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AMERICAS
Magellan Midstream Partners Chief Executive Aaron Milford said he is confident the pipeline operator's planned sale to larger peer ONEOK for $18.8bn will gain approval from its investors despite some opposition, Reuters reported.
Energy Income Partners, the fourth-largest unitholder in Magellan with a 3.1% stake, has said it intends to vote against the proposed deal, concerned about the loss of tax benefits.
Adobe's $20bn bid for cloud-based designer platform Figma will face a full-scale EU antitrust investigation following EU regulators' preliminary review, Reuters reported.
The move underscores antitrust watchdogs' wariness of tech deals where bigger companies may acquire rival start-ups to shut them down.
The Committee on Foreign Investment in the US is reviewing Mubadala Investment's planned takeover of Fortress Investment Group amid concerns over the United Arab Emirates' ties to China, FT reported.
The review by the inter-governmental agency, which vets whether deals can harm national security, is in its early stages and a decision is not expected for several months.
Labcorp, an American healthcare company, completed the acquisition of a clinical laboratory from Enzo Biochem, a biotechnology company. Financial terms were not disclosed.
“The closing of this asset sale demonstrates our commitment to enhancing shareholder value. With the closing of this transaction, Enzo Biochem would like to express its profound gratitude to the generations of employees and physician partners who have dedicated themselves to providing the highest level of care and service to our patients. We are confident that Labcorp will continue to enrich and enhance the level of care and service that our physicians and patients have come to expect,” Hamid Erfanian, Enzo Biochem CEO.
EnergySolutions, a provider of energy and industrial services, agreed to acquire Williams Industrial Services, a provider of infrastructure related services to blue-chip customers in energy and industrial end markets, for $60m.
"We are very excited to announce this transaction. This is a strategic move that will allow EnergySolutions to expand our nuclear services offerings to existing nuclear operating plants and, ultimately, to support the nuclear industry's drive to create more clean, carbon-free energy through nuclear plant life extension work and the construction of new technologies. We understand that Williams has been through a difficult time, but we are confident that this acquisition will be a positive for the Williams' businesses we are acquiring. This acquisition will nicely complement our existing business lines and provide an excellent platform for future growth and expansion into other sectors of the nuclear industry," Ken Robuck, EnergySolutions President and CEO.
Williams Industrial Services is advised by G2 Capital Advisors, Greenhill & Co, Chipman Brown Cicero & Cole and Thompson Hine. EnergySolutions is advised by Ropes & Gray and Sitrick and Company (led by Brenda Adrian).
Centerbridge Partners, a global multi-strategy private equity firm, completed the investment in TA Associates-backed Netwrix, a private IT security software company that develops software to help companies identify and secure sensitive data and assist with compliance auditing. Financial terms were not disclosed.
"Netwrix solutions help organizations of any size strengthen their security posture across all the primary attack surfaces: data, identity and infrastructure, as well as ensure regulatory compliance. With Centerbridge and TA's backing and technology acumen, we're well positioned to address our customers' mission-critical needs," Steve Dickson, Netwrix CEO.
Netwrix was advised by Jefferies & Company and Avista PR (led by Erin Jones). Centerbridge Partners was advised by Moelis & Co and Kirkland & Ellis. TA Associates was advised by DLA Piper and Goodwin Procter.
Atlantic Union, the holding company for Atlantic Union Bank, agreed to acquire American National Bankshares, a multi-state bank holding company, for $417m.
"American National is a high-quality community bank with an exceptional 114-year history, a strong core deposit base and outstanding asset quality. This is a company and leadership team we have long admired and know well, and the relationship between our two banks spans decades. We expect that our combined footprint will bring additional convenience to our customers and position us as an even stronger competitor against the large national, super-regional and smaller community banks. Increasing our presence in Roanoke and entering Southside Virginia will further build out our Virginia franchise and the transaction will also allow us to gain meaningful entry into North Carolina's attractive Piedmont Triad region and Raleigh. With a more diversified deposit base, expected synergies and enhanced growth market opportunities, we believe the combined franchise will be able to generate a higher level of financial performance for our shareholders," John C. Asbury, Atlantic Union President and CEO.
