Read on...
Scroll down to read deal descriptions. Your suggestions and comments support the democratisation of M&A data. If you'd like to contribute to the future editions, drop us a line.
AMERICAS
US Steel said an arbitration board had ruled in favour of Nippon Steel's $14.9bn buyout of the company, but that the United Steelworkers union disagreed with the decision, Reuters reported.
The board, jointly selected by the company and the union to settle disputes, ruled that US Steel had satisfied each of the conditions of the successorship clause in its basic labour agreement with the USW.
Nano Dimension, an electronics provider, agreed to acquire Markforged, a manufacturing company that invents a new 3D printing process, for $115m.
“In combining with Markforged, Nano Dimension is taking bold action in its journey towards becoming a digital manufacturing leader and being a foundational pillar of Industry 4.0. Markforged is an exceptional company with innovative AM materials and solutions for true production. Their prowess is validated by their more than fifteen thousand installed and connected systems in the field with many leading names across key industry verticals. I am excited to work with Shai Terem and his team, who have done an exceptional job developing their cutting-edge solutions. This is all the more substantial when we think about the anticipated closing of our deal with Desktop Metal," Yoav Stern, Nano Dimension Chief Executive Officer.
Markforged is advised by Evercore and Goodwin Procter. Evercore is advised by Sullivan & Cromwell (led by Stephen M. Kotran). Nano Dimension is advised by Greenhill & Co, Greenberg Traurig and Sullivan & Worcester.
Primaris, an enclosed shopping centre focused REIT, agreed to acquire Les Galeries de la Capitale, a regional enclosed shopping centre, for $325m.
“This acquisition builds on Primaris’ profile as an attractive buyer of large, high-quality assets. Five of Canada’s ten largest pension funds have now vended market leading shopping centres to Primaris, taking back equity and convertible preferred equity investments in the REIT. Consistent with prior acquisitions, this property enhances the REIT’s value proposition with retailers, and offers a significant income growth opportunity consistent with the growth we see ahead for our existing assets,” Alex Avery, Primaris CEO.
Les Galeries de la Capitale is advised by RBC Capital Markets. Primaris is advised by CBRE Group, Desjardins and TD Securities.
Apogee Enterprises, an architectural services company, agreed to acquire UW Interco, a vertically integrated manufacturer of high-performance coated substrates, from Heartwood Partners, a middle market private equity firm, for $240m.
“UW Solutions is a highly strategic acquisition, aligned with our strategy of adding differentiated businesses with a track record of operating excellence to our portfolio. This acquisition will strengthen LSO, our most profitable business segment, and expands our offering of high-performance coated substrate solutions," Ty R. Silberhorn, Apogee Chief Executive Officer.
Apogee Enterprises is advised by Centerview Partners and Cleary Gottlieb Steen & Hamilton.
L Catterton, a private equity firm, agreed to acquire a majority stake in [solidcore], a network of fitness studios providing targeted strength training on custom-built reformers, from investment firms VMG Partners, Kohlberg & Company, and Peterson Partners. Financial terms were not disclosed.
"This partnership is an incredible affirmation of the very special company that we've built, and the transformative period of growth that the business has undergone over the last few years. As we considered potential partners, L Catterton quickly rose to the top of the list given our aligned values and their deep industry knowledge that give them a unique ability to accelerate our growth and success. This is truly just the beginning for [solidcore]," Bryan Myers, [solidcore] President & CEO.
BTG Pactual, a financial company that operates in the markets of investment banking, wealth management, and asset management, completed the acquisition of Greytown Advisors, an investment management company that offers asset management, consultation and financial services. Financial terms were not disclosed.
“Greytown was not the first or the only one we looked at, but it was the first one we reached an agreement with after two years of courtship,” Rogerio Pessoa, BTG Partner.
Blackstone signals deal exits will remain muted this quarter. (FS)
Blackstone, the world’s largest alternative asset manager, signaled that profits from selling deals will remain subdued this quarter. The firm disclosed two preliminary profit measures tied to realizations from the start of the third quarter through September 24, Bloomberg reported.
It generated about $225m of realized performance revenue and roughly $45m of realized principal investment income.
Flutter plans $5bn buyback, boosts US outlook.
Flutter Entertainment, parent of the FanDuel gambling company, announced plans to repurchase as much as $5bn of its shares over the next few years as the US sports betting market surges.
The board authorized the program, which is expected to kick off after the company announces its financial results in November and continue for three-to-four years, Bloomberg reported.
