United Technologies is closing down $100bn deal to merge the aerospace unit with Raytheon.

Your suggestions and comments support democratisation of M&A data. If you know anything worth sharing about the deals below, follow embeded links and submit your comments on transactions' pages.

EMEA

City Developments to acquire rest of Millennium & Copthorne Hotels for £776m. (FS)

City Developments agreed to acquire the rest of Millennium & Copthorne Hotels for £776m ($985m) in a deal that values the British company at £2.2bn ($2.8bn). The offer is for 685p ($8.60) per share, which represents a 37% premium to the M&C's closing price last day. The Singapore-listed real estate firm owns a 65.2% stake in M&C.

The deal comes a year after minority shareholders of M&C blocked a takeover bid by CDL because it did not reflect the value of the company's property portfolio. CDL's previous offer had been for 620 pence a share.

Sherman Kwek, Group CEO of CDL, commented: "Taking M&C private is in line with CDL's strong focus on boosting recurring income and enhancing underperforming assets. We are pleased to have garnered the support of M&C's Independent Directors and key minority shareholders. The offer enables shareholders to exit an illiquid stock at a significant premium. We believe that a privatized M&C will be in the best position to navigate the increasingly challenging and competitive global hospitality landscape with agility and nimbleness. M&C will be able to leverage CDL's significant resources, comprehensive real estate capabilities, and global network to reposition its assets and drive sustainable hotel performance."

Barclays, BofA Merrill Lynch, and Linklaters advised City Developments. Credit Suisse, Herbert Smith Freehills, and Instinctif Partners advised Millennium & Copthorne.

Athora to acquire VIVAT from Anbang.

Athora agreed to acquire VIVAT, one of the largest insurers in the Netherlands, from Chinese Anbang. Athora will seek to obtain all necessary approvals and antitrust clearances as soon as possible. Financial terms were not disclosed. After the completion of the deal, Athora will sell VIVAT Schade, non-life insurance business of VIVAT, to NN Group for €416m ($469m).

Michele Bareggi, CEO of Athora, states: "We aim to invest in the life business in the Netherlands and deliver value not only to VIVAT's existing customers, but also to Dutch consumers overall. New product introductions, competitive pricing and a renewed focus on a broad spectrum of customer services will be part of our offering. We kindly welcome the VIVAT employees to the Athora family and look forward to working together in the future to build on the already strong reputation of the VIVAT brands."

JP Morgan and Allen & Overy advised Anbang. Deutsche Bank, Aperghis & Co, KPMG, Stibbe, and Slaughter & May advised Athora.

NN Group to acquire VIVAT Schade from Athora for €416m.

NN Group agreed to acquire VIVAT Schade, non-life insurance business of VIVAT, from Athora for €416m ($469m). NN Group will seek to obtain all necessary approvals and antitrust clearances as soon as possible.

Lard Friese, CEO of NN Group, states: "For us, this acquisition represents a next step in strengthening our non-life business. After the acquisition of Delta Lloyd in 2017, we gained valuable experience in successfully integrating business operations. In today's competitive markets, scale is essential to deliver attractive and sustainable customer propositions in the long-term. Moreover, it increases our ability to invest in digital capabilities and innovation, which are key to anticipating customer trends and drive the customer experience forward."

Deutsche Bank, Aperghis & Co, KPMG, Stibbe, and Slaughter & May advised Athora. BNP Paribas and Freshfields Bruckhaus Deringer advised NN Group.

Italy blames France for FCA-Renault failure.

Italian Industry Minister Luigi Di Maio blamed the French state for derailing merger talks between Fiat Chrysler and rival Renault. He added that Paris had come out poorly in the situation. However, according to Bloomberg, Fiat bonds suggest investors haven't abandoned hope of a potentially ratings-boosting merger with Renault, even after the Italian automaker withdrew from talks on forming the world's third-largest carmaker.

On the other hand, France's finance minister has begun a visit to Japan by saying that his government was prepared to reduce its 15% stake in Renault in the interests of consolidating the carmaker's increasingly fraught alliance with Nissan.

