HIG Capital acquired BioVectra, a contract development and manufacturing organization, from Mallinckrodt, a global biopharmaceutical company, for approximately $250m, including fixed consideration of $175m, comprised of an upfront payment of $135m and a long-term note for $40m.
"We are excited to support BioVectra's exceptional leadership and highly dedicated employees. BioVectra demonstrates a tremendous ability to generate robust organic growth and utilizes a broad set of technical capabilities to deliver outstanding service and quality. They are completing major capital expenditure programs to significantly expand capacity and the company is well-positioned to capitalize on growing demand for their services." Mike Gallagher, Managing Director at HIG Capital.
Wells Fargo Securities and McDermott Will & Emery advised HIG Capital. Goldman Sachs, Latham & Watkins and Kekst CNC advised Mallinckrodt.
Private equity firm L Squared Capital Partners acquired Space Electronics, a leading provider of mass properties and electronic testing solutions. Financial terms were not disclosed.
“The Space Electronics team has built deep customer relationships by providing world-class precision measurement solutions used in mission-critical applications across the Aerospace & Defense sector,” said Sean Barrette, Partner of L Squared. “L Squared’s long term capital base and execution of our M&A strategy will allow Raptor Scientific to assemble a growing portfolio of precision testing and measurement products and solutions that will add more value to the Company’s customer base over time.”
Harris Williams & Co and Ice Miller advised Space Electronics. Vedder Price advised L Squared Capital.
Spartan Motors, the North American leader in specialty vehicle manufacturing and assembly for the commercial and retail vehicle industries, acquired Royal Truck Body, a leading, California-based designer, manufacturer, and installer of service truck bodies and accessories. Financial terms were not disclosed.
"This is an exciting day for Spartan," said Daryl Adams, President and Chief Executive Officer of Spartan Motors. "Our acquisition of Royal Truck Body marks the continued execution of our strategic plan and delivers on the promise of nationwide expansion to the benefit of our customers, suppliers, team members, and our shareholders."
Donnelly Penman & Partners and Varnum advised Spartan Motors.
Bowlero, the world’s largest owner and operator of bowling centers, acquired Professional Bowlers Association, the pinnacle of professional bowling since 1958. Financial terms were not disclosed.
“The PBA is rich with history and home to the top players in the sport, with thousands of members and millions of fans throughout the world,” said Bowlero Corp Chief Customer Officer Colie Edison. “This acquisition is about leveraging resources to give the PBA Tour the support and funding it deserves, building value for dedicated members nationwide, and expanding the brand’s overall visibility.”
KKR acquired a majority stake in Burning Glass, the world’s leading real-time labor market data source, from Providence Strategic Growth, an affiliate of Providence Equity Partners. Financial terms were not disclosed.
“By harnessing real-time labor market data, Burning Glass predicts the jobs and skills workers will need in the future, equipping educators, companies and governments with the tools necessary to meet this challenge and contribute meaningful progress toward these goals. We are proud to be investing in Burning Glass to meet this imperative,” said Robert Antablin, Co-Head of KKR Global Impact.
Cox Automotive, a global automotive services company, invested $350m in Rivian, an American automaker and automotive technology company. This partnership marks Rivian’s third investment announcement of 2019, following a $700m investment round in February led by Amazon, and in April, a $500m investment from Ford Motor Company.
“We are excited by Rivian’s unique approach to building an electrified future and to be part of the positive impact its products will bring to our roads and the world around us,” said Sandy Schwartz, president of Cox Automotive. “This investment complements Cox Automotive’s own commitment to environmental change through our Cox Conserves efforts.”
Acuity Brands, a lighting and building management firm headquartered in Atlanta, acquired The Luminaires Group, a leading provider of specification-grade luminaires for commercial, institutional, hospitality and municipal markets. Financial terms were not disclosed.
Vernon J. Nagel, Chairman and Chief Executive Officer of Acuity Brands, commented, "We are very pleased to welcome the great team at The Luminaires Group to the Acuity Brands family. The addition of their strong brands to our lighting portfolio reinforces our commitment to bringing superior architectural solutions to our vast customer base. Acuity Brands will bring its connected, smart lighting expertise to the TLG brands through our leading and innovative drivers, controls and networking systems, which when combined with our existing complementary lighting brands, will provide our customers with an extensive catalog of customizable solutions for the specification community for applications of various sizes and complexities requiring innovative approaches, great design and optimum performance.”
