AMERICAS
Ligand Pharmaceuticals, a biopharmaceutical company located in San Diego, agreed to acquire Pfenex, a development and licensing biotechnology company, for $516m.
"Pfenex is an ideal strategic, business and cultural fit with Ligand. The acquisition holds potential to have a significantly positive scientific and financial impact on our business in the short and long term, similar to how our Captisol and OmniAb acquisitions have played out. Pfenex will add an established, proven protein expression platform to Ligand that is highly complementary to our essential, proprietary drug discovery and formulation technologies. We are confident we will be able to quickly and efficiently grow the Pfenex business, along with our core existing technologies. It has been a very positive experience working with the Pfenex executive leadership and senior scientists while we put this deal together. We look forward to welcoming the talented Pfenex team to Ligand," John Higgins, Ligand CEO.
Pfenex is advised by William Blair & Co and Wilson Sonsini Goodrich & Rosati. Ligand is advised by Barclays, Latham & Watkins and LHA Investor Relations.
Barings BDC, a publicly traded, externally managed investment company, agreed to acquire MVC Capital, a business development company traded on the New York Stock Exchange, for $178m.
"We are pleased to merge with Barings BDC as we believe that the combination of the complementary portfolios together forming a larger-scale BDC with increased investment capacity and portfolio diversification will offer all shareholders a strong platform for long-term growth. MVC has made significant progress in transitioning to a yield-focused BDC, building its net operating income over the past few years. Our success makes this an opportune time to enjoy greater scale, cost synergies and continued shareholder alignment," Michael T. Tokarz, MVC Capital Chairman and Portfolio Manager.
MVC Capital is advised by JMP Securities, Kramer Levin Naftalis & Frankel and KCSA Strategic Communications. Barings BDC is advised by JP Morgan and Dechert.
Genasys, a provider of critical communications systems and solutions, agreed to acquire Amika Mobile, a Canada-based enterprise software provider of critical event situational awareness, communication and control products. Financial terms were not disclosed.
"Combining our technology and product offerings and leveraging Amika Mobile's customer base and the synergies of our engineering teams better positions Genasys to fully address and successfully compete in several large vertical markets. The combined suite of critical communications capabilities is expected to accelerate our software business growth. Our enhanced platform empowers companies, governments, communities, educational and medical institutions to improve safety and security for employees, residents, students and staff, and alleviate potential threats from pandemics, severe weather, natural disasters and other crisis situations," Richard S. Danforth, Genasys CEO.
Amika Mobile is advised by LaBarge Weinstein. Genasys is advised by Dentons, Durham Jones & Pinegar, Darrow Associates and Viewstream.
Software Acquisition Group, a special purpose acquisition company, agreed to merge with CuriosityStream, a factual media and entertainment company, in a $331m deal.
"We are proud to combine with CuriosityStream. CuriosityStream is the clear leader in the high growth factual media streaming market. We look forward to working with such a strong management team led by industry legend John Hendricks and his business partner of many years, Clint Stinchcomb, as they continue to drive CuriosityStream adoption across global markets. I am confident our investors will share my total respect for their vision and leadership," Jonathan Huberman, Software Acquisition Group Chairman and CEO.
CuriosityStream is advised by Stifel and Arnold & Porter Kaye Scholer. Software Acquisition Group is advised by B. Riley FBR and Kirkland & Ellis.
Clayton, Dubilier & Rice to acquire the White Cap unit of HD Supply for $2.9bn.
Private equity firm Clayton, Dubilier & Rice agreed to acquire the White Cap unit, a distributor of specialty concrete and construction products and services, from HD Supply, an industrial distributor, for $2.9bn.
"After a detailed evaluation, we determined that a sale of our White Cap business unit to Clayton, Dubilier & Rice is in the best interests of our HD Supply stockholders. This transaction will enable the HD Supply leadership team to intensify our focus on Facilities Maintenance, while also returning capital to our HD Supply shareholders," Joe DeAngelo, HD Supply Chairman, President and CEO.
HD Supply is advised by Goldman Sachs and Jones Day. Goldman Sachs is advised by Sullivan & Cromwell.
Align Capital Partners, a growth-oriented private equity firm, completed the acquisition of Electronic Transaction Consultants, a technology solutions provider for the mobility and transportation industries, from Atlantia, a holding company active in the infrastructure sector. Financial terms were not disclosed.
