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Zephyr Monthly M&A Report North America, November 2011
The following report details mergers and acquisitions activity in North America in November 2011 using data from the Zephyr database.
It focuses on deal activity by target company.
Clickhereto access the raw data in an Excel spreadsheet.
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© Zephyr
North American activity weakens in November
Zephyr Monthly M&A Report North America, November 2011
The value of deals targeting North American companies fell 26 per cent between October and November 2011 despite the number of deals remaining level. The decline suggests a drop in valuations during the four weeks, though there were seven blockbuster deals.
Overall deal value was driven down by weaker private equity activity and subdued US dealmaking.
The value of transactions with US targets stood at USD 64,704 million, which was 26 per cent lower than the USD 87,518 million recorded during the year-ago period. The number of deals fell at a slower rate of 5 per cent over the 12 months.
Canadian dealmaking also slowed year-on-year. There were 352 transactions with Canadian targets worth USD 7,911 million in November 2011, compared with 506 worth USD 13,189 million in November 2010.
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
Contact Zephyr Editorial:
North America deals by volume and value
Announced date
Nov-11 Oct-11 Sep-11 Aug-11 Jul-11 Jun-11 May-11 Apr-11 Mar-11 Feb-11 Jan-11 Dec-10 Nov-10
No of deals
1,069 1,062 1,116 1,100 1,140 1,255 1,112 1,146 1,161 1,144 1,291 1,311 1,258
+44 161 838 9554 zephyreditorial@bvdinfo.com
Total deal value (mil USD)
72,615 98,310 62,144 115,673 128,827 79,748 87,031 105,645 141,206 112,008 117,211 78,858 100,707
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
US deals by volume and value
Announced date
Nov-11 Oct-11
Sep-11 Aug-11 Jul-11 Jun-11 May-11 Apr-11 Mar-11 Feb-11 Jan-11
Dec-10 Nov-10
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© Zephyr
No of deals
716 749
810 821 838 937 790 771 778 784 943 813 753
Total deal value (mil USD)
64,704 87,753
52,663 109,215 121,836 68,262 72,424
88,784 131,232 99,695 105,066 66,062 87,518
Zephyr Monthly M&A Report North America, November 2011
Canada deals by volume and value
Announced date
Nov-11 Oct-11
Sep-11 Aug-11 Jul-11
Jun-11 May-11 Apr-11 Mar-11
Feb-11 Jan-11 Dec-10 Nov-10
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
No of deals
352 314
306 280 303 318 322 375 385
361 348 499 506
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Total deal value (mil USD)
7,911 10,558
9,481 6,458 6,992
11,486 14,607 16,861 9,980
12,317 12,146 13,079 13,189
+44 161 838 9554 zephyreditorial@bvdinfo.com
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
North America deals by volume and value
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© Zephyr
160,000
140,000
120,000
100,000
80,000
60,000
40,000
20,000
0
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Total deal value (mil USD)
Jun-11
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
Zephyr Monthly M&A Report North America, November 2011
Jul-11
Aug-11
Number of deals
Contact Zephyr Editorial:
Sep-11
Oct-11
Nov-11
+44 161 838 9554 zephyreditorial@bvdinfo.com
1,400
1,200
1,000
800
600
400
200
0
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
Seven mega-deals, majority of investment is domestic
The largest deal by value was a blockbuster worth USD 11,000 million. Biopharma group Gilead Sciences agreed to acquire anti-viral and anti-cancer drug developer Pharmasset to access a chronic hepatitis C therapy in late-stage trials. The deal is still subject to regulatory approval.
It was one of seven transactions worth more than USD 1,000 million to target a US-based company. Aside from Japan’s Itochu participating in a pending USD 7,200 million institutional buyout of oil and gas group Samson Investment all of these transactions had a single buyer based in the US.
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© Zephyr
Zephyr Monthly M&A Report North America, November 2011
US oil and gas is an important target, hospitality is a major grower
Companies targeted in high-value deals were involved in oil and gas exploration, development, production and transportation, and petroleum refining, as well as healthcare and pharmaceuticals, financial services and investments.
In monetary terms the growth industries year-on-year were the primary sector, insurance, transport and hotels/restaurants. The value of deals targeting hospitality companies increased eightfold from USD 128 million to USD 1,055 million driven by a secondary offering from Dunkin’ Brands Group worth USD 564 million, from which shareholders achieved an exit but the restaurant operator received no proceeds. Wood/cork/paper received no investment in November 2010 but USD 1,024 million in 2011.
