as well as approvals of the shareholders of FIBK and stockholders of GWB related to the proposed merger of FIBK and GWB and the merger of FIBK’s and GWB’s respective subsidiary banks.
"Great Western is looking forward to becoming a part of the First Interstate family, and we are eager to demonstrate to our shareholders, our clients, and our communities how beneficial this partnership is for all involved,” Mark Borrecco, GWB President and CEO.
Great Western Bancorp is advised by Piper Sandler and Wachtell Lipton Rosen & Katz. First Interstate BancSystem is advised by Barclays, Goldman Sachs, Keefe Bruyette & Woods, Davis Polk & Wardwell and Latham & Watkins.
Casper Sleep announces stockholder approval of a $308m merger. (FS)
Casper Sleep, an e-commerce company that sells sleep products, announced that its stockholders voted to adopt a $308m merger with Durational Capital Management, a private equity firm. Approximately 69.5% of the vote represented by Casper’s outstanding stock were voted in favor of the combination.
Subject to the satisfaction of certain other closing conditions, the transaction is expected to close during the week of January 24, 2022.
Casper Sleep is advised by Jefferies & Company, Latham & Watkins and JCIR. Jefferies & Company is advised by Covington & Burling. Durational Capital is advised by Kirkland & Ellis and Sard Verbinnen & Co.
Epilepsy drug maker Zogenix soars on UCB's potential $2 bln deal.
Shares of Zogenix soared more than 60% after Belgium's UCB agreed to buy the US drugmaker in a deal worth up to $1.9bn to expand its portfolio of rare disease drugs and epilepsy treatments, Reuters reported.
California-based Zogenix in 2020 had gained approval from US and European regulators for its drug Fintepla to treat Dravet syndrome, a rare form of childhood epilepsy with limited treatment options. The drug brought in sales of $21.4m in the third quarter.
Zogenix is advised by Bank of America, SVB Leerink and Latham & Watkins. UCB Pharma is advised by Barclays, Lazard and Covington & Burling.
Encompass Health to spin-off its HH&H business.
Encompass Health, a provider of post-acute healthcare services, agreed to spin-off its home health and hospice business. Financial terms were not disclosed.
The Encompass Health Board of Directors believes that the separation of its inpatient rehabilitation business and the HH&H Business into two independent, publicly traded companies will provide significant benefits to both businesses and their stakeholders, including improving the strategic and operational flexibility of each business, increasing the focus of each management team on its business strategy and operations, allowing each business to adopt a capital structure and investment policy best suited to its financial profile and business needs, and providing each company with its own equity currency to facilitate acquisitions and to better incentivize management.
Encompass Health is advised by Citigroup, Goldman Sachs, Bradley Arant Boult Cummings and Wachtell Lipton Rosen & Katz.
MRI Software completed the acquisition of Angus Systems.
MRI Software, a provider of business management software solutions, completed the acquisition of Angus Systems, a provider of enterprise-class building operations management software for commercial real estate owners and operators. Financial terms were not disclosed.
"The employee, tenant and resident experience is central to our desire to make the world a better place to live, work and play. Angus Anywhere, with its leading work order management and mobility capabilities, adds to our FM solutions suite to allow our clients to run more efficient buildings, provide people with better on-site experiences, and ensure a more sustainable future," Saurabh Abhyankar, MRI Chief Product Officer.
MRI Software was advised by HJ Consulting, Platform Communications and Saygency.
Blackstone led a $225m Series F funding round in Clari. (FS)
Blackstone led a $225m Series F funding round in Clari, a developer of revenue operations platform built to improve efficiency, predictability, and growth across the entire revenue process. Additional investors include Silver Lake, Light Street Capital, Maverick Capital, B Capital Group, Bain Capital Ventures, Madrona Ventures, Northgate Capital, Sapphire Ventures, Sequoia Capital and Tenaya Capital.
“Clari has transformed the revenue and sales process from an antiquated mess to a software- and data-driven business process that is minting new industry juggernauts. The best of the best run their businesses through Clari, using our powerful data and insights to outperform the market and their competitors. We’re thrilled to have the support of Blackstone and all our investors as we deliver unmatched performance and more predictable growth for companies around the world," Andy Byrne, Clari Co-Founder and CEO.
