M&A daily wrap: Oak Hill, Harvest Partners, Cressey, VetCor, GI Partners, dealmaker’s guide to summer reading
Oak Hill Capital Partners is buying a stake in veterinary hospital chain VetCor Group Holdings Corp. Existing shareholders Harvest Partners, Cressey & Co. and the target's management are also investing. VetCor, based in Hingham, Massachusetts, operates 272 hospitals, with a total of 900 veterinarians, in 28 states. VetCor hospitals provide a range of products and services, including medical and surgical treatments, boarding and grooming. "VetCor’s future has never been brighter, as we continue to expand our network and our level of collective resources for our hospitals to best serve their patients, clients, and communities," says CEO Dan Adams. Americans are treating pets more and more like people, which has triggered a surge in products and services for animals, prompting many a middle-market deal. For more on private equity firms backing vets, read our in-depth feature: Why private equity firms like veterinarians, opthamologists and dentists. Jefferies is advising VetCor; Paul, Weiss, Rifkind, Wharton & Garrison LLP is representing Oak Hill; White & Case is representing Harvest; and Ropes & gray is representing Cressey.
“We did very well last year in the massive tax reform bill,” says Patrick Morris, the CEO of the Association for Corporate Growth, in this video interview shot at InterGrowth 2018. “We need to keep an eye on what's going on with the decision makers, especially in Washington and to continue to educate them as to what the middle market really is.” Watch the video: ACG will keep promoting the middle market to lawmakers.
From stories of star athletes Arnold Palmer, Keith Hernandez and Tiger Woods to advice from entrepreneurs Bridgewater Associates’ Ray Dalio, KPCB’s John Doerr, Nike’s Phil Knight and Brava Investments’ Nathalie Molina Niño, plus strategies to help business leaders in general, and female dealmakers in particular, the 15 books on Mergers & Acquisitions’ summer reading list entertain, instruct and inspire. Check out our listicle: Dealmaker’s guide to summer reading: 15 new books.
GI Partners is acquiring and combining egg donor bank California Cryobank and stem cell collector Cord Blood Registry. The combined company represents GI Partners' fifth investment out of the firm's fifth fund. California Cryobank was previously owned by Longitude Capital and NovaQuest Capital. Morrison & Foerster is representing California Cryobank.
BWAY Holding Co., a subsidiary of Stone Canyon Industries LLC, has agreed to acquire Industrial Container Services, a supplier of steel and plastic drums, from Centerbridge Partners for $1 billion. The target works mostly with the food and beverage and chemical sectors. Stone Canyon is a industrial services holding company that was formed in 2016 through the acquisition of container maker BWAY. Goldman Sachs (NYSE: GS) and Gibson, Dunn & Crutcher are advising Stone Canyon. Piper Jaffray & Co. (NYSE: PJC) and Kirkland & Ellis are advising Centerbridge and Industrial Container.
Environmental products manufacturer Q.E.D. Environmental Systems has acquired the Snap Sampler passive ground water sampling technology from ProHydro Inc.
PPM America Capital Partners has closed its seventh private equity co-investment fund at $648 million. The fund will focus on North Amercian middle-market buyouts. PPM America's PE arm manages about $2.8 billion in assets.
For more deal news, read the The weekly wrap: Stryker, Boston Scientific, KKR. And for news on PE fundraising, see PE fundraising scorecard: Bain Capital Europe and JMI Equity.
Peter Van Raalte, co-founder of Corinthian Capital, and Mary Kathleen Flynn, editor-in-chief of Mergers & Acquisitions, were featured speakers at the ACG NY Industrial Conference at the New York Athletic Club. The conference is part of the ACG Northeast Industry Tour, sponsored by ACG New York, ACG Boston and ACG Philadelphia. View our slideshow: Manufacturing M&A: high prices but plenty of opportunities.
“If there's one theme we're seeing across all of our deals, it is the digital transformation of all companies,” says Matt Conaty, director, financial sponsors, William Blair, in this video interview, shot at ACG InterGrowth 2018. William Blair won Mergers & Acquisitions’ M&A Mid-Market Award for 2017 Investment Bank of the Year. Watch the video: Digital transformation is the name of the game, says William Blair’s Matt Conaty.
With summer road trips in mind, check out our slideshow on auto deals: Car parts makers fuel M&A, as industry readies for self-driving vehicles. Highlights include: Intel bought Mobileye, and Delphi bought nuTonomy. Meanwhile, private equity firms, including Clearlake, CenterOak Partners and Wabash National, are scooping up all sorts of car-related companies from parts makers to service providers.
In our updated Buyer’s Guide, we profile nine categories of product and services designed to help M&A professionals perform in today’s highly competitive dealmaking arena. Read the full story: From fund administrators to VDRs, dozens of firms help M&A pros compete.
Read full coverage of Mergers & Acquisitions' 11th annual M&A Mid-Market Award winners: Campbell Soup, Huron Capital, Idera CEO Randy Jacops, LLR Partners, McGuireWoods, Stryker, Twin Brook and William Blair.