PRIVATE EQUITY – UNITED STATES

TPG bid ‘cherry-picks’ Fairfax assets

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Original article by Max Mason, Sarah Thompson, Anthony Macdonald
The Australian Financial Review – Page: 1 & 14 : 9-May-17

Legg Mason Martin Currie’s Patrick Potts says TPG Capital should make a takeover offer for all of Fairfax Media’s assets. TPG and the Ontario Teachers’ Pension Plan have made an indicative offer of $A0.95 per share for the Domain property listings business, Fairfax’s three flagship newspapers, and its events and digital ventures. Potts believes the $A2.2bn offer undervalues the assets that the TPG-led consortium wants to buy, while he adds that Fairfax shareholders would be left with "structurally challenged assets" whose value is difficult to determine.

CORPORATES
FAIRFAX MEDIA LIMITED – ASX FXJ, TPG CAPITAL LP, ONTARIO TEACHERS’ PENSION PLAN, DOMAIN.COM.AU, LEGG MASON MARTIN CURRIE, THORNEY INVESTMENT GROUP AUSTRALIA PTY LTD, ALLURE MEDIA PTY LTD, THE HUFFINGTON POST, MACQUARIE MEDIA LIMITED – ASX MRN, STAN ENTERTAINMENT PTY LTD, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, DEUTSCHE BANK AG, FAIRFAX NEW ZEALAND LIMITED, NZME LIMITED – ASX NZM, NEW ZEALAND. COMMERCE COMMISSION, PLATINUM EQUITY HOLDINGS, APN NEWS AND MEDIA LIMITED – ASX APN, FETCH PLUS INCORPORATED PTE LTD

KKR in fresh $7.3bn Tatts bid

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Original article by Bridget Carter
The Australian – Page: 17 & 25 : 19-Apr-17

The Pacific Consortium, which is headed by private equity firm Kohlberg Kravis Roberts, has made a revised takeover bid for Tatts Group. The consortium’s latest offer of $A7.3bn values the wagering and lotteries group at $A4.21 per share, and would not require Australian Competition & Consumer Commission approval. Tabcorp is awaiting the Competition Tribunal’s decision on its rival cash and scrip bid. The Pacific Consortium first proposed acquiring Tatts in late 2016, with plans to demerge its wagering business.

CORPORATES
TATTS GROUP LIMITED – ASX TTS, PACIFIC CONSORTIUM, KOHLBERG KRAVIS ROBERTS AND COMPANY, KKR AND COMPANY LP, TABCORP HOLDINGS LIMITED – ASX TAH, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, AUSTRALIA. COMPETITION TRIBUNAL, MACQUARIE GROUP LIMITED – ASX MQG, MORGAN STANLEY INFRASTRUCTURE, FIRST STATE SUPER, RACING NSW, MACQUARIE CAPITAL PTY LTD, GOLDMAN SACHS AUSTRALIA GROUP HOLDINGS PTY LTD, UBS HOLDINGS PTY LTD

Fairfax spikes on talk of takeover

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Original article by Mitchell Bingemann, Stephen Brook
The Australian – Page: 21 : 30-Mar-17

Shares in Fairfax Media closed 2.8 per cent higher at $A1.095 on 29 March 2017, after reaching a six-year high of $A1.15. The stock has rallied on the strength of speculation that TPG Capital has been actively buying Fairfax shares and could launch a takeover bid. The private equity firm is believed to have held talks with other media groups regarding Fairfax assets in the event of a takeover play.

CORPORATES
FAIRFAX MEDIA LIMITED – ASX FXJ, TPG CAPITAL LP, DOMAIN.COM.AU, SEVEN WEST MEDIA LIMITED – ASX SWM, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, PLATINUM CAPITAL FUND, CERBERUS CAPITAL MANAGEMENT LP, FORTRESS INVESTMENT GROUP LLC, CREDIT SUISSE (AUSTRALIA) LIMITED, GILBERT AND TOBIN LAWYERS, MACQUARIE GROUP LIMITED – ASX MQG

KKR lured in Fairfax break-up hard sell

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Original article by Jake Mitchell
The Australian – Page: 19 & 22 : 18-May-16

Investment bank Credit Suisse is believed to have held meetings with private equity firm KKR regarding the acquisition of Fairfax Media. However, the media group itself was not involved in the talks, and KKR was not interested in a buyout. Providence Equity Partners and Hellman & Friedman are other private equity firms that could potentially be interested in Fairfax. Any buyer of the media group would most likely divest or cease publishing its print newspapers and focus on Fairfax’s digital assets, including Domain.

