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AMERICAS
Blackstone Infrastructure Partners, an active investor across sectors, including energy infrastructure, transportation, digital infrastructure, completed the acquisition of a 19.9% stake in NIPSCO, a gas company, from NiSource, a utility company, for $2.15bn.
"We're pleased to reach this agreement at a compelling valuation following a robust and competitive process and are confident that Blackstone is the right partner for NIPSCO and NiSource going forward, given its global footprint and deep infrastructure experience, including in renewable development and procurement. With this transaction, our commitment to Indiana remains unchanged, and we will be able to drive further sustainable growth for our stakeholders. This financing transaction will have no impact on NIPSCO's current strategic direction or on our commitment to our gas and electric customers in Indiana," Lloyd Yates, NiSource President and CEO.
Blackstone was advised by Barclays, Latham & Watkins (led by David Allinson) and Paul Weiss Rifkind Wharton & Garrison (led by Ravi Purohit). Debt financing was provided by Sumitomo Mitsui Banking Corp. Debt providers were advised by Milbank (led by Marcus Dougherty). NiSource was advised by Goldman Sachs, Lazard, McGuireWoods and Joele Frank (led by Andrew Brimmer).
Mach Natural Resources, a drilling oil and gas wells company, completed the acquisition of Oklahoma oil and gas assets from EnCap Investments, a provider of growth capital to independent energy companies, for $815m.
Mach Natural Resources expects to add 1 rig on the newly acquired assets in addition to its current 2 rig development program while remaining under a 50% reinvestment rate. Paloma is currently running 1 rig in Grady County with 6 additional wells expected to be completed.
Mach Natural Resources was advised by Kirkland & Ellis and Latham & Watkins. Debt financing was provided by Chambers Energy Capital, EOC Partners, Farallon Capital, Macquarie Group and Mercuria Investments. EnCap Investments was advised by RBC Capital Markets and Vinson & Elkins (led by Bryan Loocke).
TG Natural Resources, a natural gas supplier company, completed the acquisition of Rockcliff Energy II, an upstream natural gas company, from Quantum Energy Partners, a private equity firm, for $2.7bn.
"With this acquisition, TG Natural Resources is committed to leadership in the Haynesville Play, one of the world's most important sources of clean natural gas. We will have nearly a century in rig-years of gross operated and non-operated drilling inventory in the Haynesville, not counting the important plays in the Bossier and Cotton Valley. TGNR has a strong track record of investing across commodity cycles and this acquisition positions the company for long-term success," Craig Jarchow, TGNR CEO.
Rockcliff Energy was advised by JP Morgan, Vinson & Elkins and Joele Frank. TG Natural was advised by Bank of America, Goldman Sachs, Greenhill & Co, Kirkland & Ellis (led by Chad Smith and Will Eiland) and Pierpont Communications.
AUA Private Equity Partners, a private equity investment firm, agreed to acquire Weaver, a fourth-generation family-owned manufacturer of popcorn and snacking products. Financial terms were not disclosed.
“We see tremendous opportunity to help Weaver Popcorn Manufacturing expand, and the Company possesses all of the necessary attributes to accelerate its success: an excellent management team, an engaged and aligned family-owner, and a flexible capital structure. Our plan is to make this a best-in-class partner for customers and all their snacking needs,” David Benyaminy, AUA Private Equity Partner.
AUA Private Equity Partners is advised by Boston Consulting Group, Proterra Investment Partners, Grant Thornton, McDermott Will & Emery, and Laurel Strategies (led by Michael Melamed). Weaver is advised by Ernst & Young and Taft Stettinius & Hollister.
Golden Gate Capital, a private equity firm, and Gil Grattan, Founder and CEO of Virginia Green, offered to acquire a minority stake in Virginia Green, a provider of lawn care. Financial terms were not disclosed.
"Our rapid growth is a testament to the comprehensive lawn care offering and tremendous team we have built that provide superior results and unmatched customer satisfaction. I am pleased to be collaborating with Golden Gate Capital and believe their expertise in scaling industry-leading platforms makes them the perfect partner to accelerate the growth of our business in Virginia and beyond," Gil Grattan, Virginia Green Founder and CEO.
Virginia Green is advised by Harris Williams & Co and Williams Mullen. Golden Gate Capital is advised by TD Cowen, Paul Weiss Rifkind Wharton & Garrison (led by Jeremy M. Veit), Ropes & Gray and FGS Global.