"Today marks a tremendous milestone for our company, our employees, and our customers. We've already established ourselves as a revolutionary leader in the areas where tolling and mobility intersect. With ACP as our financial and strategic partner, we will take ETC to the next level, providing unparalleled client service and even more industry-leading solutions to improve mobility for our fellow citizens," Bret Kidd, ETC CEO.
ETC was advised by JD Merit. Align Capital Partners was advised by Capstone Headwaters and McGuireWoods.
Creative Planning completed the acquisition of Lenox Wealth Management.
Creative Planning, an independent wealth management firm and registered investment advisor, completed the acquisition of Lenox Wealth Management, a wealth and asset management firm located in Cincinnati. Financial terms were not disclosed.
"John Lame and the Lenox team have built an independent wealth management firm that mirrors the Creative Planning values of independence and a financial planning led investment approach. We welcome John and his team to the Creative Planning family," Peter Mallouk, Creative Planning CEO.
Lenox was advised by Park Sutton Advisors and Katz Teller Brant & Hild.
FINEOS, a software development company, agreed to acquire Limelight Health, a provider of quoting, rating and underwriting solutions, for $75m.
"We're delighted to welcome the Limelight Health team and their clients to FINEOS, and we look forward to accelerating our combined growth for the benefit of all of our clients, people and partners. This acquisition delivers more product options for our clients as they accelerate their digital transformations and reduce their reliance on legacy core systems. Together we are over 1k people with our total focus on helping life, accident, and health carriers to serve their clients and customers with superior insurance technology," Michael Kelly, FINEOS CEO.
American Express in talks to acquire Softbank-backed Kabbage. (FS)
American Express is in advanced discussions to buy online small-business lender Kabbage in an all-cash deal,
Reuters reported.
The deal could value the Softbank Group-backed lender at as much as $850m, including retention payments. An agreement could be announced as soon as this month.
Canaccord deal may hinge on the value of UK wealth unit. (FS)
The board of Canaccord Genuity Group may prefer a deal involving its UK wealth management unit to a sale of the entire company. Canaccord, which is Canada’s largest non-bank brokerage, is exploring strategic options including a sale of all or part of its business,
Bloomberg reported.
The move comes after activist investor Eric Rosenfeld and former Canadian Imperial Bank of Commerce executive Gillian Denham joined its board of directors.
Clearlake Capital's new plus fund is expected to surpass $1bn. (FS)
WSJ reported that Clearlake Capital Group is expected to surpass its $1bn target for a new fund being raised to support investments through the firm's other funds.
The Santa Monica-based firm's Clearlake Flagship Plus Partners fund will be used to supplement large investments and to cash in on tactical opportunities created from the economic effects of the coronavirus pandemic.
Industry Ventures raised $180m in a direct venture fund. (FS)
Industry Ventures, an investment firm focused on the venture capital market, has held the final closing of Industry Ventures Direct II, with total commitments of $180m.
The fund will continue the same strategy of making direct investments into early- and mid-stage technology companies alongside 80 seed and early-stage fund managers backed by the firm.
"The strong support from our Limited Partners, particularly during Covid lockdowns, underscores the compelling opportunity to invest in digital transformation, which has accelerated as a result of the global pandemic," Hans Swildens, Industry Ventures CEO and Founder.
EMEA
Private equity firm Arsenal Capital Management completed the acquisition of Cello Health, a healthcare and consumer strategic marketing group, for $237m.
"The Cello directors are confident that, as part of the Value Demonstration platform with Arsenal's backing, Cello will be optimally positioned to accelerate its current strategy and capitalize on a broader range of opportunities. This transaction will ensure the continued success of the business for its employees and clients," Mark Scott, Cello Health CEO.
Cello Health was advised by Cenkos Securities, Greenhill & Co, Marriott Harrison and Buchanan. Arsenal was advised by Rothschild & Co, Ropes & Gray and FTI Consulting. Rothschild & Co was advised by Ashurst.
Bayer, a German multinational pharmaceutical and life sciences company, agreed to acquire KaNDy Therapeutics, a UK clinical-stage biotech company, for $425m. Closing is subject to customary conditions, in particular anti-trust approval, and is expected by September 2020.