CORPORATES
FAIRFAX MEDIA LIMITED – ASX FXJ, CREDIT SUISSE (AUSTRALIA) LIMITED, KKR AND COMPANY LP, PROVIDENCE EQUITY PARTNERS INCORPORATED, HELLMAN AND FRIEDMAN, DOMAIN.COM.AU, STAN ENTERTAINMENT PTY LTD, MACQUARIE MEDIA LIMITED – ASX MRN, SEVEN MEDIA GROUP PTY LTD, APN NEWS AND MEDIA LIMITED – ASX APN, NZME, GRABONE, THE RADIO NETWORK

Investors puzzled as AWE rejects Lone Star bid

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Original article by Matt Chambers
The Australian – Page: 18 & 31 : 12-May-16

Shares in oil and gas producer AWE Limited closed 16 per cent higher at $A0.715 on 11 May 2016, after directors spurned an unsolicited takeover approach from a US private equity firm. Lone Star has offered $A0.80 per share, valuing the bid at $A420m, but AWE has described it as "opportunistic". The board was also concerned about some of the conditions attached to the bid, including a requirement for exclusivity. AWE’s shares have traded at an average of $A0.50 for much of 2016.

CORPORATES
AWE LIMITED – ASX AWE, LONE STAR FUNDS, LONE STAR JAPAN ACQUISITIONS LIMITED, DEUTSCHE BANK AG, CREDIT SUISSE (AUSTRALIA) LIMITED, PEMBROKE RESOURCES PTY LTD, PEABODY ENERGY CORPORATION, PENGANA GLOBAL RESOURCES FUND, PENGANA CAPITAL LIMITED, CUE ENERGY RESOURCES NL – ASX CUE, ELLERSTON CAPITAL PTY LTD, PERENNIAL INVESTMENT PARTNERS LIMITED, ANTARES ENERGY LIMITED – ASX AZZ

Blackstone measures Masters as retailers weigh up sites

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Original article by Catie Low
The Australian Financial Review – Page: 13 : 4-Feb-16

US private equity firm Blackstone Group has declined to comment on speculation that it may seek to acquire either the Masters Home Improvement business itself or its portfolio of stores. Meanwhile, Costco and Ikea are among the big-box retailers that are believed to be considering taking over some of the Masters stores, while Bunnings could potentially acquire about 25 outlets. David Errington of Bank of America Merrill Lynch estimates that Woolworths could recover around $A1bn from divesting its home improvement assets.

CORPORATES
WOOLWORTHS LIMITED – ASX WOW, MASTERS HOME IMPROVEMENT AUSTRALIA PTY LTD, THE BLACKSTONE GROUP LP, COSTCO WHOLESALE AUSTRALIA PTY LTD, IKEA TRADING PTY LTD, SPOTLIGHT GROUP HOLDINGS PTY LTD, SPOTLIGHT STORES PTY LTD, ANACONDA STORES PTY LTD, BUNNINGS GROUP LIMITED, WESFARMERS LIMITED – ASX WES, HOME TIMBER AND HARDWARE, METCASH LIMITED – ASX MTS, COLES SUPERMARKETS AUSTRALIA PTY LTD, LOWE’S COMPANIES INCORPORATED, TPG CAPITAL LP, BIG W DISCOUNT STORES, CROWN RESORTS LIMITED – ASX CWN, BLACKSTONE REAL ESTATE ADVISORS LLC

MYOB owner dismisses criticism from Xero

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Original article by Shaun Drummond, Sarah Thompson
The Australian Financial Review – Page: 11 & 17 : 1-Apr-15