American National is advised by Keefe Bruyette & Woods and Williams Mullen. Atlantic Union is advised by Piper Sandler and Covington & Burling.
Apollo, an investor, agreed to invest in PetSmart, an omnichannel pet retailer. Financial terms were not disclosed.
"We are delighted to welcome Apollo as a strategic partner – affirming our growth and the strength of our associates' commitment to doing anything for pets. The combined expertise of BC Partners and Apollo enables even greater value creation opportunities as we embark on the next stage of growth for the business. We are grateful for the continued support of BC Partners, who have been our trusted partner for over eight years and look forward to working with the team at Apollo who bring the highest levels of expertise and whose vision for PetSmart aligns with our own," J.K. Symancyk, PetSmart President and CEO.
Apollo is advised by UBS and Simpson Thacher & Bartlett. BC Partners is advised by JP Morgan and Kirkland & Ellis.
Kingswood Capital, a private equity firm, completed the acquisition of Obsession, a fragrance retailer. Financial terms were not disclosed.
"We believe Obsession will continue to benefit from the positive tailwinds in the fragrance market and we are excited about partnering with the company to accelerate its growth. The management team has done an excellent job expanding the product offering and developing a best-in-class in-store experience and we look forward to helping deliver even more value to customers through further proprietary product development, new store openings, and e-commerce expansion, as well as continuing to execute upon the management team's ongoing operational initiatives," Michael Niegsch, Kingswood Partner.
Obsession was advised by Lincoln International and Honigman Miller Schwartz & Cohn. Kingswood was advised by Kirkland & Ellis. Debt financing was provided by CIBC World Markets.
Thales, a company that designs, develops and manufactures electrical systems, agreed to acquire Imperva, a data and application cybersecurity company, from Thoma Bravo, a software investment firm, for $3.6bn.
"The acquisition of Imperva marks a major milestone in Thales' cybersecurity strategy. With this acquisition, we are seizing a unique opportunity to accelerate our cybersecurity capabilities and are taking an important step towards our ambition to build a world-class global cybersecurity integrated player, providing a comprehensive portfolio of products and services. We have tremendous respect for Imperva's innovative application and data security offerings. Imperva and Thales share the same vision and the same DNA. We are thrilled to enter the next phase of our growth together. We look forward to welcoming Imperva to Thales to further enhance our cybersecurity solutions, and help customers address their most important digital security challenges," Patrice Caine, Thales Chairman and Chief Executive Officer.
Thales is advised by Centerview Partners and Morgan Stanley. Thoma Bravo is advised by FGS Global (led by Liz Micci).
XTI Aircraft, an aviation company developing the TriFan 600, agreed to merge with Inpixon, a provider of real-time location systems, in a $343m deal.
"We're excited to announce this transaction, which we believe will be a transformative event for both companies. We believe that the TriFan 600 airplane will revolutionize point-to-point air travel by combining the comfort, speed, and range of similar conventional business aircraft with the flexibility, convenience, and pinpoint transportation of a helicopter. In 2019, we successfully conducted multiple hover tests of our two-thirds scale unmanned proof-of-concept configuration of the TriFan. After we close, we expect to be in a strong position to expand our operations, work toward building our first full-scale piloted test aircraft, and continue our efforts toward achieving FAA certification and commercial production," David Brody, XTI Aircraft Founder and Chairman.
XTI Aircraft is advised by Chardan. Inpixon is advised by Maxim Group and Crescendo Communications.
PSG, a growth equity firm, completed the $95m investment in Silversmith Capital-backed AppHub, an e-commerce enablement platform.