"Bayer has been our preferred partner due to its leading position in the area of women's healthcare. We believe that under the ownership of Bayer, this potential first in class medicine can be optimally developed to become an important non-hormonal treatment option for women suffering vasomotor symptoms due to menopause," Mary Kerr, KaNDy Therapeutics Co-Founder and CEO.
KaNDy is advised by Goldman Sachs, Goodwin Procter and Consilium Strategic Communications. Bayer is advised by Morgan Stanley and Linklaters.
DIF Capital Partners, an independent infrastructure fund manager, agreed to acquire a 49% stake in Touax Rail, a French operational rail equipment leasing company, for $97m.
"We are very delighted to have DIF Capital Partners as partner to accompany the development of our long term leasing activities of freight wagons in Europe & Asia. With this transaction, Touax Rail Limited will strengthen its position in the market," Fabrice Walewski, Touax General Partner and CEO.
Touax is advised by Actifin.
Stormlight Holdings, a major American-based private investment firm, completed an investment in Swansea City AFC, a Welsh professional football club based in Swansea. Financial terms were not disclosed.
"The team has developed such a distinctive and engaging style on the pitch, and I have a deep appreciation for its fan culture and the club's commitment to its supporters. By joining the club's board, it will allow me to become actively involved. It's something I am passionate about and, as such, I will be applying a lot of focus on the football club going forward," Jake Silverstein, Stormlight Holding CEO.
Stormlight Holdings was advised by Latham & Watkins.
Google, Qualcomm and Nokia completed a $230m investment in HMD Global.
Google, Qualcomm and Nokia completed a $230m investment in HMD Global, the maker of Nokia-branded smartphones.
"Since the very beginning, HMD Global has worked to build strong bonds with our strategic partners. This additional investment further validates our long-term business strategy and is evidence of our collective mission to make modern mobile technology accessible to everyone. Security, reliability and dependability are the cornerstones of our offering and we will ensure we are using these funds to deliver the best experiences people have come to expect from a Nokia phone. As the only major European smartphone manufacturer, we remain true to our Finnish roots and the hallmarks that our customers trust Nokia phones to be synonymous with. With the support of our heavyweight partners, I am truly excited for the next chapter of Nokia phones," Florian Seiche, HMD Global CEO.
Equity Group Holdings, a financial services holding company, will pay $95m instead of $105m for a 66.53% stake in Banque Commerciale Du Congo, a commercial bank, because of the fallout from the coronavirus pandemic, Bloomberg reported.
Both parties have "taken into account the events that have taken place since the entry into the agreement and particularly that the Covid-19 pandemic is having adverse effects on the economies of the world and the economy of the Democratic Republic of Congo," Equity Group.
BID Equity, a private equity firm in Hamburg, completed the acquisition of a majority stake in Infopark Group, the manufacturer of the web-based Content Management Software Scrivito. Financial terms were not disclosed.
BID Equity's investment will enable the Berlin-based vendor to boost its international expansion, enhance the product portfolio, and strengthen its partner channel.
Carlyle considers divesting Logoplaste for $1.2bn. (FS)
Carlyle Group is considering options for Logoplaste, including a potential sale that could value the Portuguese plastic-packaging firm at more than $1.2bn,
Bloomberg reported.
The US buyout firm has picked Barclays and Goldman Sachs Group to advise on its review of the business. A potential sale process could begin after the summer and would likely draw interest from rival packaging firms and other private equity funds.
Abu Dhabi looks for local investors for $21bn pipeline.
Abu Dhabi is considering bringing local investors into its natural-gas pipeline network, just months after raising cash from foreign funds,
Bloomberg reported.
State-owned Abu Dhabi National Oil is discussing moving its 51% holding in the pipelines into a special-purpose vehicle. It would then sell about 20% of the vehicle to one or more local funds, giving them an indirect interest in the underlying assets.
“Since embarking on our co-investment and partnership strategy, Adnoc continues to attract world-class partners and leading institutional investors. The recent gas pipeline infrastructure transaction offered an attractive and stable investment proposition that continues to garner significant interest from the business and investment community,” Adnoc.
Del Vecchio considers acquiring a 14% stake in Mediobanca.
Leonardo Del Vecchio, an Italian eyewear tycoon, is planning to raise his stake in financial group Mediobanca to 13-14% after he receives approval from the European Central Bank later this month,
Reuters reported.