Shale producer Validus to buy Citizen Energy in deal worth over $2bn.
Privately held oil and gas producer Validus Energy has struck a deal to buy rival Citizen Energy for more than $2bn, including debt. A record consolidation wave has been sweeping through the US shale industry.
A post-covid surge in oil prices flooded the sector with cash, and buyers have been seeking to lock up the best drilling sites. Validus prevailed in the auction for Tulsa-based Citizen Energy over other bidders, Reuters reported.
Lexmark owners weigh $2bn sale of printer maker. (FS)
Lexmark International’s owners are considering a sale of the laser printer maker, Bloomberg reported.
The company’s shareholders, which include Asian private equity firm PAG, are working with an adviser to gauge interest in the business. A sale of Lexmark is likely to attract other buyout funds and could fetch around $1.8bn to $2bn.
Oil refiner Vertex Energy files bankruptcy, explores sale.
Publicly traded oil refiner Vertex Energy filed bankruptcy to implement a lender-backed plan to either sell its assets or restructure its balance sheet, Bloomberg reported.
Vertex Energy sought court protection late September 24 in Texas, listing more than $772m in assets and $642.8m in debt on its Chapter 11 petition. The company’s shares have been declining for months and were trading at about 14 cents on September 25.
OpenAI to remove non-profit control and give Sam Altman equity.
ChatGPT-maker OpenAI is working on a plan to restructure its core business into a for-profit benefit corporation that will no longer be controlled by its non-profit board, in a move that will make the company more attractive to investors, Reuters reported.
The OpenAI non-profit will continue to exist and own a minority stake in the for-profit company. The move could also have implications for how the company manages AI risks in a new governance structure.
ADP nears $1.2bn deal for WorkForce Software. (FS)
Automatic Data Processing, the human-resources software provider, is in talks to buy WorkForce Software for about $1.2bn, Bloomberg reported.
ADP could announce a deal to acquire the Livonia, Michigan-based company from its backers including Elliott Investment Management and Insight Partners in the coming weeks.
Olympics caterer Sodexo weighs acquisition of Aramark.
French food catering firm Sodexo is exploring a potential acquisition of US rival Aramark as it seeks growth overseas. Sodexo has been discussing a possible purchase of Aramark on and off in recent months, Bloomberg reported.
Shares of Aramark jumped as much as 13% in after-hour trading in New York following the Bloomberg News report. The stock has gained 33% this year, giving the company a market capitalization of about $9.8bn.
Cerebras Systems targets raising up to $1bn in IPO.
Cerebras Systems is planning to kick off its initial public offering this week with a view to raising as much as $1bn in a New York listing, Bloomberg reported.
The Silicon Valley firm startup, which makes semiconductors optimized for artificial intelligence uses, is planning to file to go public with the US Securities and Exchange Commission as soon as September 27 ahead of launching an investor roadshow in the coming weeks.
EMEA
Macquarie, a global asset manager, completed the acquisition of the remaining 20% stake in National Gas, a gas supplier, from National Grid, an electricity and gas utility company. Financial terms were not disclosed.
“We would like to thank National Grid for its partnership over the past two years, during which time we have continued to invest in National Gas and supported the company’s ongoing role in delivering a safe and reliable supply of gas to domestic, commercial, and industrial energy users throughout Britain. This transaction underlines our commitment to National Gas and the critical role – which was emphasised again this month by both the Electricity System Operator and Ofgem – we believe its infrastructure will continue to play as the UK delivers its ambitious energy security and decarbonisation goals,” Will Price, Macquarie Asset Management Head of Utilities EMEA.
National Grid was advised by Barclays and Linklaters (led by Charles Turner).
CDPQ, a global investment group, agreed to acquire a 25% stake in First Hydro, a critical electricity generation and storage facility in the United Kingdom, from Brookfield, an investment management company. Financial terms were not disclosed.
“First Hydro is playing a critical role in helping the United Kingdom manage its national electricity system and meet its net zero commitment by providing renewable electricity and storage capabilities. This investment marks CDPQ’s first foray into pumped hydro storage, and we are delighted to join forces with Engie, a longstanding partner for CDPQ and a world leader in the energy sector," Emmanuel Jaclot, CDPQ Executive Vice-President and Head of Infrastructure.
Brookfield is advised by Barclays. CDPQ is advised by UBS.
Visa, a multinational payment card services corporation, agreed to acquire Featurespace, a developer of real-time artificial intelligence payments protection technology that prevents and mitigates payments fraud and financial crime risks. Financial terms were not disclosed.