"The AppHub team has built what we believe is a differentiated and powerful software platform aiming to position merchants for success throughout different phases of their growth journey. We look forward to our partnership with AppHub, alongside the Silversmith team, and share in their enthusiasm for the company. We see a significant opportunity for AppHub to scale its portfolio of mission-critical software and deliver long-term growth," Matt Stone, PSG Managing Director.
PSG was advised by Prosek Partners.
Point Pickup, a provider of enterprise-only, retail-branded fulfillment and delivery services, completed the merger with PICKUP Now, an enterprise-grade, last-mile delivery service focused on larger item delivery and assembly. Financial terms were not disclosed.
"We are thrilled to join forces with PICKUP Now and combine our strengths to create a truly exceptional delivery service. This merger not only expands our capabilities but also strengthens our commitment to providing our clients with a comprehensive service offering, a nationwide network of experienced flex workers, all supported by an integrated technology solution," Dauvin Peterson, Point Pickup President.
PICKUP Now was advised by Ketner Group Communications.
Apps Associates, an enterprise applications and technology advisor, completed the acquisition of the Oracle services division from Emtec, a digital IT consultancy, that provides a comprehensive suite of IT services. Financial terms were not disclosed.
"We are committed to delivering a forward-thinking, symbiotic approach to Oracle enterprise applications and technology. At a time when enterprise modernization is in high demand across a number of target industries, acquiring Emtec's deep application knowledge—particularly within the areas of healthcare and utilities—enriches our ability to offer even greater value and outcomes to our clients," Adrian King, Apps Associates CEO.
Apps Associates is advised by PAN Communications.
Generation Investment, a financial services and investment management firm, led a $150m round in OneTrust, a trust intelligence provider, with participation from Sands Capital.
"Our solutions have never been more mission critical. In the face of changing regulations and new business initiatives like AI, organizations need the technology to drive trust to the center of their operations and manage the complex web of privacy, security, ethics, and ESG requirements. We are focused on delivering strong customer experiences and will continue to evolve our platform as our customers' needs grow. This funding is a testament to our sustained growth, market leadership, and customer-centric innovation. We are pleased to be working with Generation," Kabir Barday, OneTrust Founder, CEO, and Chairman.
JDE Peet’s, a coffee and tea company, agreed to acquire the Brazilian coffee and tea business from JAV Group, a conglomerate of companies operating in varied market segments, such as food, agribusiness, packaging and exports. Financial terms were not disclosed.
“Over the last three years, we have been focussed on transforming JDE Peet’s into a faster growing, correctly invested, and more sustainable company. We are now ready to take the next step and continue our disciplined path of geographical expansion and diversification. I am therefore very pleased with the opportunity to buy Maratá’s well-run coffee & tea platform in Brazil, an attractive market we know well and where we have successfully made acquisitions in the past. Following completion, this acquisition will represent a highly complementary proposition to our existing business in Brazil, which has been building strong momentum in recent years, allowing us to serve more cups across a full range of price points and product offerings while expanding our regional presence in Brazil,” Fabien Simon, JDE Peet’s CEO.
Lyft is considering strategic options for bike and scooter unit.
Lyft is considering taking on a partner or selling its bike and scooter business in an effort by the new chief executive officer to focus the ride-sharing company's efforts on its core business, Bloomberg reported.
The company said it has received strong inbound interest in its bike-and scooter-sharing unit and that "it's only logical for Lyft to listen to credible proposals". Under new Chief Executive David Risher, Lyft has spent the past few months cutting costs after its strategy for clawing back market share from Uber with lower fares stoked concerns of a hit to its profit margins.
Todd Boehly-backed insurer Accelerant mulls IPO, stake sale.
Accelerant is planning to raise fresh capital next year in a deal that could result in the specialty insurance provider making its debut on the stock market, Reuters reported.
