M&A daily wrap: Camping World, Investcorp, Federated Investors, Paysafe, iPayment Holdings
Outdoor and camping retailer Camping World Holdings Inc. (NYSE: CWH) has agreed to acquire Cullum & Maxey Camping Center in Nashville. The deal is part of Camping World's strategy to grow geographically through M&A. "We are well-positioned to remain a leader in the RV industry as it continues to evolve,” says Camping World chief operating officer Brent Moody. Camping World recently agreed to buy Dixie RV Superstore. Outdoor-related deals, including makers of camping equipment, are picking up as consumers gear up for the Spring and Summer seasons. For example, lower middle-market private equity firm L2 Capital Partners formed a platform to focus on the camping sector through the investments of Insight 2 Design and Elevate LLC.
As Americans begin to plan road trips and other summer vacations, car deals are thriving, especially in the nascent self-driving tech sector. Intel bought Israel's Mobileye for about $15 billion. Meanwhile, in a much smaller deal, Delphi bought NuTonomy. As the industry readies for autonomous driving, there's a big wave of consolidation going on among makers of traditional car parts, with several new deals announced this week. Investcorp acquired KSI Trading Corp., a supplier of aftermarket auto body parts that services 10,000 collision repair shop customers across 25 locations in 14 states. Woodward Inc. bought diesel parts maker L'Orange from Rolls-Royce. And Canadian automotive retailer AutoCanada has acquired 15 stores from the Grossinger Auto Group. Akerman represented the seller. Other car part buyers include CenterOakPartners, Clearlake Capital Group and Wabash National. Meanwhile, Carl Icahn is among the sellers. Check out our slideshow on the rush of activity.
Federated Investors Inc. (NYSE: FII) agreed to buy a 60 percent stake in Hermes Fund Managers Ltd. from BT Pension Scheme for about $350 million. London-based Hermes provides 16 differentiated strategies in high-active share equities, credit and private markets, including real estate, infrastructure and private equity, serving more than 550 clients through wholesale and institutional markets. "This is a growth opportunity for both Federated and Hermes, with Hermes' range of investment strategies serving as effective complements to Federated's existing strategies in equity, fixed income and cash management," says Federated CEO Christoper Donahue. BTPS will keep a 29.5 percent stake in Hermes while other members of management will hold a 10.5 percent stake. Citigroup Global Markets (NYSE: C) and Barclays are advising Federated. PwC and Allen and Overy are advising BTPS. Fenchurch Advisory Partners is advising Hermes.
Paysafe, the U.K.-based payments provider serving a concentration of small and midsize merchants in global markets, is buying iPayment Holdings, a processor with a similar focus in the U.S. The move will bring 450 employees in Westlake Village, California-based iPayment’s four U.S. offices and more than 137,000 merchant customers under Paysafe’s umbrella, putting it among one of the top five nonbank payment processors in the U.S. RBC Capital Markets is advising Paysafe and Gibson Dunn & Crutcher is representing iPayments. Read the full story here.
HCL Technology and Sumeru Equity Partners have agreed to buy Actian Corp for $330 million. HCL will own 80 percent while Sumeru Equity will have about 20 percent of the target. Actian, of Palo Alto, California, provides data management and analytics services. Kirkland & Ellis is representing Sumeru.
Alpine Investors is backing Comniscient Technologies LLC, known as Comlinkdata, a provider of telecom market data and insights. Comlinkdata founder Steve Brodeur will become president and remain active in the business. Charles Rutstein, an Alpine CEO-in-Residence and part of the firm’s PeopleFirst program, has assumed the role of CEO at Comlinkdata.
Orchard Platform Markets, a provider of lending data and services backed by the former heads of Citigroup and Morgan Stanley (NYSE: MS), is set to be acquired by the small-business lending platform Kabbage, according to Bloomberg News. Read the full story here.
Catch up on recent transactions, including deals made by Francisco Partners and Tenneco, in the weekly wrap.
See which private equity firms are raising funds, such as Apollo Accord, in our weekly PE fundraising scorecard.
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.