Blackstone was advised by Simpson Thacher & Bartlett.
SoftBank Vision Fund 2 led a $100m funding round in Pixis. (FS)
SoftBank Vision Fund 2, a private equity firm, led a $100m funding round in Pixis, a California-based tech startup that provides codeless AI infrastructure to enable customers to scale accurate data-driven marketing, with participation from General Atlantic, Celesta Capital, Premji Invest and Chiratae Ventures.
"Exfinity has earned a stellar multiple of 37x from Pixis and are returning close to 30% of the total corpus of their fund. With the partial exit, Exfinity will continue to maintain significant holding in Pixis."
Pixis was advised by Bospar.
North Hudson-backed Split Rock Resources completed the acquisition of the non-operated Permian Basin oil and gas assets for $98m. (FS)
North Hudson-backed Split Rock Resources, an operator of an oil and gas company, completed the acquisition of the non-operated Permian Basin oil and gas assets for $98m.
The assets are currently producing approximately 2k Boe per day and include approximately 1k net acres with substantial drilling inventory targeting the Wolfcamp, Bone Spring and additional formations. The assets are operated by a diverse group of top-tier companies and 2022 development activities are expected to increase daily production rates to over 4k Boe per day.
Split Rock was advised by Willkie Farr & Gallagher.
The Riverside Company completed the investment in Transplant Connect. (FS)
The Riverside Company, a private equity firm, completed the investment in Transplant Connect, an operator of a cloud-based clinical platform. Financial terms were not disclosed.
“Transplant Connect is an excellent addition to the expanding InVita platform as we continue to grow our areas of focus in the healthcare industry. We look forward to supporting the continued growth and innovation of Transplant Connect’s product suite and footprint," Loren Schlachet, Riverside Managing Partner.
The Riverside Company was advised by Jones Day.
Dragoneer led a $235m funding round in Lyra Health. (FS)
Dragoneer, a long-only, growth-oriented public and private investor, led a $235m funding round in Lyra Health, a provider of innovative workforce mental health solutions. Additional investors include Salesforce Ventures and Coatue.
"I've known David for over 10 years, and his focus on one of the world's most important topics, addressing and solving mental health care, is truly inspiring. Mental health issues are much more pervasive than is commonly known, and Lyra is thoughtfully redefining access to care by providing broad-based solutions through employers. With this additional capital, Lyra will have the opportunity to further distinguish itself as the leader in mental health domestically and expand internationally to address a global need," Marc Stad, Dragoneer Founder and Managing Partner.
Coatue Management and Valiant Peregrine Fund led a $200m funding round in Handshake. (FS)
Coatue Management, a global investment manager, and Valiant Peregrine Fund led a $200m funding round in Handshake, a developer of a college career network designed to transform the recruiting experience for college students, career centers, and employers. Base10, Spark, Lightspeed, True Ventures, Kleiner Perkins, EQT Ventures, GGV Capital, the Chan Zuckerberg Initiative, Emerson Collective and Reach Capital also participated.
"Millions of people, particularly those just starting out their careers, have been left behind by a purely networking-based approach to discovering talent. Our growth reflects a realization from the world's largest employers that they can no longer afford to leave talent on the table by tapping known 'connections' and following a traditional recruiting playbook," Garrett Lord, Handshake Co-Founder and CEO.
Thrive Capital, Elad Gil, Tiger Global and Dragoneer led a $175m Series F funding round in Lattice. (FS)
Thrive Capital, Elad Gil, Tiger Global and Dragoneer led a $175m Series F funding round in Lattice, a developer of an employee performance management platform. Additional investors include Founders Fund, HighSage Ventures, Shasta Ventures, Fuel Capital and Khosla Ventures.
“This new funding is a vote of confidence in Lattice’s belief that the world is ready for a new generation of people management products that put employees’ interests first. Employees have more choice than ever before, and they’re exercising that agency to choose jobs that meet their expectations for growth and fulfillment. Companies that embrace this and build their people systems with the success of their employees at the center are the ones that will thrive in the new world of work,”Jack Altman, Lattice Founder and CEO.