US-based private equity firm Bain Capital will retain a controlling stake in MYOB when the software group debuts on the Australian sharemarket on 4 May 2015. The IPO is seeking to raise about $A830m, and shares in MYOB will be priced between $A3 and $A4 apiece. Rival accounting software group Xero has questioned MYOB’s claims about the size of its customer base

CORPORATES
MYOB TECHNOLOGY PTY LTD, BAIN CAPITAL LLC, XERO LIMITED – ASX XRO, CITIGROUP PTY LTD, GOLDMAN SACHS AND PARTNERS AUSTRALIA PTY LTD, MERRILL LYNCH (AUSTRALIA) PTY LTD, UBS HOLDINGS PTY LTD, ARCHER CAPITAL PTY LTD, HARBOURVEST PARTNERS

KKR snares GE Capital arm for $8.2b

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Original article by Sarah Thompson, Sally Patten, Anthony Macdonald
The Australian Financial Review – Page: 13 : 16-Mar-15

The Australasian consumer finance division of GE Capital will be sold to KKR & Company, Deutsche Bank and Varde Partners. The consortium will pay $A8.2bn for the business, whose operations include credit cards, personal loans and sales finance. The KKR-led consortium was one of four groups that made binding bids for the business, which GE put on the market in late 2014

CORPORATES
GE CAPITAL CORPORATION, KKR AND COMPANY LP, KOHLBERG KRAVIS ROBERTS AND COMPANY, DEUTSCHE BANK AG, VARDE PARTNERS INCORPORATED, TPG CAPITAL LP, ONTARIO TEACHERS’ PENSION PLAN, MACQUARIE GROUP LIMITED – ASX MQG, THE BLACKSTONE GROUP LP, LIBERTY FINANCIAL PTY LTD, GOVERNMENT OF SINGAPORE INVESTMENT CORPORATION PTE LTD, APOLLO GLOBAL MANAGEMENT LLC, JC FLOWERS AND COMPANY LLC, PEPPER AUSTRALIA, QATAR INVESTMENT AUTHORITY, CREDIT SUISSE AG, MORGAN STANLEY AND COMPANY INCORPORATED, BANK OF AMERICA CORPORATION, MERRILL LYNCH AND COMPANY INCORPORATED, CITIGROUP INCORPORATED, MOELIS AND COMPANY

Orica launches $400m share buyback

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Original article by Tim Binsted
The Australian Financial Review – Page: 17 : 3-Mar-15

Australian-listed Orica has revealed plans for an on-market share buyback from mid-March 2016. The explosives group intends to repurchase up to $A400m worth of shares over the next 12 months, following the sale of its chemicals division to Blackstone for $A750m. The private equity firm has announced that the business will be known as Ixom. It boasts EBIT of around $A110m and revenue of $A1.2bn

CORPORATES
ORICA LIMITED – ASX ORI, THE BLACKSTONE GROUP LP, IXOM, GOLDMAN SACHS AND PARTNERS AUSTRALIA PTY LTD, CITIGROUP PTY LTD, LAZARD PTY LTD, FONTERRA CO-OPERATIVE GROUP LIMITED, NUFARM LIMITED – ASX NUF, CALTEX AUSTRALIA LIMITED – ASX CTX, SYDNEY WATER CORPORATION, BLUESCOPE STEEL LIMITED – ASX BSL

Refinancing allows Boart boss to focus on long term

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Original article by Paul Garvey
The Australian – Page: 18 : 8-Dec-14

Investors in Australian-listed mining services group Boart Longyear are set to vote on a refinancing deal worth as much as $US342m ($A410m) with US-based private equity firm Centerbridge in mid-December 2014. It will come as a relief to CEO Richard O’Brien, who has had to face a series of crises since being appointed on 1 April 2013. He still believes that a turnaround in the resources sector may not occur until possibly 2016, and urges shareholders to support the package deemed "not fair but reasonable" by consultant KPMG

CORPORATES
BOART LONGYEAR LIMITED – ASX BLY, CENTERBRIDGE PARTNERS LP, KPMG AUSTRALIA PTY LTD, CGI GLASS LEWIS PTY LTD, ISS PROXY AUSTRALIA