The Cayman Islands-based group, which counts sports financier Todd Boehly's investment company among its backers, raised $150m in December from investors to fund the rollout of an insurance exchange, valuing it at $2.4bn. It expects the cash to carry it into 2024 before it needs to tap investors again, although the timeline may be brought forward if growth opportunities come about. Accelerant is weighing whether to secure the extra funds through a private share sale or an initial public offering in New York.
Keen Vision Acquisition announces pricing of $130m IPO.
Keen Vision Acquisition priced its initial public offering of 13m units at $10 per unit. The units will be listed on Nasdaq and will begin trading on July 25, 2023, under the ticker symbol "KVACU". Each unit consists of one ordinary share and one redeemable warrant.
The company is a blank check company incorporated as a British Virgin Islands exempted company for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses or entities.
EMEA
TotalEnergies, an energy and petroleum company, agreed to acquire the remaining 70.8% stake in Total Eren, a renewable company, for $3bn.
"Our partnership with Total Eren has been very successful, as shown by the size and quality of the renewables portfolio. With the acquisition and integration of Total Eren. We are now opening a new chapter of our development as the expertise of its team and its complementary geographical footprint will strengthen our renewable activities and our ability to build a profitable integrated power player," Patrick Pouyanné, TotalEnergies Chairman & CEO.
Total Eren is advised by Flack & Cie, Societe Generale and Brunswick Group. TotalEnergies is advised by Machado Meyer Sendacz e Opice Advogados (led by Maria Eugenia Novis).
SoftwareOne has launched a strategic review of its business after rejecting an improved takeover offer from private equity firm Bain Capital, Bloomberg reported.
This Swiss IT services provider said it will explore all options to create value for its investors, including by continuing to operate as a public company or via a sale or merger.
SoftwareOne is advised by JP Morgan and FGS Global.
Foxconn, an electronics contract manufacturer, agreed to acquire a 50% stake in ZF Chassis Modules, a company that bundles the passenger car axle systems assembly, from ZF Friedrichshafen, a technology company supplying systems for passenger cars, for $556m.
"With Foxconn, we have gained a strong strategic partner with whom we can open up new perspectives and opportunities for the ZF Chassis Modules. ZF as a globally active automotive supplier and Foxconn as a leading electronics manufacturer complement each other excellently to jointly open new customer groups and expand its presence, especially in growing markets. With this step, we are implementing our strategy to grow specific business areas of ZF with the support of external partners beyond current limits," Holger Klein, ZF CEO.
Foxconn is advised by JP Morgan.
Tencent, a technology and entertainment conglomerate, agreed to acquire a majority stake in Techland, a distributor of software. Financial terms were not disclosed.
"Teaming up with Tencent will allow us to move full speed ahead with the execution of the vision for our games. We have chosen an ally who has already partnered with some of the world's finest video game companies and helped them reach new heights while respecting their ways of doing things," Pawel Marchewka, Techland CEO.
Techland is advised by JP Morgan.
America Movil, a telecommunications corporation, completed the acquisition of an additional 5.55% stake in Telekom Austria, a provider of a range of fixed-line, broadband Internet, multimedia services, data, and IT systems. Financial terms were not disclosed.
Mexico's richest person, Carlos Slim Helú and his family control América Móvil, Latin America's biggest mobile telecom firm.
L'Occitane owner said to mull buyout of $4bn beauty firm.
L'Occitane International's controlling shareholder is considering a move to take the skin-care company private. Billionaire Chairman Reinold Geiger is studying the possibility of buying out minority shareholders of the Hong Kong-listed group. He's been exploring various financing options for the potential deal, Bloomberg reported.
Shares of L'Occitane have fallen 20% over the past 12 months, giving the company a market value of about $4bn. A vehicle ultimately controlled by Geiger owns more than 70% of L'Occitane, exchange filings show. The company's portfolio includes L'Occitane en Provence, inspired by the lavender fields of southern France, and Melvita organic beauty products. It also owns the Elemis line of collagen creams, as well the Grown Alchemist range of anti-aging serums and Korean skin-care brand Erborian.