FINRA plans to enhance digital assets' deal disclosure.
The Financial Industry Regulatory Authority plans to look at enhancing the disclosure regime for broker dealers that sell digital assets, and may also update its rules around how options accounts are opened, Reuters reported.
"There are disclosure rules that apply today and we want to give opportunities to talk about those and also to make sure, to see, if there are additional enhanced requirements that ought to apply," Robert Cook, FINRA CEO.
Tropical Smoothie plans on an IPO with a $1bn valuation. (FS)
Tropical Smoothie Cafe, an Atlanta-based restaurant chain, is planning a US initial public offering this year, Bloomberg reported.
Backed by private equity firm Levine Leichtman Capital Partners, Tropical Smoothie could be valued at at least $1bn in a listing The company is working with Morgan Stanley and Jefferies & Company on the IPO.
Carlyle is preparing to raise its biggest European buyout fund. (FS)
Carlyle Group is preparing to raise its biggest-ever European buyout fund, taking advantage of a rush of capital into private equity firms, Bloomberg reported.
The US investment firm could aim to raise around $8.5bn for its Carlyle Europe Partners VI fund. It plans to start fundraising efforts later this year.
EMEA
Bain Capital to acquire Inetum from Mannai. (FS)
Bain Capital, a private equity firm, agreed to acquire Inetum, a France-based company, engaged in the information technology and communication sector in France and in Southern Europe, from Mannai, an automotive and heavy equipment distribution and service provider. NB Renaissance also participated in the transaction. Financial terms were not disclosed.
“Leveraging our deep local network established through several past investments in France, we were able to develop a strong relationship with Inetum’s management team and appreciate their long experience, credibility in the sector and track record of driving growth in the business. We are very excited to partner with Management and with NB Renaissance to execute on the opportunity ahead," Matthias Boyer Chammard, Bain Capital Managing Director.
Bain Capital is advised by Eight Advisory, Credit Suisse, Torch Partners Corporate Finance, Weil Gotshal and Manges and Camarco. Mannai is advised by Credit Agricole, JP Morgan, Lazard and Clifford Chance. NB Renaissance is advised by GiovannaMarchiComunicazione.
ADIA-backed Permira Funds to acquire Kedrion and Bio Products Laboratory. (FS)
ADIA-backed Permira Funds, a private equity firm, agreed to acquire Kedrion, a provider of plasma-derived therapies, and Bio Products Laboratory, a manufacturer of a wide range of products from blood plasma. Financial terms were not disclosed.
“We’re honoured to be partnering with the Marcucci Family on this exciting project that brings together two high-quality players – Kedrion and BPL – in the plasma-derived therapeutics space, a growing industry with an important unmet patient demand. This investment fits squarely within the Specialty Pharma segment of our strategy: backing highly specialised platforms in attractive and resilient therapeutic areas. Together, the two companies will have an exciting portfolio of pharmaceutical products aimed at helping patients with compromised immune systems or bleeding disorders and we look forward to working with the teams to build a leading rare disease specialist platform with a deep commitment to its patients and donors,” Silvia Oteri, Permira Head of Healthcare.
Bio Products Laboratory is advised by Bank of America and Goodwin Procter. Kedrion is advised by Lazard, Natixis Partners, Carnelutti Studio Legale Associato and Pedersoli Studio Legale. Permira Funds is advised by Ernst & Young, Morgan Stanley, Giliberti Triscornia e Associati and Latham & Watkins.
Eleusis to go public via a SPAC merger with Silver Spike Acquisition in a $446m deal. (FS)
Eleusis, a clinical-stage life science company that aims to unlock the therapeutic potential of psychedelics, agreed to go public via a SPAC merger with Silver Spike Acquisition, a publicly traded special purpose acquisition company, in a $446m deal. Financial terms were not disclosed.
“We are thrilled to work with the Silver Spike team, whose extensive financial and industry experience complement our expertise. We believe access to public capital markets will accelerate our efforts to transform psychedelics into modern medicines, and ultimately offers the potential to improve millions of patients’ lives while creating long-term value for our shareholders,” Shlomi Raz, Eleusis CEO and Founder.