Esdec, a leading global rooftop solar mounting solutions provider, acquired IronRidge and Quick Mount, two leaders in the design, engineering and manufacturing of solar mounting and racking hardware for the US residential and commercial markets. Financial terms were not disclosed.
“IronRidge and Quick Mount PV are both well-known and well-respected brands with reputations for innovation, quality and customer service,” said Stijn Vos, CEO of Esdec. “They have played a key role in scaling the US solar industry to where it is today, and our investment adds the capital depth and R&D capabilities needed for them to lead the industry’s next massive phase of growth. We welcome IronRidge and Quick Mount PV to the Esdec family and look forward to working with them.”
Avalon Ventures and COI Pharmaceuticals sold Sitari Pharmaceuticals, a developer of a novel treatment for celiac disease, to GlaxoSmithKline, a British multinational pharmaceutical company. Financial terms were not disclosed.
“Over the last six years, GSK and Avalon have pioneered a unique biotech funding model designed to identify novel targets from top-tier academic labs and translate cutting-edge discoveries into promising clinical candidates,” said John Lepore, SVP, Research, GSK. “Bringing the Sitari TG2 program into GSK is strongly aligned with our research focus on genetically-associated targets and immune-driven disease. The current standard of care for celiac disease is strict adherence to a gluten-free diet, but a significant number of patients still experience gastrointestinal symptoms and disease progression. TG2 inhibition could represent a new hope for celiac disease patients.”
Arthur J. Gallagher, a US-based global insurance brokerage and risk management services firm, acquired Serna Insurance Agency, which offers private client, personal lines and commercial insurance products and services to clients throughout the state of Texas and surrounding states. Financial terms were not disclosed.
"Personal lines is an important strategic initiative for Gallagher, and Serna's reputation as a high-quality personal lines agency across Texas is a natural fit with our strategy," said J. Patrick Gallagher, Jr., Chairman, President and CEO. "I am very pleased to welcome Pete, Martha and their associates to our growing global team."
Alphabet ponders buying Nutanix for up to $9bn.
Alphabet, Google’s parent company, is interested in buying Nutanix, a cloud computing software company that sells what it calls hyper-converged infrastructure appliances and software-defined storage, in a deal valued at up to $9bn.
A potential acquisition could benefit Nutanix, as the company has been witnessing sales slowdown due to salesforce-related issues and a transition to a subscription model.
Mirae-led consortium to buy Anbang's US hotel portfolio. (RE)
A consortium led by South Korea’s Mirae Asset Global Investments agreed to buy a portfolio of 15 US hotels from China’s Anbang Insurance Group for around KRW6.7tn ($4.5bn).
The portfolio includes the Westin St. Francis in San Francisco, the Loews Santa Monica Beach Hotel, the JW Marriott Essex House in New York and the Four Seasons in Jackson Hole, Wyoming.
SoftBank looking to invest in Latin America venture capital funds. (FS)
SoftBank is in talks with venture capital firms in Latin America to invest in their funds, a move likely to speed up spending of a $5bn regional venture capital fund. At least two venture capital investors have already received SoftBank resources: Brazilian firm Valor Capital and Argentina’s Kaszek Ventures, which recently announced it had raised $600m in fresh capital and has invested in 70 Latin American startups.
Hong Kong Exchanges and Clearing, the Hong Kong stock exchange, made a £32bn ($39.5bn) bid to acquire the London Stock Exchange Group. Hong Kong Exchanges and Clearing tabled a proposal to the LSE board that stipulates its offer will only proceed if the deal for Refinitiv is terminated or voted down by shareholders. Under the terms of the deal, LSEG shareholders would receive 2,045 pence in cash and 2.495 newly issued HKEX shares per share, representing a premium of 22.9% to the closing share price of 6,804 pence per LSEG share on 10 September 2019.
Laura Cha, Chairman of HKEX, said: "We believe a combination of HKEX and LSEG represents a highly compelling strategic opportunity to create a global market infrastructure group, bringing together the largest and most significant financial centers in Asia and Europe. Following early engagement with LSEG, we look forward to working in detail with the LSEG Board to demonstrate that this transaction is in the best interests of all stakeholders, investors and both businesses."
Moelis & Co and Headland Consultancy are advising Hong Kong Exchanges and Clearing.
Latour Capital and Societe Generale Assurances acquired Primonial, a French mass-market wealth management company, from Bridgepoint and Arkea. Financial terms were not disclosed.