Unilever is being criticized for keeping its Russia business.
Unilever, which has faced criticism for over a year for remaining in Russia, said that it could abandon, sell or retain its operations there, but the "least bad" option is to "pursue our business but in a highly constrained manner." The Russian state this month took control of French yogurt maker Danone's Russian subsidiary along with Carlsberg's stake in a local brewer, Reuters reported.
Moscow's actions highlight the vulnerability of other consumer products companies that still have operations in Russia, some of which have announced plans to leave. Schumacher said Unilever has not been in touch with the Russian government in the wake of its moves on Danone and Carlsberg. The company, which owns the Knorr soup and Dove soap brands, employs over 3k people in Russia. In March 2022 Unilever became the first major European food company to stop imports into and exports out of Russia after the country's invasion of Ukraine.
Qatar's Ooredoo to combine tower assets with Zain, creating gulf giant.
Qatari telecom operator Ooredoo is in talks with two other regional firms to combine their portfolio of about 30k cellular towers into a jointly-owned company that's set to be the largest firm of its kind in the Middle East and North Africa, Bloomberg reported.
Ooredoo's talks with Kuwait's Zain Group and United Arab Emirate-based TASC Towers include their tower assets in Qatar, Kuwait, Algeria, Tunisia, Iraq and Jordan. The company expects to sign definitive agreements by the end of the third quarter. The planned transaction will help boost value for both Ooredoo and Zain.
Dubizzle taps Citigroup, HSBC for IPO.
Dubizzle Group, which operates classifieds websites popular with expatriates in the United Arab Emirates, is working with Citigroup and HSBC on its potential initial public offering, Bloomberg reported.
The company, formerly known as Emerging Markets Property Group, hasn't decided on a venue for the listing, but it's likely to be a regional stock market. A deal could happen as soon as next year. An IPO by EMPG would test investor appetite for startups in the UAE where listings have been dominated by companies in sectors with high dividend yields. Globally, tech companies have struggled to raise funds and seen valuations plunge as high inflation and rising interest rates dented appetite for loss-making, high-growth firms.
APAC
PETRONAS, an energy group, and Pertamina, an Indonesian state-owned oil and natural gas corporation, agreed to acquire a 35% stake in Masela block, located in the deep waters of west Arafura Sea, Eastern Indonesia, from Shell, an oil and gas company, and Chevron, an energy corporation. Financial terms were not disclosed.
"This acquisition marks a significant milestone in PETRONAS' portfolio expansion in Indonesia. PETRONAS is excited to participate in the Masela Block which is one of the country's key strategic projects. Our participation underscores the commitment in supporting Indonesia's production target to achieve one million barrels of oil per day and 12bn standard cubic feet per day of gas by 2030," Tan Sri Tengku Muhammad Taufik, PETRONAS CEO.
Australia's Wesfarmers to merge discount stores Kmart and Target.
Australian retail conglomerate Wesfarmers said it will merge the business units of its budget department store Kmart and discount retailer Target as the group attempts to reduce losses amid persistently high inflation. The operations of the two flagship brands would be combined into one entity as market conditions worsen while customers battle a rising cost-of-living crisis, Reuters reported.
The Wesfarmers retail business delivers around $6.49bn in annual revenue across the entities, with the organisational restructure aimed to beef up operational performance. The two brands would remain separate consumer-facing businesses with no impact on retail floor staff and only a "handful of redundancies."
Chubb seeks 49% of India's Kotak General Insurance, has edge over Zurich.
US insurer Chubb is in talks to acquire a 49% stake in India's Kotak General Insurance and has become a more favoured suitor than Zurich Insurance Group. Chubb has an edge over Zurich because it is more amenable to leaving control with India's Kotak Mahindra Bank and because Kotak believes it shares more common business areas with Chubb such as auto insurance, Reuters reported.