Eleusis is advised by Canaccord Genuity and Latham & Watkins. Silver Spike Acquisition is advised by Cantor Fitzgerald, Credit Suisse, Abernathy MacGregor Group and Davis Polk & Wardwell.
Trillium Flow Technologies to acquire industrial pumps business from Termomeccanica.
Trillium Flow Technologies, a provider of valves, pumps and aftermarket services, agreed to acquire industrial pumps business from Termomeccanica, a provider of construction services. Financial terms were not disclosed.
“The acquisition will create a much larger Italian engineered pump manufacturer by combining two strong legacy brands with a highly complementary product portfolio, installed base, and service capabilities. The joint entity will be best positioned to support our local and international customers in a more comprehensive and impactful way," Paolo Macchi, Termomeccanica Managing Director of Gabbioneta Pumps.
Termomeccanica is advised by Rothschild & Co.
AMDT to acquire L'Officiel.
AMDT, a financial institution group, agreed to acquire L'Officiel, a global fashion media holding group. Financial terms were not disclosed.
"By integrating L'Officiel into AMTD's SpiderNet, L'Officiel demonstrates AMTD's ability to enable connectivity and positions us as a core player in the global fashion and luxury media sector. AMTD Group is committed to investing into and cementing points of connectivity between peoples' interests, lifestyle, and ESG initiatives, acting as a super-connector. The acquisition is the ideal springboard for L'Officiel to spearhead the adoption of new Web 3.0 practices and technologies coupled with the comprehensive financial services tools and infrastructure set up by AMTD across Asia," Calvin Choi, AMTD Chairman.
AddLife completed the acquisition of MBA Incorporado from Alantra for $125m. (FS)
AddLife, an independent player in the Life Science industry, completed the acquisition of MBA Incorporado, a Spanish orthopaedic and trauma surgery business, from Alantra, a private equity firm, for $125m.
“I am very enthusiastic about this acquisition. MBA gives us a solid point of entry in Spain, one of Europe’s largest Medtech markets, an increased presence in Italy and a start in Portugal. Within the Group, there are several opportunities for cooperation between our companies in the niches in which MBA is currently a leader. The similarities between AddLife’s and MBA’s cultures are striking and lay the basis for further development together in the future,” Kristina Willgård, AddLife CEO.
Hyundai Motor to acquire a minority stake in Urban-Air Port.
Hyundai Motor, a commercial vehicles providing company, agreed to acquire a minority stake in Urban-Air Port, a UK startup designing hubs for flying taxis. Financial terms were not disclosed.
"As we advance our eVTOL aircraft programme, development of supporting infrastructure is imperative. Air-One® is a unique project that is set to help lead the way in developing a robust, accessible and intermodal infrastructure network for future mobility. We are excited to be part of this partnership in the UK, and look forward to working together to create community impact and opportunity through safe, affordable, and human-centred mobility solutions," Pamela Cohn, Urban-Air Port COO.
Abu Dhabi Ports completed the acquisition of a 22.32% stake in Aramex from ADQ.
Abu Dhabi Ports, a ports, industrial zones and logistics operator, completed the acquisition of a 22.32% stake in Aramex, a provider of transportation services, from ADQ, a holding company. Financial terms were not disclosed.
"Aramex is a global leader in logistics and transportation, and will complement our logistics investments including Abu Dhabi Ports, Abu Dhabi Airport, and Etihad Rail as we work to expand the logistics ecosystem in the UAE," Murtaza Hussain, ADQ CIO.
TIM shares fall as KKR's bid remains unclear. (FS)
Telecom Italia shares fell straight following an internal meeting over plans to revamp the former phone monopoly while a takeover approach by US fund KKR remains unanswered, Reuters reported.
General Manager Pietro Labriola outlines to the company's directors a plan exploring alternative options to KKR's $12bn offer, the board's response had been positive.
TIM might revive its Open Fiber deal.
Telecom Italia plans to renew its drive for a possible merger with smaller, state-backed rival Open Fiber in a long-delayed bid to build a single national phone network in Italy and avoid billions of euros in duplicate investments, Bloomberg reported.