FCA was advised by Goldman Sachs, Nomura, d'Angelin & Co, Darrois Villey Maillot Brochier, and Sullivan & Cromwell. Ardea Partners, Societe Generale, Skadden Arps Slate Meagher & Flom, Davis Polk & Wardwell, and NautaDulith advised Renault.

Millennium & Euro Bank $484m merger approved.

The Management Board of Bank Millennium, in which Banco Comercial Portugues owns a 50.1% stake, and the Management Board of Euro Bank approved and signed the merger plan of Bank Millennium and Euro Bank.

In November 2018, Millenium agreed to acquire Euro Bank for $484m. The merged entity will operate under the name Bank Millennium.

JP Morgan and Clifford Chance advised Millenium. Morgan Stanley, Greenberg Traurig, and Shearman & Sterling advised Societe Generale.

Fortino Capital Partners invested in Maxxton. (FS)

Fortino Capital Partners invested in Maxxton, an all-in-one software solution developed for vacation and short-term rental managers. Fortino Capital will assist the Maxxton management in expanding internationally further and strengthening their current presence in vacation rentals, holidays parks, and serviced apartments. Financial terms were not disclosed.

Matthias Vandepitte, Partner at Fortino Capital, says: "We are delighted to support Maxxton with its ambitious growth strategy and we look forward to bringing our expertise in B2B software to Jean-Pierre and his team."

Patria to acquire Belgium Engine Center.

Patria, an international defense company, acquired 100% of the shares of Belgium Engine Center, a military jet engine maintenance, repair, and overhaul center, from AIM Norway to further strengthen BEC's capabilities and business. Financial terms were not disclosed.

"The purchase of BEC is an important milestone for Patria. Growth in international maintenance operations is at the core of our strategy. Patria has a long history and solid know-how in aircraft maintenance, including their engines, both in Finland and other Nordic countries, and now with this acquisition, this business will be expanded", states Jukka Holkeri, President of Patria's International Support Partnerships business unit.

Property developer Helical reportedly received a £500m bid. (FS)

According to the Sunday Times, British commercial property developer Helical received a bid worth around £500m ($637m) from anonymous private equity company. The offer valued Helical at a significant premium to its current share price of 355p ($4.52) and market capitalization of £425m ($541m) but at less than its net asset value of £567m ($722).

Bain & Cinven-backed Stada to buy GSK's OTC portfolio. (FS)

Generic drugmaker Stada will buy six consumer healthcare products from British drugmaker GlaxoSmithKline to bolster its presence in Europe. Financial terms were not disclosed.

"This will strengthen STADA's position as a go-to partner in the European Healthcare market, and will seize the opportunity to be a leading company in Consumer Health as well as Generics," says CEO Peter Goldschmidt.

Blackstone plans to create a $6.8bn European warehouse unit. (FS)

According to Bloomberg, the private-equity giant prepares to pool $6.8bn of its smaller European warehouse investments in a new company that will ultimately be publicly listed or sold.

Blackstone Group is said to be in the process of hiring an executive to run the company, which will manage its holdings of logistics properties close to towns and cities.

Russia's TCS and Yandex consider a possible merger.

Oleg Tinkov, the main owner of 'Russia's TCS group, told Russian Internet giant 'Yandex's chief executive on Friday that their companies together would be worth more than $20bn.

Yandex is 'Russia's most significant internet search engine with a share of around 56% of Russian search traffic. It is also the country's most prominent news aggregator compared with rivals Google and MailRu and offers an array of services ranging from car sharing to take-away food deliveries.

"The question for Yandex is: are you with Tinkoff or Sberbank? I believe that if we team up ... with Yandex, then even Sberbank will feel it. The capitalization will be over $20 bn," said Oleg Tinkov to Arkady Volozh, Yandex CEO.

Biscuit International said to acquire another biscuit company Aviateur. (FS)

According to De Telegraaf, Biscuit International is acquiring another biscuit and cake manufacturer Aviateur, which has an annual turnover of more than €105m ($119m). Biscuit International generates c. €400m ($453m) in annual sales, of which around 60% is generated outside France. Qualium Investissement backs biscuit International. Financial terms were not disclosed.