Williams, an energy infrastructure company that provides transport, storage, and delivery solutions, completed the acquisition of a portfolio of natural gas storage assets from Hartree Partners, a global merchant commodities firm, for $1.95bn.
“Demand for natural gas has greatly outpaced natural gas storage capacity since 2010, demonstrating the intrinsic value this well-connected and strategically located Gulf Coast storage portfolio brings to our transportation network as we serve growing demand driven by LNG exports and power generation,” Alan Armstrong, Williams President and CEO.
Williams was advised by Bank of America and Davis Polk & Wardwell (led by Oliver H. Smith). Hartree Partners was advised by Evercore, Wells Fargo Securities, and Milbank.
Curi Capital, an investment advisor arm of Curi company, completed the merger with RMB Capital, an independent, employee-owned firm that offers advisory services and investment solutions. Financial terms were not disclosed.
“The completion of the Curi Capital and RMB Capital merger is an energizing way to kick off 2024. The past 12 months have been truly transformational for our company, marked by strategic decisions and investments that have strengthened our ability to serve our clients, particularly our physician base and the broader healthcare community, in more ways and in more geographies than ever before,” Jason Sandner, Curi CEO.
RMB Capital was advised by William Blair & Co, Vedder Price, and Greenhouse Partners (led by Shawn Malayter). Curi Capital was advised by Piper Sandler and Kilpatrick Townsend.
TJC, a private equity fund, completed the acquisition of TIDI Products, a manufacturer, marketer and distributor of a diversified portfolio of medical products focused on supporting caregivers and protecting patients, from RoundTable Healthcare Partners, a private equity firm focused exclusively on the healthcare industry. Financial terms were not disclosed.
"On behalf of RoundTable, I would like to thank the outstanding management team and dedicated employees of TIDI for their tireless efforts. TIDI plays an important role in ensuring clinicians have the solutions they need to drive improved patient outcomes. We are confident TJC will continue to support these efforts and will be an excellent partner for the Company and its employees going forward," Joe Damico, RoundTable Founding Partner.
TIDI was advised by Moelis & Co, Solomon Partners and Sidley Austin (led by Seth H. Katz). TJC was advised by Cain Brothers and Winston & Strawn.
KKR, a global investment firm that manages multiple alternative asset classes, completed the acquisition of the remaining 37% stake in Global Atlantic, a provider of a broad range of retirement, life and reinsurance products, for $2.7bn.
“KKR and Global Atlantic are a powerful combination. Our shared culture and commitment to excellence continues to enhance our ability to think – and invest – longer-term and deliver compelling solutions for our clients and policyholders. We are thrilled for what lies ahead as a wholly-owned subsidiary of KKR,” Allan Levine, Global Atlantic Co-Founder, Chairman & CEO.
Franklin Templeton, a private equity firm, completed the acquisition of Putnam Investments, an asset manager, from Great-West, an international financial services company, for $925m.
“With complementary capabilities and a track record of strong investment performance, Putnam expands our ability to offer more choice to more clients. The addition of Putnam accelerates our growth in the retirement sector by increasing our defined contribution AUM and expands our insurance assets, further strengthening our presence in these key market segments to better serve all our clients. Putnam also shares our client-focused culture and emphasis on delivering strong investment results. We’re delighted to welcome the talented team at Putnam to Franklin Templeton and are pleased to have Great-West as an investor,” Jenny Johnson, Franklin Templeton President and CEO.
Leeds Equity Partners, a private equity firm focused on investments in the knowledge industries, completed the acquisition of Big Blue Marble Academy, an operator of 28 early-education schools in five states. Financial terms were not disclosed.
"Leeds Equity has an unsurpassed track record of success in partnering with and supporting early childhood education providers. Our team is thrilled to have the dedication and expertise our new partner brings as we continue to expand our reach and provide premier learning experiences to thousands of students across the United States," Jeff Wahl, Big Blue Marble Academy CEO.
Leeds Equity Partners was advised by Latham & Watkins. Big Blue Marble Academy was advised by Robert W Baird and William Blair & Co.
Platinum Equity, a private equity firm, agreed to acquire Horizon Organic, the largest USDA-certified organic dairy brand in the world, from Danone, a French multinational food-products corporation. Financial terms were not disclosed.
"Horizon Organic is an iconic name in dairy that is well recognized and beloved by consumers. The brand has earned a reputation for quality and innovation that is unmatched in the industry. We appreciate Danone's confidence in our ability to build on that legacy and support Horizon Organic's growth as a standalone company," Louis Samson, Platinum Equity Co-President.