The latest version of the carrier’s strategy, spearheaded by General Manager Pietro Labriola, shapes up as an alternative to possible plans for the company’s future drawn up by KKR & Co, which late last year made a $12bn bid to buy the ex-telecommunications monopolist. That offer is still pending.
Polpharma hopes to acquire Advent's Zentiva.
Polish drug maker Polpharma is working on a possible $4bn takeover of Czech rival Zentiva and is looking for investors to join its bid in return for a minority stake in the Advent International, Reuters reported.
Discussions between Polpharma and potential partners are at an early stage and the Polish company has yet decide how it would structure a joint bidding vehicle. No deal was certain.
CVC lines up with Goldman Sachs, JP Morgan and Morgan Stanley for future IPO. (FS)
European buyout firm CVC Capital Partners lines up three Wall Street titans to arrange its potential initial public offering, Bloomberg reported.
The private equity firm plans to work with Goldman Sachs, JP Morgan and Morgan Stanley on the stock-market listing. CVC is considering listing in London in the second half of the year.
Credit Suisse hires Scott Bardo as co-head of healthcare in EMEA. (People)
Credit Suisse hired a senior Berenberg analyst Scott Bardo to lead its healthcare investment banking franchise in EMEA in a bid to revamp the unit after a string of scandals at the lender and a leadership overhaul, Reuters reported.
Scott Bardo will focus on medtech, healthcare services and diagnostics and work closely with Friedrich von Schwedler who co-heads the healthcare franchise and looks after pharma and biotech clients.
APAC
ESR, a logistics real estate platform, completed the acquisition of ARA Asset Management, a global integrated real assets fund manager, from Warburg Pincus for $5.2bn. The transaction is subject to customary closing conditions including, amongst others, regulatory approvals and its closing is expected by the end of 2021 or first quarter 2022. Following the completion of the deal, ARA's business will be combined with ESR's platform.
"We look forward to partnering with the ESR team, whose expertise, dedication and vision have led to building the region's leading logistics real estate platform, and we can now together provide investors with a full suite of products with an outsized contribution from New Economy real estate," John Lim, ARA Co-Founder and Deputy Chairman.
Ara Asset Management was advised by Citigroup, DBS Bank, OCBC Bank and Latham & Watkins. ESR Cayman was advised by Morgan Stanley, United Overseas Bank, Freshfields Bruckhaus Deringer, White & Case and WongPartnership.
Stillfront, a Swedish game development company, agreed to acquire Six Waves, an operator of a company intended to develop gaming applications, from Nexon, a game developer, for $201m.
“We are very excited to be able to welcome 6waves to the Stillfront family. Stillfront has a long and proven history of developing and publishing evergreen strategy games, and 6waves’s titles fit perfectly into our portfolio. Expanding our presence in East Asia and specifically Japan, has been a strategic priority for Stillfront and we are happy that we have found such a talented team to help us on that journey. 6waves has built a very strong reputation as the leading publisher of strategy games in the Japanese market and we cannot wait to work closer with them as a part of Stillfront," Jörgen Larsson, Stillfront CEO.
Stillfront is advised by Ernst & Young, DNB Bank, DLA Piper and White & Case. Six Waves is advised by Morrison & Foerster.
CapVest Partners, a private equity firm, agreed to acquire Virtus Health, an Australian healthcare firm, for $439m.
The CapVest Proposal is non-binding and was provided on the basis that CapVest required exclusivity and cost recovery protections in order to proceed with the CapVest Proposal. To that end, CapVest tabled a process deed that outlined the framework under which CapVest was willing to proceed with the CapVest Proposal.
Viruts Health is advised by Jefferies & Company, Gilbert + Tobin and Citadel Magnus. CapVest Partners is advised by Ashurst.
Blackstone completed the acquisition of Interplex, a manufacturer of precision metal parts based in Singapore, from Baring Private Equity Asia, a private equity firm, for $1.6bn.