Fosun Tourism eyes Thomas Cook's tour operating business.

According to Sky, Hong Kong-based Fosun Tourism is in early discussions to buy Thomas Cook's tour operating business, but a formal bid from Fosun Tourism for the tour unit is not guaranteed. The British group faces breakup after issuing three profit warnings in the past year.

Thomas Cook, the world's oldest tour operator, faces difficulties from dwindling demand for its package holidays and high levels of debt. The company is also looking to sell its profitable airline business.

JP Morgan is reportedly advising Fosun Tourism.

Mediaset to create a Dutch holding company.

Mediaset, the Italian broadcaster controlled by Silvio Berlusconi, will create a new holding company based in the Netherlands which will become the parent group of its Italian and Spanish TV businesses as it seeks to create a European television group. Mediaset said the new Dutch holding company MediaForEurope would be dual-listed in Italy and Spain but remain fiscally resident in Italy.

"In a world of global competition, creating a group with adequate size that can speak to a European audience becomes a crucial factor for the future," said Silvio Berlusconi, Mediaset Managing Director.

Citigroup, Banca IMI, and Mediobanca advised Mediaset. JP Morgan advised Mediaset Espana.

Last month, Mediaset acquired a 9.6% stake in German rival ProSiebenSat.1 for $380m, fuelling speculation that might be a first step towards creating a pan-European TV company.

Rostec plans to sell Avtovaz stake to Renault for over $150m.

Russian state conglomerate Rostec wants to reduce its stake in AvtoVAZ, a Russian car builder, to 25% by selling a part of it to Renault.

CEO Sergey Chemezov said, on the sidelines of the International Economic Forum, Rostec would invest more than RUB10bn ($154m) received from the sale into AvtoVAZ. He also said that Renault will make an investment and will invest about three times more than Rostec.

Rostec allowed the sale of shares in the civil division of the UAC.

Rostec may sell part of its stake in the civil division of the United Aircraft Building Corporation, said the head of the state corporation, Sergey Chemezov. He added that the civil division would remain in the Rostec's perimeter, but the company will invite investors to the division's capital. Any factor does not limit investors. "It can be foreign companies, strategic partners, and financial ones," he said.

So far, Rostec has not announced the sale and did not conduct negotiations. It is not specified which block of shares is planned to be put up for sale, but the controlling stake, in any case, will remain with the company.

VTB looking for a stake in grain trader Mirogroup.

According to Reuters, Russian state-controlled bank VTB is preparing to buy a stake in major local grain trader Mirogroup. Earlier, VTB was actively buying grain export infrastructure assets.

AMERICAS

Elliott Advisors to acquire Barnes & Noble for $683m. (FS)

Elliott Advisors, an American investment management firm, offered to acquire Barnes & Noble, the largest retail bookseller in the United States, for $683m. The $6.50 per share purchase price represents a 43% premium to the 10-day volume weighted average closing share price of Barnes & Noble's common stock ended June 5, 2019.

Concerning the deal's announcement, Leonard Riggio, Founder, and Chairman of Barnes & Noble, stated, "We are pleased to have reached this agreement with Elliott, the owner of Waterstones, a bookseller I have admired over the years. In view of the success they have had in the bookselling marketplace, I believe they are uniquely suited to improve and grow our company for many years ahead. I am also confident that James Daunt has the leadership ability and experience necessary to lead this great organization. I will do everything I can to help him make the transition smooth."

Evercore, Guggenheim Securities, Baker Botts, and Paul Weiss Rifkind Wharton & Garrison advised Barnes & Noble. Credit Suisse and Debevoise & Plimpton advised Elliott.

Anadarko pushed Occidental for cash.

According to SEC filings, Anadarko Petroleum reached a top price for itself by repeatedly rejecting Occidental Petroleum's approaches and pushing for all-cash offers, reasoning the market might react negatively to the $38bn deal.

Anadarko tactics resulted in better deal terms. Anadarko CEO Al Walker will receive $98m and President Robert Gwin $55m. Investment bankers Evercore Group and Goldman Sachs, which represented Anadarko, each earned a $53m. Chevron received a $1bn break-up fee.

