Chemicals manufacturer Ashland Inc is in talks with at least seven private equity firms about selling its water technologies unit in a deal that could top $1.5 billion, according to people familiar with the matter, sister news service Reuters reported.
2 min read · 26 November 2013
Canada Pension Plan Investment Board this week announced new appointments to its management team. Among the changes, Benita Warmbold was named senior vice-president and CFO, to be responsible for all finance functions, while Nick Zelenczuk was named senior vice-president and COO, to be responsible for operations, technology and planning functions. Earlier this month, peHUB Canada interviewed André Bourbonnais, senior vice-president of private investments at CPPIB about his take on today’s deal opportunities.
2 min read · 26 November 2013
In the third quarter of 2013, both deals and dollars invested in Canada’s buyout and related private equity (PE) market showed growth, according to data provided by Thomson Reuters (publisher of peHUB Canada). Control-stake acquisitions, minority investments and other PE transactions totaled 68, up slightly from one year ago. Disclosed values totaled $4.0 billion, which is more than double the $1.5 billion of Q3 2012, and the highest level reached so far this year. However, to date in 2013, Canadian deal-making continues to lag activity in 2012, with 212 transactions absorbing $7.4 billion at the end of September, down 17% year over year. Click here for the complete Q3 2013 Canadian buyout-PE market report.
5 min read · 26 November 2013
U.S. private equity firm The Carlyle Group has agreed to buy Diversified Global Asset Management Corp (DGAM), a Toronto-based manager of hedge funds with more than US$6.7 billion in managed and advised assets. The deal's value was not published, though one source estimated it at US$33 million, plus a possible US$70 million if performance objectives are met. Upon completion of the transaction, expected in Feb. 2014, DGAM will become Carlyle’s hedge funds platform, with George Main and Warren Wright continuing in their roles as the company's CEO and CIO, respectively. Carlyle co-founder and co-CEO David M. Rubenstein said the buy would allow his firm to offer investors "the ability to allocate across alternatives in hedge funds, private equity and real estate.” Founded in 2004, DGAM invests on behalf of institutional investors.
4 min read · 26 November 2013
Private equity firm TPG has asked a specialized Dutch court to order an inquiry into the affairs of Strauss Coffee, in which it holds a 25 percent stake, claiming majority owner Strauss Group had abused its rights in the company.
2 min read · 26 November 2013
Carlyle Group LP said on Tuesday it would acquire Diversified Global Asset Management Corporation (DGAM), becoming the latest alternative asset manager to add a manager of funds that in turn invest in other hedge funds to its investment platform, sister news service Reuters reported.
2 min read · 26 November 2013
U.S. private equity firm Warburg Pincus has agreed to complete a secondary offering of shares in MEG Energy Corp (TSX:MEG), a Calgary-based company focused on sustainable in situ oil sands development and production in Western Canada. Under the terms of the agreement, Warburg Pincus will sell 5,000,000 common shares at a purchase price of $31.40 per share, realizing gross proceeds of $157 million. Upon closing of the transaction, Warburg Pincus will hold around 17% of all outstanding shares. Warburg Pincus and Canadian private equity firm KERN Partners invested in MEG prior to the company's $700 million initial public offering in 2010. MEG's other investors include the Caisse de dépôt et placement du Québec.
3 min read · 26 November 2013
Canada Bread Company Ltd, an affiliate of Toronto-based Maple Leaf Foods Inc (MFI: TSX), has completed the sale of its fresh pasta and sauce business Olivieri Foods to Ebro Foods SA. The acquisition price was previously disclosed as $120 million. Maple Leaf, which is backed by West Face Capital, last month indicated an interest in selling its majority stake in Canada Bread. Ebro Foods, a Madrid, Spain-based food group operating in the rice, pasta and sauces sectors, is a portfolio company of Spanish private equity firm Corporación Financiera Alba.
2 min read · 26 November 2013
At least six major private equity groups are competing to buy the industrial packaging segment of Illinois Tool Works Inc, in a deal that could fetch more than US$3 billion, people familiar with the matter told Reuters. Carlyle Group LP, Blackstone Group LP, Apollo Global Management LLC, Bain Capital LLC, Ares Management LLC and a consortium of Onex Corp and the Canada Pension Plan Investment Board (CPPIB) are among the firms that advanced to the second round of bidding, the people said. Illinois Tool Works announced in September it was initiating a process to sell the industrial packaging unit, as the conglomerate continues to streamline its diversified business lines.
2 min read · 26 November 2013
Private equity firm Hellman & Friedman has struck a deal to buy insurance software provider Applied Systems from Bain Capital for $1.8 billion, H&F said on Tuesday, sister news service Reuters reported.
2 min read · 26 November 2013