Platinum Equity is advised by Alston & Bird and Morgan Lewis & Bockius.
Arcline Investment Management-backed DwyerOmega, a manufacturer and global provider of innovative sensors and instrumentation solutions, completed the acquisition of Miljoco, a designer, manufacturer, and distributor of a broad range of temperature and pressure measurement instruments, from Foundation Investment Partners, a private equity firm. Financial terms were not disclosed.
"Miljoco and Weiss have strong brand reputations in niche, specialized applications within their target markets. Miljoco's ability to provide diverse modifications through bespoke manufacturing processes has established it as a partner of choice for leading industrial companies, and we are excited to welcome Miljoco to the DwyerOmega family," Chuck Dubois, DwyerOmega CEO.
DwyerOmega was advised by Joele Frank (led by Tim Ragones).
Obra Capital, an asset management firm, completed the acquisition of Unified Life, a life and health insurance carrier. Financial terms were not disclosed.
“We are pleased to welcome the Unified team and the business and the platform they will continue to grow with Obra. Unified is a natural fit within our evolving and differentiated longevity strategy that is designed to balance longevity and mortality risk to provide investors with expected stable and resilient cash flows, lower overall portfolio volatility, and greater targeted absolute returns. We believe this is a unique offering that extends beyond traditional life settlement longevity investment approaches,” Blair Wallace, Obra Capital President and Chief Executive Officer.
Obra Capital was advised by Gagnier Communications (led by Dan Gagnier).
CDPQ, an institutional investor, agreed to acquire an additional 15% stake in Transportadora Associada de Gás, a gas pipelines operator, from ENGIE Brasil, a renewable energy company, for $639m.
"TAG has delivered strong performance since our initial investment about five years ago. Today's announcement is consistent with our infrastructure strategy: in this instance, reinvesting in a portfolio company with well-contracted assets, led by a seasoned management team, and in Brazil, a country where we intend to keep growing our portfolio in the next few years," Emmanuel Jaclot, CDPQ Executive Vice–President and Head of Infrastructure.
Capital Power, a private equity firm, completes acquisition of a 50.15% stake in Frederickson 1 Generating Station, a natural gas-fired combined-cycle generation facility, from Atlantic Power, an energy and utility company, for $98m.
"We are pleased to acquire this high-quality facility in the Pacific Northwest. Consistent with our mid-life natural gas strategy, this acquisition expands our portfolio of dispatchable assets in key markets that support the energy transition by providing reliable, affordable and flexible power while renewables grow and decarbonization solutions develop," Avik Dey, Capital Power President and CEO.
Voyager Interests, a private equity firm, completed the acquisition of Aegion Coating Services, a field joint coating service provider for pipelines globally company, from Aegion, a provider of infrastructure maintenance, rehabilitation and technology-enabled water solutions. Financial terms were not disclosed.
“This partnership with Voyager presents an exciting new chapter for ACS, where we have access to capital and a growth mindset that will enable us to provide an enhanced service proposition to our customers,” Bryan Kirchmer, ACS President.
Arlington Capital Partners, a private equity firm, completed the acquisition of Cadence Aerospace, Numet, AeroCision and Walbar to form Kinetic Engine Systems, a supplier of precision aero-engine components directly serving major aero-engine. Financial terms were not disclosed.
“The combination of these leading businesses and their corresponding product sets and manufacturing capabilities creates a balanced portfolio across customers, next generation platforms, end-markets and product types,” Scott Ransley, Kinetic CEO.
Ara Partners, a private equity firm, completed the acquisition of a majority stake in USD Clean Fuels, a developer of renewable energy logistics infrastructure. Financial terms were not disclosed.
“We have high conviction that the green molecules economy – whether it’s renewable fuel feedstocks or biofuels – offers disproportionate opportunity for returns and impact. The USDCF platform is particularly compelling because it combines a best-in-class management team with a portfolio of premiere terminal logistics projects that provide the ideal foundation for a durable and scalable infrastructure business," George Yong, Ara Partner and Co-Head of Infrastructure.
Fisher Investments and Advent say not in deal talks.
Fisher Investments and Advent International said they were not in deal talks after the Wall Street Journal said that Ken Fisher's money management company was in talks to be acquired by the US-based private equity firm, Reuters reported.