Anadarko is advised by Evercore, Goldman Sachs, Vinson & Elkins, and Wachtell Lipton Rosen & Katz. Occidental is advised by Bank of America Merrill Lynch, Citigroup and Cravath Swaine & Moore.

AmeriGas with lawsuit over the UGI $2.4bn merger.

Investors in AmeriGas Propane Holdings filed suit Wednesday in Delaware federal court to stop a planned $2.4bn merger with UGI. In April, UGI Corp, an energy distributor, agreed to acquire nearly 75% it does not own in retail propane marketer AmeriGas Partners in a cash-and-stock deal valued at $2.4bn.

Tudor Pickering Holt, Baker Botts, and Potter Anderson & Corroon advised AmeriGas Partners. JP Morgan, Simpson Thacher & Bartlett, Latham & Watkins, and Kekst advised UGI Corp.

Chemical Financial Corp and TCF Financial Corp shareholders approved the merger.

Chemical Financial Corporation and TCF Financial Corporation's shareholders approved the proposed merger of equals in which TCF will merge into Chemical. The combined holding company and bank will be headquartered in Detroit and operate under the TCF name and brand following the closing of the transaction.

"Today's vote was an important step for us as we move forward with our focus on creating a premier Midwest bank," said Gary Torgow, Chemical's executive chairman. "As we become one company, we will be able to provide a more robust product set to a broader customer base, with limited overlap and disruption. With our increased scale and an enhanced competitive position, our new organization will be poised to thrive in today's evolving banking environment."

Keefe Bruyette & Woods, Nelson Mullins Riley & Scarborough, Wachtell Lipton Rosen & Katz, and Sard Verbinnen & Co advised Chemical Financial. JP Morgan, Perkins Advisors, Sullivan & Cromwell, and Simpson Thacher & Bartlett advised TCF Financial.

Vertex to acquire Exonics Therapeutics for an initial $245m.

Vertex Pharmaceuticals, a global biotechnology company, agreed to acquire Exonics Therapeutics, developer of gene editing therapies to treat patients with severe genetic neuromuscular diseases, for an upfront payment of $245m and potential milestone payments of up to $750m.

The closing of this transaction will be subject to certain conditions, including the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act and other customary conditions. The companies anticipate the acquisition will close in the third quarter of 2019.

CVC Capital Partners acquired a majority stake in Teneo from BC Partners. (FS)

CVC Capital Partners, a global private equity and investment advisory firm, agreed to acquire a majority stake in Teneo, the global CEO advisory firm. The transaction, which is subject to regulatory approval and other customary closing conditions, will result in CVC replacing BC Partners. The terms of the new investment are not being disclosed. However, the deal is rumored to be worth over $350m.

"CVC is excited to be entering a new partnership with Teneo," said Christopher Stadler, Managing Partner at CVC. "We have been very impressed with the firm's growth since it was founded in 2011 as well as its dedication to going above and beyond to deliver for its clients around the globe. We are very much looking forward to working closely with the management team to help execute their ambitious growth plans moving forward."

CVC Capital Partners acquired a majority stake in Vitech Systems Group. (FS)

CVC Capital Partners acquired a majority stake in Vitech Systems Group, a leading provider of cloud-based financial administration solutions. Financial terms were not disclosed.

Frank Vitiello, Vitech's CEO, said, "This exciting partnership with CVC brings us the capital, market access, international reach and institutional expertise we need in order to maintain our current growth trajectory while we even more aggressively expand and advance our industry-leading offerings. CVC is a premier organization and the investment in Vitech is a great validation of our success to date and of our future plans and prospects. I am excited by what this means for our software, our services, our clients and our employees."

Vitech was advised by RBC Capital Markets, Orrick, Herrington & Sutcliffe, and Clearsight Advisors. CVC was advised by Citigroup, Goldman Sachs, and White & Case.