Zurich has been discussing a stake of either 49% or 51% and the majority stake would likely value the company at around $800m. But if Chubb were to win out, the deal would value Kotak at less than $800m as it would not include a so-called buyout premium. Kotak, one of India's smaller general insurance firms, has been looking to sell a stake to achieve faster growth in a market seen as having huge potential.
Japan's MUFG hungry for more investments in Indonesia, bets on consumer & SME financing.
Following a series of deals in Southeast Asia over the past year, Japanese financial conglomerate Mitsubishi UFG Financial Group is actively scouting for more investment opportunities to strengthen its footprint in Indonesia, DealStreetAsia reported.
The world's third-largest economy is facing an ageing and shrinking population which has made it imperative for homegrown large companies, including financial institutions, to look out for growth opportunities overseas. Southeast Asia is a natural investment and expansion destination given its high-growth economies, historical business and cultural ties with Japan, and geographical proximity. Within Southeast Asia, Indonesia is seen as a key investment destination as it boasts the largest GDP in the region and is expected to see high growth in the future.
Reliance to invest $122m in Brookfield JV to build data centres in India. (FS)
India's Reliance Industries said it would invest up to $122m in building data centres in the country along with Canada-based Brookfield Infrastructure. Reliance will initially invest about $46m in units of Mercury, which is a joint venture between Brookfield Infrastructure and US-based real estate investment trust Digital Realty, DealStreetAsia reported.
The JV is currently building data centers in Chennai and Mumbai. The Mukesh Ambani-owned company has committed to invest the remaining $76m in equity and debt securities of the JV's units when needed. Reliance will hold a 33.33% stake in each of the Indian units of the JV and become an equal partner, adding that the venture will be branded as Digital Connexion.
India's Knight Fintech in talks with Accel, IvyCap Ventures, Lok Capital to raise funding. (FS)
Knight Fintech is in talks with a host of venture capitalists such as Accel, IvyCap Ventures, and Lok Capital, among others, to raise its next round of funding as it looks to ramp up operations over the next few months, DealStreetAsia reported.
The Mumbai- and Singapore-headquartered fintech firm has also tapped its existing backers—3one4Capital and Prime Venture Partners—to top up. While the exact amount that Knight Fintech is looking to raise could not be ascertained, an earlier report by Entrackr stated that the startup is eyeing a $10-12m corpus in the current round.
Eversource-backed GreenCell Mobility secures $366m debt from India's REC. (FS)
Electric bus maker GreenCell Mobility said it has secured $366m in debt funding from Rural Electrification Corporation, to buy 3k buses and invest in other sustainable transportation services. As part of the agreement, GreenCell Mobility along with its subsidiaries, or ventures that work in the business of electric mass mobility as a service, will be eligible to avail of financial assistance from REC for their related activities during the next five years, up to March 2028, DealStreetAsia reported.
GreenCell, which is backed by Eversource, a joint venture between investment management firm Everstone Group and solar energy project developer Lightsource, had raised $55m last year from Asian Development Bank, Asian Infrastructure Investment Bank, and Clean Technology Fund to develop 255 electric battery-powered buses.
Prosus says its director resigned as BYJU's 'regularly disregarded' advice. (FS, People)
Prosus said its representative resigned from BYJU's board as its "reporting and governance structures did not evolve sufficiently for a company of that scale" and it "regularly disregarded advice" from the Netherlands-based technology investor's director. Prosus's statement comes nearly a month after its representative Russel Deisenstock resigned from BYJU'S board, DealStreetAsia reported.
GV Ravishankar, a managing director at Peak XV Partners, and Vivian Wu of Chan Zuckerberg also resigned from the company's board at the time. BYJU's currently has only three members on its board, and all three are founder Byju Raveendran's family members.
"The need for reconstitution arose as few investors had to vacate the board seat due to their shareholding falling below a minimum required threshold as per our SHA," Prosus.
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