Advent is not buying Fisher Investments, Fisher also dismissed the Wall Street Journal report as "false" and said it was not in sale talks with anyone.
Cathie Wood buys Tesla shares just as Wall Street’s view dims.
Cathie Wood has started buying Tesla shares after selling them for most of last year. Her purchases come at a time when Wall Street’s outlook on the electric-vehicle maker is darkening rapidly, Bloomberg reported.
Funds operated by Wood’s firm Ark Investment Management have bought about 216k shares of the company over investments made on Dec. 20 and Jan. 3. Before the current buying streak, Ark had largely sold shares in the EV maker for three straight quarters.
Intel spins out AI software firm with backing from DigitalBridge.
Intel said it was forming a new independent company around its artificial intelligence software efforts with backing from digital-focused asset manager DigitalBridge Group and other investors, Reuters reported.
Intel executives would not comment on the value of the deal or whether it would retain a majority stake in the new venture, other than to say the firm would have an independent board of directors and the chipmaker would remain a shareholder.
Activist ValueAct backs Disney board slate with information-sharing deal.
Activist investor ValueAct reached a deal to back Walt Disney’s slate of board nominees at the coming 2024 shareholder meeting, bolstering the company’s position as it looks to fight off a proxy battle with rival activist Nelson Peltz, WSJ reported.
Disney signed a confidentiality agreement allowing it to share company information with shareholder ValueAct Capital Management and consult with the firm on strategic matters. The entertainment giant said that the arrangement allows the activist investment firm, which has been building up a stake in Disney, to consult the company through meetings with the board and management.
Fidelity’s X stake fell 72% in value since Musk buy.
Elon Musk’s X is now worth less than one-third of what the billionaire paid for the company formerly known as Twitter, Bloomberg reported.
The firm, which helped Musk complete his $44bn purchase, cut the value of its holding in X by 19% in its November portfolio update for the Blue Chip Growth Fund. It’s the latest in a series of markdowns by Fidelity since Musk concluded the acquisition of the social media platform in October 2022, as closely held X has struggled to hold on to advertisers and is weighed down by $13bn in debt.
AllianceBernstein obtains China mutual fund business licence.
US-based AllianceBernstein has obtained a license to run its wholly-owned mutual fund business in China, making it the latest foreign asset manager to tap China's $3.8tn mutual fund market, DealStreetAsia reported.
"AllianceBernstein will offer Chinese investors onshore investment products and solutions, and help them explore opportunities in China's domestic market," AllianceBernstein.
Banner Ridge raises $2.15bn for flagship secondary fund.
Banner Ridge Partners raised $2.15bn for a secondary fund that will buy stakes in existing funds that invest in distressed debt and special situations, Bloomberg reported.
That surpassed the firm's $1.4bn target, co-founder Anthony Cusano said in an interview, noting that higher interest rates and a lack of liquidity in the market are creating investment opportunities.
Palladium announces closing of $450m continuation vehicle.
Palladium Equity Partners announced the close of a $450m multi-asset continuation vehicle that has acquired interests in three assets – Sky Zone, Del Real Foods, and Jordan's Skinny Mixes – from Palladium Equity Partners IV, which closed on $1.14bn in 2014.
As part of the transaction, limited partners in Fund IV were provided the option to cash out of their interests in the assets, roll their interests into the continuation fund, or stay in Fund IV at the same terms. BlackRock's Secondaries & Liquidity Solutions team (on behalf of certain managed funds and accounts) acted as the lead investor in the transaction.
Tiger Global's Coleman regains control of venture unit after losses. (People)
Months before Scott Shleifer stepped down as head of Tiger Global Management's private investments, Chase Coleman had already begun to reclaim control of the firm's $34bn venture-capital arm, Bloomberg reported.
The founder sought more communication from Shleifer and his team and held meetings to discuss how to proceed after they plowed billions of dollars of client cash into hundreds of startups — just ahead of an industrywide slump. Coleman also spent this year engaging more with clients and founders of the firm's portfolio companies.
EMEA
Aurelius, an active alternative investment group, completed the acquisition of The Body Shop, a British cosmetics, skin care and perfume company, from Natura &Co, a Brazilian global personal care cosmetics group, for £207m ($264m).
"We are delighted to be undertaking this acquisition of an iconic British brand, which pioneered the cruelty-free and natural ingredient movement in the health and beauty market. We look forward to working with CEO Ian Bickley and his team to drive operational improvements and re-energise the business, and help to deliver the next chapter of success," Tristan Nagler, AURELIUS Partner.