Vincent-Gael Baudet, partner of Bridgepoint: “We are very pleased to welcome new investors around the table, and thus to give Primonial the opportunity to contribute to a new dynamic. After two years of strong development, this new configuration will provide the Group with all necessary resources to continue to accelerate its international expansion and to multiply operating synergies between players in the sector. We want to support Primonial's management in this new phase."
BCG, Willkie Farr & Gallagher and KPMG advised Latour Capital. Rothschild & Co, JP Morgan, Frieh Associes, Gide, Mayer Brown, Oliver Wyman and EY advised the sellers.
Cellnex, one of the main operators of wireless telecommunications and broadcasting infrastructures in Europe, acquired Cignal, the Irish based independent telecommunications Infrastructure operator, from InfraVia Capital Partners for €210m ($232m).
“With Cignal, we are not only integrating the leading independent telecommunications infrastructure operator in Ireland with a professional and experienced management team; we are also committing to consistent growth in Europe, incorporating a seventh market - which naturally extends the current geographical coverage of the six countries in which we already operate -, and in which we will work with customers to whom we already offer service in other countries, thereby strengthening our long-term collaborative relationship”, commented Tobias Martínez, CEO of Cellnex.
Accenture, a multinational professional services company that provides services in strategy, consulting, digital, technology and operations, acquired Spain-based Pragsis Bidoop, a company with strong expertise in big data, AI and advanced analytics. Financial terms were not disclosed.
“Accenture Applied Intelligence is experiencing strong demand and we are laser-focused on equipping our teams with the right blend of talent and technical skills to guide clients on their AI journey,” said Athina Kanioura, chief analytics officer and global lead for Applied Intelligence at Accenture. “As we continue to grow the business, the Pragsis Bidoop team will play a critical role in the European market and beyond.”
ECI Partners-backed Make It Cheaper acquired Think Business Finance, a fintech-driven commercial lending specialist for UK SMEs. Financial terms were not disclosed.
MIC CEO Paul Galligan said: “At MIC we are building the leading platform for businesses to lower their costs on all their business essentials. Whether it’s energy, broadband or insurance, switching is a proven way of lowering bills. By partnering with Think Business Finance, we can now offer our customers even more ways to save time and money. This is our fourth bolt-on since partnering with ECI and we look forward to expanding our offering as we continue to grow the business.”
CPP Group, a business selling insurance products, acquired Business & Domestic Insurance Services, one of the largest providers of added value insurance products in the UK. Financial terms were not disclosed.
Commenting on the acquisition, Jason Walsh CEO of CPP said: "I am delighted to announce this acquisition which confirms our strategic focus on rebuilding our presence in the UK market. B&D is a market leader in the ancillary product field, with an array of long-standing partner relationships and a great range of innovative products. We look forward to building the business further by combining CPP's technology capabilities with Chris and Linda's proven product expertise."
Hydro, a Norwegian aluminum and renewable energy company, headquartered in Oslo, sold Hydro Extrusion, which operates a Romanian extrusion plant, to Hammerer Aluminium Industries, an aluminum producer. Financial terms were not disclosed.
The decision to sell Hydro Extrusion is part of the overall review in Extruded Solutions, aiming to optimize and streamline the portfolio.
Telefonica Germany looking to sell more towers to Telxius.
Telefonica Germany said it is considering the sale of additional parts of its passive mobile communications infrastructure portfolio. A potential buyer of the assets could be Telxius, the infrastructure arm of parent company Telefonica.
Telefonica said current valuations for structural network infrastructure are attractive and a sale can improve its financial flexibility. It sees a strong demand in the capital market for passive mobile communications infrastructure.
Naspers' Prosus market debut created a €120bn tech giant.
FT reported that South Africa’s Naspers created a €120bn ($132.5bn) European tech giant as shares in a Dutch listing of its global internet assets, including a significant stake in China’s Tencent, soared on debut. Prosus, a company that will house Naspers’ 31% shareholding in Tencent among other investments, opened on the Amsterdam bourse on Wednesday.
By valuing Prosus slightly higher than the Tencent stake’s value, the listing has instantly made it Europe’s largest consumer internet company and tackled a valuation quandary for Naspers.
Carrefour denies desire to bid for Casino Group.
Carrefour, a French multinational retailer, denied reports saying that it was examining a potential bid for debt-laden Casino, a French mass-retail group.
“There is no offer, or any draft of an offer, on the table,” a spokeswoman for Carrefour said.
Saudi Aramco hires nine banks for its IPO.