“Interplex is a global leader in developing innovative interconnect solutions targeting key markets that we believe have attractive growth prospects – markets such as EVs and future mobility, healthcare, and digital infrastructure. This investment reflects Blackstone’s continued global focus on investing in leading companies that are well positioned in what we refer to as good neighborhoods. We are very pleased to partner with a world-class management team and look forward to supporting Interplex on its next phase of growth," Ed Huang, Blackstone COO of Asia Private Equity.
Baring Private Equity Asia was advised by Goldman Sachs and SEC Newgate.
Investment managers Sequoia Capital and GIC led a $760m funding round in TPG Asia-backed Novotech, a clinical research and testing provider.
The funding will support Novotech to pursue further growth opportunities through M&A in geographical expansion as well as data, AI, and tech-enabled offerings.
“We look forward to accelerating our growth by pursuing various strategic M&A and tech enablement initiatives and seek to better serve our biotech and pharmaceutical clients and support the clinical research industry in the development of a wide spectrum of therapeutic areas,” John Moller, Novotech CEO.
Novotech was advised by UBS.
Vedanta creates a $10bn fund to privatise companies.
Mining firm Vedanta Resources plans to create a $10bn fund to bid for assets including the Indian government's stake in Bharat Petroleum,
Reuters reported.
"We are in the process of creating a fund of $10bn. It will not only look at (BPCL) but there are other companies being privatised. It will look at the potential of those companies also," Anil Agarwal, Vedanta Resources Chairman.
Evergrande's bondholders start to consider enforcement actions.
An ad hoc offshore creditors group of China Evergrande had no substantive engagement with the firm over its restructuring plans despite the firm’s repeated assurances,
DealStreetAsia reported.
The group, represented by law firm Kirkland & Ellis and investment bank Moelis & Co, has no option but to seriously consider enforcement actions and it is prepared to take all necessary actions to defend its legal rights.
Vertex Venture's SPAC appears as the first SPAC list in Singapore. (FS)
A small blank-check firm backed by state investor Temasek made its Singapore debut, marking the first local listing as Singapore steps up a drive to emerge as a key venue for SPAC listings,
Reuters reported.
"As the first SPAC in Singapore, we had to tread through difficult and unchartered waters," Chua Kee Lock, CEO of Vertex Venture, a Temasek subsidiary.
ByteDance cut the financial arm of investment team to cope with China's crackdown.
TikTok owner ByteDance is shrinking its investment team and dissolving a sub-group focused on financial returns in response to regulatory crackdowns in China,
Reuters reported.
Employees on the financial investments team have been told by ByteDance executives that the team will be disbanded and they have been encouraged to look for opportunities elsewhere, internally or externally.
Jardine Matheson weighs possible sale of its restaurant arm.
Jardine Matheson Holdings, a diversified Asia-based group whose businesses span property, transport, retail and luxury hotels, is considering strategic options for its restaurant unit,
Bloomberg reported.
The Singapore-traded conglomerate is weighing a sale of Jardine Restaurant Group, a wholly-owned subsidiary that operates KFC and Pizza Hut franchises in Hong Kong, Macau, Taiwan and Vietnam. The subsidiary also runs Pizza Hut restaurants in Myanmar.
Tianqi Lithium picks banks for Hong Kong listing.
Tianqi Lithium, a Chinese supplier of the key material used in batteries, selects banks for a share offering in Hong Kong that could take place as soon as mid-2022,
Bloomberg reported.
The company, whose shares already trade in Shenzhen, is working with China International Capital, Morgan Stanley and CMB International on the proposed sale that could raise between $1bn and $2bn.
EverSource closes its Green Growth Equity Fund at $741m. (FS)
EverSource Capital, a joint venture between private equity firm Everstone Capital and Lightsource BP, completed the final close of India’s largest climate impact fund, Green Growth Equity Fund, at $741m,
DealStreetAsia reported.
“EverSource aims to be a key catalyst for bringing climate finance into India as our investments have the potential of generating 450+bn kilowatt-hours of clean energy, avoiding 450+m tons of C02 emissions, creating tens of thousands of jobs and adding over $5bn to the Indian economy over the next decade,” Dhanpal Jhaveri, EverSource Capital CEO.
EverSource Capital is advised by Beit Capital Advisors, Kirkland & Ellis, KhattarWong and Nishith Desai Associates.
