18 Dec, 2023
Blackstone aims to trim PGP Glass stake; KKR eyes 50% stake in Cotiviti
S&P Global Market Intelligence presents In Play Today, a periodic summary of potential private equity deal activity, including rumored transactions. This summary is based on information obtained on a best-efforts basis and may not be inclusive of all potential deal activity.
– TPG Inc., Peak XV Partners and Matrix Partners India Advisors LLP plan to divest a stake as large as 8.81% in Five-Star Business Finance Ltd., operator of a nonbanking financial company in India, The Economic Times reported. The deal is expected to raise up to 18.76 billion Indian rupees, according to a term sheet issued by banker ICICI Securities.
– Blackstone Inc. looks to sell a stake of up to 50% in PGP Glass Private Ltd., an India-based glass container manufacturer for the cosmetics, pharmaceutical and specialty food and beverage industries, Mint reported, citing three people aware of the development. The listed private equity firm, which acquired PGP in 2020, hired Jefferies Group LLC to find a buyer for the bottle maker.
– KKR & Co. Inc. is closing in on a deal to acquire an up to 50% stake in healthcare software business Cotiviti Inc., a portfolio company of private equity firm Veritas Capital Fund Management LLC, The Wall Street Journal reported, citing people familiar with the matter. The deal would value Cotiviti at about $11 billion.
– KKR, Blackstone-backed Quality CARE India Ltd. and Ontario Teachers' Pension Plan Board submitted nonbinding term sheets for a stake in the Indian business of Aster DM Healthcare Ltd., a Dubai-based healthcare provider operating in India and the Middle East, Mint reported, citing sources with knowledge of the potential deal.
– ChrysCapital, Everbridge Partners and The Capital Group Cos. Inc. plan to sell stakes in India-based pharmaceutical company Mankind Pharma Ltd., The Economic Times reported. Kotak Mahindra Capital is advising on the deal to sell a 5% to 6% stake worth 30 billion to 40 billion Indian rupees with a discount of up to 7% discount from the current price. A floor was set at 1,785.65 rupees per share.
– Pension fund Caisse de dépôt et placement du Québec and private equity firm Actis LLP are in final negotiations to acquire the build-operate-transfer (BOT) toll road assets held by infrastructure business Ashoka Concessions Ltd., The Economic Times reported, citing sources aware of the development. The equity value of the assets is estimated at between 13 billion rupees and 15 billion rupees, and the enterprise value is estimated at 45 billion rupees. KKR terminated a proposed transaction for the BOT toll roads in May.
– KKR hired bankers to advise on the potential sale of its song rights catalog, Financial Times of London reported, citing sources familiar with the matter. The catalog of about 65,000 songs was acquired for $1.1 billion from Kobalt Capital in 2021 and has attracted interest from prospective buyers.
– The Carlyle Group Inc. plans to exit Groupe Acrotec SA via sale or IPO, a deal that could value the Swiss luxury-watch parts maker at up to $4.6 billion, Bloomberg News reported, citing people familiar with the matter. Carlyle hired Rothschild & Co. to prepare for a potential IPO.
– Bain Capital LP and Cinven Ltd. are weighing a bid for Spain-based INDRA SOLUCIONES TECNOLOGÍAS DE LA INFORMACIÓN S.LU., or Minsait, a subsidiary of Indra Sistemas SA operating as a digital transformation consultancy, Reuters reported, citing news website El Confidencial. According to El Confidencial, Bain aims to acquire a stake of at least 49% in the company, which is estimated to be worth between $1.72 billion and $1.94 billion.
– Bain Capital plans to sell a 1.1% stake in lender Axis Bank Ltd. in a $444 million block deal, Moneycontrol.com reported, citing multiple industry sources. The sources said Goldman Sachs was advising on the proposed transaction.
– Carlyle, KKR, General Atlantic Service Co. LP and Kedaara Capital Investment Managers Ltd. are weighing an invitation to acquire a 25% to 30% stake in Crest Data Systems India LLP, a business specializing in software product engineering, data analytics and cloud and digital infrastructure solutions, Mint reported, citing people with knowledge of the development. Kotak Mahindra Capital Co. Ltd. was recruited to find potential buyers in a deal that would value Crest at $500 million to $600 million.
– Warburg Pincus LLC is seen as likely to sell a stake of a little more than 9% in Fusion Micro Finance Ltd., which offers micro-loans to women entrepreneurs in India, The Economic Times reported. The floor price was set at a discount of nearly 5% to the stock's current market price, and IIFL Securities Ltd. is brokering the deal.
– American Industrial Acquisition Corp. entered into exclusive talks with French technological equipment supplier LACROIX Group SA to acquire its road signs business, which accounted for about 8% of the group's revenue in 2022. LACROIX announced its intention to seek a buyer for the business in February.
– Apollo Global Management Inc. is weighing a £5 billion takeover bid for UK specialty insurer Pension Insurance Corp. PLC, Sky News reported.
– General Atlantic is deemed likely to sell a 6.2% stake in KFin Technologies Ltd., a corporate registrar and transfer agency operating in India and internationally, The Economic Times reported, quoting sources. General Atlantic has an option to sell an additional 3.8% stake, bringing the potential deal size to a total of 10% stake. The floor for the sale was set at 490 rupees per share, a discount of 8% to current market price.