Saudi Aramco has hired nine banks as joint global coordinators to lead its planned initial public offering, slated to be the world’s largest. The banks are JP Morgan, Morgan Stanley, Saudi Arabia’s National Commercial Bank, Bank of America Merrill Lynch, Goldman Sachs, Credit Suisse, Citigroup, HSBC and Saudi Arabia’s Samba Financial Group. JP Morgan will lead the IPO.
Ferretti raised $276m in preparation for IPO. (FS)
Italy’s Ferretti, a company headquartered in Forlì which specializes in the design, construction and sale of luxury motor yachts, signed three deals to increase its capital by $276m as it prepares for a potential stock listing on the Milan bourse later this year.
The IPO is planned for October. Ferretti could list a 30-35% stake.
Icon Group, Australia's largest dedicated provider of cancer care with a growing reach into New Zealand and Asia, acquired SunTech Medical Group, Hong Kong’s oncology-focused group. Financial terms were not disclosed.
Mark Middleton, CEO of Icon Group said: “Hong Kong’s cancer spend is expected to nearly double from HKD$13bn ($1.6bn) to over HKD$24bn ($3.1bn) by 2026 due to an aging population and increase in medical tourism from mainland China. We see an opportunity to complement existing cancer care providers by increasing capacity in the market to meet this growing demand. As such, we have sought out a partner who is equally committed to providing the very best services in this area and we have found this in SunTech Medical Group.”
Boyu Capital, a Hong Kong-based private equity firm, invested $300m in CJIA Apartments Group, a Chinese rental apartment operator. Alibaba-affiliated Yunfeng Capital, Huazhu Hotels Group, and CCB International were also involved in the transaction.
CJIA, which operates 20k apartments across China, will be using the fresh cash to fuel urban properties, branding, channels expansion, and technology. The company has raised $50m in Pre-Series A round of funding from Huazhu and IDG Capital.
Temasek and KKR competing to buy a stake in hospital unit of Metro Pacific Investments. (FS)
Singapore state investor Temasek Holdings and buyout firm KKR are among the suitors who have advanced to the second round of an auction to buy into the hospital unit of Metro Pacific Investments Corp, Reuters reported. The unit, which operates 14 hospitals, many of which are among the largest and most modern in the Philippines, had attracted interest from more than a dozen investors.
Metro Pacific aims to sell a minority stake in its unit at a valuation of up to $2.5bn.
Grab looking to overtake Gojek in payments market via merger between OVO and DANA.
Grab, a Singaporean transportation network company offering services that include peer-to-peer ridesharing, ride service hailing and food deliveries, is looking to overtake Gojek in a deal, which would merge OVO, an Indonesian digital payments firm in which it owns shares, with an Ant Financial-backed local peer DANA.
The agreement could help OVO-DANA dominate Gojek in Indonesia’s online payments market. OVO and Gojek have been vying for the top spot in payments since 2018, with DANA not far behind.
CVC Capital and Carlyle to be shortlisted for Piramal, TPG stake in Shriram Capital. (FS)
CVC Capital Partners and Carlyle could make the shortlist of candidates for Piramal Enterprises’s and TPG’s 30% stake in Shriram Capital. Advent International, which was also in the running, invested in another non-banking financial company and may not acquire the stake in the Chennai-based Shriram.
Yes Bank nears stake sale to boost capital.
Yes Bank, India's fourth-largest private sector bank, is close to securing a deal to sell a minority stake to a global technology company to help boost its capital.
CEO Ravneet Gill said the stake sale was initially likely to be less than 10% initially but could rise, describing the buyer as one of the world’s top three technology companies that had not previously invested in a bank. He did not name the investor.
Byton looks to close its $500m Series C round this summer. (FS)
Byton, a Chinese all-electric vehicle automotive brand, is looking to close its $500m Series C round this summer. The deal is led by FAW, a leading Chinese car manufacturer, and an industry investment fund under the Nanjing government.
Zhuan Zhuan announced a $300m Series B round. (FS)
58com's Zhuan Zhuan, an online used goods trading platform, entered into definitive agreements with a group of investors for its Series B round of financing. The total amount to be invested into Zhuan Zhuan is approximately $300m. 58com and Tencent, as the existing investors of Zhuan Zhuan, also took part in this round. 58com will remain as the majority shareholder of Zhuan Zhuan following the transaction.
The transaction is expected to close in the fourth quarter of 2019 and is subject to certain customary closing conditions.
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