CPPIB-backed Aliansce to merge with smaller Sonae Sierra Brasil. (FS)

Aliansce Shopping Centers and Sonae Sierra Brasil agreed on the potential merger of their activities. The union will result in the largest company in the country, in a number of shopping malls under management: Aliansce Sonae Shopping Centers. The new company will remain listed in the Novo Mercado segment of B3. The final stake will be 67.90% for Aliansce's shareholders Aliansce and 32.10% for Sonae Sierra Brasil's shareholders

"The combination of the two businesses should result in a company with even stronger strategic positioning, which, combined with the synergies, will allow us to offer even more special experiences to our consumers. We intend to generate value in the long term for our tenants and business partners, as well as offer great growth opportunities for our employees," says Renato Rique, Chairman and CEO of Aliansce.

Red Pocket Mobile to acquire FreedomPop from STS Media.

Prepaid wireless provider STS Media agreed to sell FreedomPop to Red Pocket Mobile, as STS readies itself to place a bid for Sprint Corp's Boost Mobile. Financial terms were not disclosed.

STS Chief Executive Stephen Stokols said proceeds from the sale will be invested in the technology that had powered FreedomPop and will put STS in a better position to partner with other companies or private equity groups to aggressively pursue Boost.

"We feel that Red Pocket was the best company to grow the FreedomPop brand and consumer experience for our existing users. We look forward to supporting their continued growth and focusing more exclusively on our exploding SaaS business providing companies with unique acquisition, up-sell and digital transformation capabilities," he added.

United Technologies is closing down $100bn deal to merge the aerospace unit with Raytheon.

According to Reuters, United Technologies, provider of equipment such as electronics and communications equipment to primarily commercial plane makers, is nearing a deal to merge its aerospace business with Raytheon, a vendor mainly to the US government for equipment in military aircraft and missiles, and form a new company worth well over $100bn.

The deal is said to be structured as an all-stock merger of equals because United Technologies would separately spin off its Carrier air conditioning business and Otis elevator division.

United Technologies has a market capitalization of $114bn, but without Carrier and Otis, its value could be less than $60bn. Raytheon's market capitalization is c. $52bn.

AXA further reduces stake in the US subsidiary.

French insurance giant AXA sold an 8% stake in AXA Equitable Holdings through a secondary offering, as part of its plan plans to withdraw from life insurance business in the US.

AXA sold 40m shares at $20.85 a share for a total amount of $834m, the company said. It reduced its stake in AXA Equitable to 40.1% from a previous 48.3%.

JPMorgan, Morgan Stanley and Citigroup were underwriters for AXA for the secondary offering. The insurer said it granted the underwriters an option to buy as many as 6m additional shares.

Thoma Bravo wants to sell Continuum. (FS)

Private equity firm Thoma Bravo is seeking to sell Continuum, a managed IT services platform provider. The process is in the early stages, and there is no confirmation about the opening of offers. PE firm put Continuum on the block after a two-year hold.

Thoma Bravo acquired Continuum from Summit Partners in June 2017. Continuum competes with ConnectWise, Datto, Kaseya, SolarWinds MSP, and a range of network operations center, security operations center and MSP-focused platform providers.

Apple in advanced talks to acquire Drive.ai. (FS)

Apple is in the process of acquiring Drive.ai, a well-known self-driving shuttle service startup, for its engineering talent to boost 'Apple's development of a self-driving vehicle system. Drive.ai was valued at $200m in 2017, when it raised a $50m Series B from investors including New Enterprise Associates and GGV Capital.

Jefferies has been reportedly advising Drive.ai is a search for a potential buyer since March.

Caesars Entertainment and El Dorado in advanced merger talks.

According to the Financial Times, Caesars Entertainment, a leading casino, and entertainment chain is in advanced discussions of a possible merger with El Dorado.

Multiple global gaming companies have expressed interest in Caesars, but El Dorado is the only one left in the race. Among those expressing interest was UK gambling giant William Hill, which withdrew from the contest several months ago. Caesars also rejected an offer from Tilman Fertitta, the billionaire owner of the Houston Rockets basketball team.

El Dorado is a casino chain focused on markets outside of Las Vegas across 12 US states. Its enterprise value is just $8bn compared with $24bn for Caesars.

DirecTV and Dish Network reportedly considering a merger.

According to Reuters, Satellite TV provider Dish Network is considering a merger with AT&T's DirecTV service, but there are no deal talks. Shares of Dish rose as much as 6.3% after the report on Friday, while 'AT&T's stock edged 1.9% higher.