Del Vecchio sought ECB clearance in June to lift his Mediobanca holding of 9.9% above the 10% threshold and up to 20%, in a move that raised the prospect of far-reaching changes in Italy’s financial landscape. The ECB’s decision is expected by the end of August.
Blackstone backs Fahad Roumani's new hedge fund. (FS)
Blackstone Group is providing the initial investment for a hedge fund run by former JP Morgan Asset Management money manager Fahad Roumani.
Roumani’s Palm Lane Capital has received $150m from Blackstone. The London-based credit hedge fund is expected to start with the seed capital and money from other investors next month,
Reuters reported.
APAC
Equinix, the global interconnection and data centre company, agreed to acquire the Indian operations of GPX Global Systems, a provider of carrier-neutral data centre services, for $161m.
"India represents the second-largest internet user base in the world, with consumption expected to grow with the continued advancement of internet infrastructure, smartphone ownership and the penetration of 4G and 5G. Extending Platform Equinix to India has long been a strategic objective for Equinix and we are excited that the GPX transaction will allow us to capitalize on this market opportunity and meet the needs of our customers as they seek to expand their digital businesses," Charles Meyers, Equinix President and CEO.
GPX Global Systems is advised by KPMG and Kanga & Company. Equinix is advised by Deloitte, JP Morgan and Cyril Amarchand Mangaldas.
Shares of Keppel tumbled to close at their lowest level in more than four years after a unit of investor Temasek Holdings scrapped its bid to take control of the oil-rig builder,
Bloomberg reported.
Keppel's stock ended 11% lower after slipping nearly 13%, the most intraday since November 2008. The firm's dollar bonds due 2025 declined the most since they were sold in May.
DFS Group, a Hong Kong-based travel retailer of luxury products, completed the acquisition of a 22% stake in Shenzhen Duty Free Ecommerce, an operator of duty-free stores. Financial terms were not disclosed.
"Our future is highly digital and very focused on China. Our customers associate shopping at DFS with a truly experiential level of luxury, and we are excited to mirror that experience for them digitally — pre-trip, in-market, in-store and once they return home. The opportunities are endless," DFS Spokesperson.
ICICI Lombard in talks to acquire Bharti AXA.
ICICI Lombard General Insurance, India’s largest private non-life insurer, is in advanced discussions to acquire Bharti AXA General Insurance and merge the insurance assets of the two companies. Both companies are negotiating the valuation of Bharti AXA,
DealStreetAsia reported.
The acquisition plans come at a time when the general insurance industry is reeling due to the disruption caused by the Covid-19 pandemic and the economic slowdown.
ICICI Bank launches $2bn share divestment.
Private sector lender ICICI Bank launched an institutional share sale offering that will see the bank raise approximately $2bn,
DealStreetAsia reported.
Investment banks Bank of America, Morgan Stanley, BNP Paribas, ICICI Securities and others are advising ICICI Bank on the share sale. Most lending institutions, including banks and NBFCs, have tapped the equity markets or are looking to do so in the coming weeks, as they look to bolster their balance sheets against disruptions caused by the Covid-19 pandemic as well as to take advantage of opportunities arising out of the pandemic.
Tencent-backed Waterdrop raised funds at $2bn value. (FS)
Waterdrop has raised about $200m to bankroll its expansion in healthcare crowdfunding,
Bloomberg reported.
The insurance tech startup, backed by Tencent Holdings, raised the money at a valuation of around $2bn.
Guoquan weights an IPO. (FS)
Guoquan, a Chinese hotpot ingredients supplier, is weighing an IPO as soon as next year,
Bloomberg reported.
IDG Capital, one of the company’s major backers, has held preliminary discussions with banks on the potential offering, which could raise $400-$500m. The company has not decided on a listing venue, but Hong Kong is among the destinations being considered.
SK Automation raised $105m IPO.
Shanghai SK Automation Technology, a Chinese developer of intelligent manufacturing equipment, has raised $105m in an IPO on the country’s Nasdaq-style STAR Market,
DealStreetAsia reported.
SK Automation, whose initial price-to-earnings ratio stood at 47.74, offered 18.91m shares at $5.58 apiece. The Shanghai-based company booked revenues of nearly $52m and a net profit of about $10m in 2019.