“Providing our clients with solutions that can adapt to and anticipate the changing threat landscape is of the utmost importance. Featurespace's strong foundation in AI will enhance our existing product portfolio and enable us to address our clients’ most complex and pressing challenges. We look forward to welcoming the Featurespace team to Visa," Antony Cahill, Visa Global Head of Value-added Services at Visa.
Featurespace is advised by Citigroup.
Power infrastructure developer VivoPower said on September 25 that the combined company, following its merger with Future Automotive Solutions and Technologies, would be headquartered in the United Kingdom. VivoPower said it hopes to qualify for potential government incentives in the UK, which has a target to decarbonize its electricity sector by 2030.
"This is in an effort to qualify for significant and attractive potential UK Government incentives that have been announced," VivoPower.
Credit rating agency S&P Global said it saw risks that Commerzbank's creditworthiness could come under pressure if Italian bank UniCredit succeeded in its takeover attempt, Reuters reported.
It is too early to say whether UniCredit can further increase its stake in Commerzbank and eventually push through a combination of the German rival with the Italian group's local unit HVB.
Commerzbank pledged to increase profitability and pay out more money to investors as it enters talks with rival UniCredit. Chief Executive Officer-designate Bettina Orlopp told a conference Thursday that she’ll meet with UniCredit on Friday to discuss any proposals the Italian lender has after taking a major stake.
Saudi Aramco raises $3 billion from second debt sale since July.
State oil giant Saudi Aramco has raised $3bn from two-part Islamic bonds, or sukuk, tapping the debt markets for the second time this year as it expects to pay huge dividends, mainly to the government, Reuters reported.
The state oil giant on September 25 sold $1.5bn in five-year sukuk at a spread of 85 basis points over US Treasuries and $1.5bn in 10-year Islamic bonds at 100 bps above the same benchmark.
Octopus Energy to invest £2bn in UK clean energy.
UK power supplier Octopus Energy said on September 26 it would invest £2bn ($2.7bn) in British clean energy projects by 2030, Reuters reported.
It announced the plan as it finalised the acquisition of four solar projects in England from Germany's BayWa that have a combined capacity of 222 megawatts. Due to be operational between 2025-2026, the solar farms will produce enough power for 80k homes.
Jaguar Land Rover drives Halewood EV future with £500m investment.
Jaguar Land Rover has revealed a further £500m ($668m) investment in its Halewood plant on Merseyside to bolster future production of all-electric cars at the site, Sky News reported.
The country's largest automotive manufacturer, which revealed plans in 2023 to produce the first emission-free model at Halewood in early 2025, is now targeting a timeframe later that year. It signalled a greater ambition for Halewood at a time when global demand for new cars remains constrained.
Stellantis and Orano drop planned JV to recycle electric car batteries.
Franco-Italian automaker Stellantis and French nuclear fuels firm Orano have dropped their planned joint venture to recycle electric car batteries, both companies said on September 26.
The two companies had signed a memorandum of understanding last year. The JV was to help recycle used electric vehicle batteries and scrap materials from Stellantis gigafactories in Europe and North America, with production set to start in the first part of 2026.
BASF slashes dividend, weighs unit listing as slump Deepens.
BASF will cut its dividend and hive off assets as part of a broad overhaul that could involve further plant closures in Germany to counter high energy prices and a persistent slump in China. The new measures include preparing the agricultural unit for a possible listing, Bloomberg reported.
The segment, which makes crop protection products like herbicides and fungicides, reported about €10bn ($11.1bn) in sales last year.
Morrisons strikes £370m property deal in bid to shrink debt pile. (FS)
Morrisons, the supermarket chain, has struck a £370m ($494m) deal to unlock value from its vast property portfolio as its owners seek to further shrink the company’s debt pile. The private equity-backed grocer has agreed a mammoth ground rent transaction with Song Capital, a real estate investor, Sky News reported.
Song Capital will pay £370m ($494m) for the right to receive an income stream from 75 of the chain's supermarkets for the next 45 years.
Song Capital was advised by Rothschild & Co.
ABF-backed food supply chain group Czarnikow plots £300m float.
A specialist food supply chain group backed by Associated British Foods, the owner of Primark, is plotting a London stock market flotation that could value it at more than £300m ($401m).
Czarnikow, which is based in the UK and is often referred to as CZ, has begun meeting prospective investors about an initial public offering that would take place in the coming months, Sky News reported.
Europastry said to plan IPO launch as soon as Sept 26.