Aurelius was advised by Jones Day (led by Liam Bonamy) and Dentons Global Advisors (led by Humza Vanderman). Natura was advised by Morgan Stanley, Cleary Gottlieb Steen & Hamilton (led by James E. Langston) and Brunswick Group.
Macquarie, a financial services group, completed the acquisition of a 50% stake in Enel Green Power Hellas, Enel's renewable subsidiary in Greece, from Enel, a manufacturer and distributor of electricity and gas, for $381m.
Following the transaction's closing, EGP and Macquarie Asset Management set up a joint venture to co-manage Enel Green Power Hellas' current renewable generation portfolio alongside continuing to develop its project pipeline.
NJJ Capital, a venture capital firm, agreed to acquire Lifecell, a mobile network operator, Global Bilgi, a customer relations management firm, and Ukrtower, a tower service provider, from Turkcell Iletisim Hizmetleri. Financial terms were not disclosed.
Turkcell shares rose 48% this year, closing the year at TRY56.10 ($2). The company reported a net income of TRY5.48bn ($185m) for the third quarter, beating analysts’ estimates, Bloomberg reported.
Bain is exploring €1bn sale of Centrient Pharma.
Bain Capital is exploring a sale of Centrient Pharmaceuticals, an antibodies manufacturer that could be valued at as much as €1bn ($1.1bn).
The private equity firm is working with Citigroup and Jefferies Financial Group on a possible divestment of Netherlands-based Centrient, Bloomberg reported.
Abu Dhabi's ADQ weighs bid for a stake in Dubai's largest office tower.
An Abu Dhabi-based wealth fund is considering joining a list of bidders vying for a minority stake in Dubai's largest office tower, seeking to grab a slice of one of the world's hottest commercial property markets, Bloomberg reported.
Owners Brookfield Asset Management and state-owned Investment Corp. of Dubai are looking to sell a stake of as much as 49%. They have drawn interest from bidders, including China Investment and Malaysia's KLCC.
Private credit helps PE peers by making deal financing portable.
Private equity firms, eager to sell debt-laden businesses, are finding private credit firms increasingly willing to keep outstanding loans intact, even for companies that may soon have new owners, Bloomberg reported.
The trend, known as portability, describes loans that remain essentially unchanged when a company gets new ownership. It carries rewards and risks for businesses and especially for lenders. Usually, a change of control would allow lenders to renegotiate terms to cover potential risks from a new parent, such as different plans for growth or profitability of a business.
APAC
Khazanah Nasional, a private equity firm, and CGC Digital, a fintech company, agreed to invest in Funding Societies, a Southeast Asia’s digital financing platform for small and medium-sized enterprises. Financial terms were not disclosed.
"The investment in Funding Societies reflects our commitment to fostering financial inclusion and bridging the funding gap, especially within the MSME community. Being the backbone of Malaysia's economy and contributing nearly half of the nation's employment, MSMEs are both critical and critically underserved. Hence, this investment aligns with our mission of contributing to nation-building and socioeconomic growth," Amirul Feisal Wan Zahir, Khazanah Nasional Managing Director.
Swiggy investor Invesco raises food delivery firm's valuation by 9% to $8.5bn.
Invesco has marked up the valuation of food and grocery delivery platform Swiggy by about 9% to $8.5bn in its books as of October 31, the US asset manager said in its filings made with the US Securities and Exchange Commission.
Invesco has also revised the valuation of fintech startup Pine Labs to $3.9bn from $4.1bn earlier. This was the second consecutive markup of Swiggy's valuation by the investor. It had raised the Bengaluru-based food delivery platform's valuation to $7.8bn as of July 31. Earlier in the year, Invesco had slashed the value of Swiggy in its books to $5.5bn.
State-owned insurer New China Life to build a $1.4bn fund for property investments.
New China Life Insurance is partnering with CICC Capital in the formation of a $1.4bn fund for investments in companies with real estate assets, as the state-owned life insurer joins an array of domestic peers bottom-fishing in the country's property market, DealStreetAsia reported.
Beijing-based New China Life intends to contribute $1.4bn to the fund as a limited partner. CICC Capital, an affiliate of China's top investment bank CICC, will invest about $141m and serve as the general partner. The fund, whose formation is still subject to regulatory approvals like fund filing, will mainly invest directly or indirectly in companies with assets of real estate.
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