US regulators approved $65bn Sprint, Deutsche Telecom deal.
American regulators approved the $65bn merger between Sprint, an American telecommunications company that provides wireless services, and T-Mobile, a United States-based wireless network operator whose majority shareholder is the German telecommunications company Deutsche Telekom.
US regulators pressured Deutsche Telekom to stop using Huawei gear, and the companies believed they had to comply to win approval from Committee on Foreign Investment in the United States, headed by the Treasury Department.
Sprint Corp was advised by Centerview Partners, JP Morgan, Mizuho, SMBC, The Raine Group, Morrison & Foerster, Potter Anderson & Corroon, Simpson Thacher & Bartlett and Skadden Arps Slate Meagher & Flom. SoftBank, the largest shareholder of Sprint prior to the transaction, was advised by Morrison & Foerster on legal matters. Deutsche Telecom was advised by Deutsche Bank, Evercore, Goldman Sachs, Morgan Stanley, PJT Partners, Allen & Overy, Hogan Lovells, DLA Piper, Latham & Watkins, Richards Layton and Finger and Wachtell Lipton Rosen & Katz.
Husky won regulatory approval for $6.4bn MEG Energy takeover.
Husky Energy, one of Canada’s largest integrated energy companies, made a $6.4bn bid for MEG Energy, a pure play Canadian oil sands producer engaged in exploration in Northern Alberta, on September 30.
Under the terms of Husky’s proposal, each MEG shareholder will have the option to choose to receive consideration per MEG share of $11 in cash or 0.485 of a Husky share, subject to maximum aggregate cash consideration of $1bn and a maximum aggregate number of Husky shares issued of approximately 107m. The offer represents a 37% premium over MEG stock price on September 28. MEG Energy rejected the offer.
Kingsdale, BMO Capital Markets and Bennett Jones advised MEG Energy, while Goldman Sachs and Osler Hoskin & Harcourt advised Husky Energy.
Rent-a-Center canceled the $1.37bn takeover by Vintage Capital. (FS)
The deal was initially announced on June 18, 2018. Vintage Capital offered $15 per share of Rent-a-Center, an American public furniture and electronics rent-to-own company based in Plano, Texas. Rent-A-Center said it would not exercise its right to extend the deadline for the deal “in light of the current financial and operational performance of the company.”
Under terms of the deal, Vintage Capital has to pay a reverse breakup fee of $126.5m within three business days.
Rent-a-Center was advised by JP Morgan, Sullivan & Cromwell and Winston & Strawn. Vintage Capital was advised by B. Riley, Guggenheim and Wilson Sonsini Goodrich & Rosati.
Veritas Capital completed the $685m acquisition of Cambium. (FS)
Veritas Capital acquired Cambium Learning Group, a leading educational technology solutions company committed to helping all students reach their full potential, for $685m on October 15. Veritas paid $14.50 in cash per share.
“Education is a key focus area for Veritas given its importance to the nation, and we are excited to partner with Cambium and its management team to advance the Company’s leadership in preK-12 digital education,” said Ramzi Musallam, Chief Executive Officer and Managing Partner of Veritas Capital. “We look forward to supporting Cambium’s continued growth and investment in the development of new, innovative products, technology and services to help improve outcomes for students, parents, educators and school districts.”
Macquarie Group and Lowenstein Sandler advised Cambium. Schulte Roth & Zabel advised Veritas.
Taesa to acquire new transmission licenses.
Brazil’s Transmissora Aliança de Energia Elétrica SA is interested in bidding for new licenses to operate transmission lines, Chief Executive Officer Raul Lycurgo Leite said on Tuesday. The announcement comes right after striking a $348m deal to acquire transmission lines owned by Ambar Energia, a subsidiary of J&F Investimentos SA, the holding company controlled by the Batista family, which also owns meatpacker JBS SA. Taesa will pay $242m to J&F and assume $106m in debt, executives said.
“The deal does not affect our interest in bidding for new licenses. We will participate in the auction”, Raul Lycurgo Leite told Reuters on Tuesday, referring to an auction scheduled for December 20.