AT&T's DirecTV has been losing customers amid competition with streaming giants Netflix and Amazon Prime. In April, DirecTV reported a quarterly loss of 83k subscribers on its streaming service, which followed a loss of 267k subscribers in the fourth quarter of 2018.

Focus Energia buys Sao Roque hydro plant.

According to Reuters, Brazilian electricity trader Focus Energia is in talks to buy the São Roque hydroelectric plant in the state of Santa Catarina, a Nova Engevix-controlled project that has ground to a halt near completion.

The talks are at an advanced stage, but the deal would depend on an endorsement from the National Electric Energy Agency, as the hydroelectric plant is at risk of having its concession revoked by the regulator.

Softbank may invest $1bn in Nubank. (FS)

According to Bloomberg, Softbank Group is in talks to invest in Brazilian financial technology company Nubank, which has Goldman Sachs and Sequoia among its backers. Vox reported that Softbank might invest up to $1bn in Nubank, valuing the firm at up to $10bn.

A new financing round could accelerate Nubank's plans to expand outside Brazil, where it already has 8.5m clients. Nubank announced last month the fintech would start to operate in Mexico. Softbank earlier this year launched a $5bn fund to invest in startups in Latin America.

Third Rock Ventures closed fund at $770m. (FS)

Third Rock Ventures, a life sciences venture capital firm, closed Third Rock Ventures V, at $770m. With Fund V, the firm will continue to execute on its strategy of discovering, launching, and building innovative life sciences companies.

The newest Third Rock fund was oversubscribed, and investors included university endowments, family offices, and foundations, including London-based biomedical research charity the Wellcome Trust.

APAC

UBS & Sumitomo Mitsui Trust to create Japan JV.

UBS agreed to launch a comprehensive strategic wealth management partnership in Japan with Sumitomo Mitsui Trust Holdings. The new joint venture will combine UBS's global capabilities in wealth management, meeting the needs of wealthy individuals, with SuMi Trust Holdings' stature as Japan's largest, independent trust bank. Financial terms were not disclosed.

The two companies have agreed to establish a joint venture, 51% owned by UBS, that will offer products, investment advice, and services beyond what either UBS Global Wealth Management or SuMi Trust Holdings are currently able to deliver on its own.

Sergio P. Ermotti, UBS Group Chief Executive Officer, said: "UBS has over 50 years of history in Japan, and this landmark transaction with a top-level local partner will ideally complement our service and product offering to the benefit of clients."

ByteDance invests $182m in Hupu.

ByteDance, the Chinese operator of several machine learning-enabled content platforms, including short videos app TikTok, invested RMB1.3bn ($182m) in a pre-IPO round of financing in Chinese sports commentary app Hupu. This deal gives Bytedance a 30% stake in Hupu.

After Bytedance became an official global partner of the NBA, Hupu started using Bytedance's Xigua Video as the default video platform when redirecting users.

Twitter will invest more than $50m in ShareChat. (FS)

According to the Economic Times, Twitter is likely leading a $100m (INR6.9bn) financing round in local language social networking app ShareChat, in what could be the microblogging site's first investment to pick up a minority stake in an Indian startup.

This round is expected to value ShareChat at $600-650m and give it funds to take on China's ByteDance, which is growing its India market share and user engagement rapidly. The investment could help Twitter leverage ShareChat's reach in India.

Twitter would be investing more than $50m, with the rest of the money coming in from ShareChat's existing backers such as Xiaomi, Shunwei Capital, and Morningside Venture Capital.

L Catterton Asia raised nearly $1.3bn. (FS)

L Catterton Asia, the Asian Franchise of consumer growth investment firm L Catterton, raised almost $1.3bn for its third regional fund. According to an SEC filing, L Catterton Asia 3 has been supported by 55 investors. The final target of the fund was not listed in the document.

Connect the World of Dealmakers

Expand your network of fellow Dealmakers by inviting your colleagues and coworkers.

Join Now

If you know someone who might enjoy this briefing forward this email. Subscribe to a Daily Review.