Spanish bread and pastry maker Europastry is set to kick off its initial public offering in Spain. The Barcelona-based firm plans to announce the price range for the share sale as soon as September 26 and start taking investor orders a day later, Bloomberg reported.
It could have a valuation of as much as €1.5bn ($1.7bn). Trading could start early next month.
Vitruvian raises over $8bn for latest buyout fund. (FS)
Vitruvian Partners, a PE firm focused on investments in middle market companies, has closed its latest buyout fund, Vitruvian Investment Partnership V, at €7.3bn ($8.1bn) in total capital commitments, surpassing its initial target of €6.5bn ($7.2bn).
Law firm Kirkland & Ellis advised Vitruvian on the formation of the fund, which attracted commitments from over 200 global institutions, including sovereign wealth funds, public and corporate pension funds, funds of funds, banks, insurers, endowments, foundations, and private wealth clients.
Pictet raises over $200m for thematic private equity technology fund II. (FS)
Pictet Alternative Advisors, an independent unit of the Pictet Group which manages hedge fund PE and real estate investments, has held the final close of the second vintage of its technology-focused thematic private equity fund at more than $200m.
Managed by Stanislas Chanavat, Chuang Zhu, Nicolas Schwyn and Jacqueline Xu, the Technology strategy targets high-conviction investment opportunities in the key segments of enterprise software, data & AI, cybersecurity and fintech.
APAC
MBK Partners, a private equity firm, offered to acquire Korea Zinc, a non-ferrous metal smelter company, for $11.6bn.
MBK Partners sweetened its unsolicited bid for control of Korea Zinc by about 14%, pushing the stock to a record and valuing the world’s biggest zinc smelter at KRW15.5tn ($11.6bn), Bloomberg reported.
The private equity fund is now offering KRW750k ($0.42) per share, compared with the previous offer of KRW660k ($0.37) each.
Australian fund manager Platinum Asset Management on September 26 rejected a takeover offer from hedge fund Regal Partners saying that the proposal undervalued the company, Reuters reported.
Regal Partners' non-binding proposal grants Platinum investors 0.274 shares and a special AUD0.20 ($0.14) dividend per holding. The offer, made on September 17, valued the fund manager at about AUD616.5m ($421m) and reflected Regal Partners' "broader growth ambitions".
HK's New World Development suspends trading as CEO to be replaced.
Hong Kong’s New World Development suspended trading of its shares on September 26 pending an announcement, after reports that CEO Adrian Cheng – the third-generation scion of the firm’s founding family – will be reassigned to a non-executive role, DealStreetAsia reported.
The property developer is due to publish earnings for the year through June at 0830 GMT having flagged its first annual loss in two decades of as much as HKD20bn ($2.57bn). It is also widely expected to announce management changes.
South Korea pension fund to relax FX rules to mitigate market impact. (FS)
South Korea‘s state pension fund will ease foreign exchange rules to minimise the market impact from its buying of dollars for overseas investments, the welfare ministry said on September 26, DealStreetAsia reported.
The National Pension Service will relax the limit on the amount of foreign exchange it can procure in advance to $6bn per quarter and $3bn per month, from the current $1bn per month.
NTT Group considers data center REIT IPO in Singapore.
Japan’s Nippon Telegraph & Telephone is considering listing a global data center real estate investment trust in Singapore, Bloomberg reported.
The Tokyo-based company known as NTT could raise as much as $1bn from the first-time share sale. The data center assets included in the REIT may be worth $2bn to $3bn.
Singapore entertainment firm Neon is said to weigh IPO next year. (FS)
Immersive entertainment group Neon is considering an initial public offering in Singapore that may raise as much as $389m, Bloomberg reported.
The company, which is backed by Temasek's 65 Equity Partners, has interviewed financial advisers for a potential offering that could take place as soon as next year. A first-time share sale may raise $311m to $389m.
Citi names Tokiya Kishie as head of Japan markets. (People)
Citigroup has appointed Tokiya Kishie as its new head of markets for Japan. Kishie joined Citi in 2010 after working at Nomura Securities, Lehman Brothers and Tokyo Star Bank, DealStreetAsia reported.
At Citi he has worked in various positions in Tokyo, New York and London and was most recently head of fixed income structuring for Japan, based in Tokyo. Kishie‘s appointment will be effective October 1, 2024, and he will report to Paul Smith, head of markets for Citi‘s Japan, Asia North and Australia cluster, and Robert Nakamura, country officer and banking head for Japan.
|