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
Contact Zephyr Editorial:
+44 161 838 9554 zephyreditorial@bvdinfo.com
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
Top 20 deals by value
1 2
3
4 5 6 7 8
9
10
11 12
13 14 15 16 17 18 19 20
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Deal value (mil USD)
11,000 8,983
7,200
3,400 3,000 2,000 1,150 920
856
850
813 780
678 650 639 633 632 625 592 564
Deal type
Acquisition 100% Acquisition 100%
IBO 100%
Acquisition 100% Minority stake 5% Acquisition 100% Acquisition 50% Acquisition 100%
Acquisition 100%
Minority stake
Acquisition increased from 50% to 100% IBO 100%
Acquisition 100% Minority stake 5% Acquisition 100% - bid 2 - increased bid Minority stake 7% Minority stake Acquisition 100% Minority stake 6% Minority stake 18%
© Zephyr
Target
Target country
Pharmasset Inc. US Helios Strategic Mortgage Income Fund Inc.’s US assets Samson Investment Company US
Transatlantic Holdings Inc. Bank of America Corporation XLHealth Corporation Seaway Crude Pipeline Company Parallel Petroleum Corporation
US US US US US
MeadWestvaco Corporation’s Consumer & Office US Products business Colonial Pipeline Company; Colonial Ventures US; US LLC Best Buy Mobile US Tekelec Inc. US
Seaboard Holdings Inc. CIGNA Corporation Hathor Exploration Ltd Health Care REIT Inc. LinkedIn Corporation Gary-Williams Energy Corporation Energy Transfer Partners LP Dunkin’ Brands Group Inc.
US US CA US US US US US
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
Zephyr Monthly M&A Report North America, November 2011
Acquiror
Gilead Sciences Inc. Helios Total Return Fund Inc.
Acquiror country
US US
Deal status
Pending Pending
Itochu Corporation; Kohlberg Kravis Roberts & JP; US; US; Pending Company LP; NGP Energy Capital Management LLC; US Crestview Advisors LLC Shoreline Merger Sub LLC US Pending IPIC Group Ltd US Announced UnitedHealth Group Inc. US Pending Enbridge Holdings (Seaway) LLC US Pending Samsung C&T Corporation; Korean National Oil KR Announced Corporation Acco Brands Corporation US Pending
Caisse de Dépôt et Placement du Québec
CA
Pending
Best Buy Company Inc. US Announced Comvest Group Holdings LLC; Sankaty Advisors LLC; US; US; US; Pending GSO Capital Partners LP; Siris Capital Group LLC US The Weir Group plc GB Pending Announced RT Acquisition Corporation CA Pending Completed Announced Coffeyville Resources LLC US Pending Completed Announced
Contact Zephyr Editorial:
+44 161 838 9554 zephyreditorial@bvdinfo.com
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
Sensors for Medicine and Science Inc.
US
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
Target
Samson Investment Company
Temasek Holdings (Pte) Ltd; Eastern Capital Ltd Completed Welsh Carson Anderson & Stowe Announced EnCap Investments LP Completed ARCH Venture Partners LLC; Flagship Ventures Management Inc.; Celgene Corporation; Completed Third Rock Ventures LLC BFC Financial Corporation Pending Frazier Management LLC; OrbiMed Advisors LLC; Adams Street Partners LLC; Vivo Completed Ventures; SV Life Sciences Advisers LLC HealthCare Ventures LLC; New Enterprise Associates Inc.; Anthem Capital Management Completed LLC; Delphi Ventures LLP; Greenspring Associates Inc. Victory Park Capital Advisors LLC Announced EOS Partners LP Completed
Minority stake Whale Shark Media Inc. IBO 100% Distinction Group Inc. Minority stake Teine Energy Ltd Minority stake increased Canadian Pacific Railway Ltd 12% to 14% Minority stake Portola Pharmaceuticals Inc. Minority stake DriveCam Inc. Minority stake Eclipse Resources I LP Minority stake Agios Pharmaceuticals Inc.
US US
Contact Zephyr Editorial:
+44 161 838 9554 zephyreditorial@bvdinfo.com
US US
IBO 100%
Minority stake
IBO 48% Minority stake
8 9 10 11
150 149 95 91
Deal status
Zephyr Monthly M&A Report North America, November 2011
Equity provider
850 780
2 3
Target country
500 487 398 200
4 5 6 7
7,200
Deal value (mil USD)
1
16 17
18
52 50
54
71 68
19 20
12 13 14 15
89 85 80 78
© Zephyr
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CHK Utica LLC Physio-Control Inc. American Dental Partners Inc. Better Place Inc.
Deal type
US US US US
US CA CA CA
Colonial Pipeline Company; Colonial Ventures LLC Tekelec Inc.
Top 20 private equity deals by value
Bluegreen Corporation Rempex Pharmaceuticals Inc.
US
US; US US
IBO 100% Minority stake
Giordano’s Enterprises Inc’s assets LEAF Commercial Capital Inc.
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
US US US US
Minority stake IBO 100% IBO 100% Minority stake
Minority stake IBO 100%
Kohlberg Kravis Roberts & Company LP; NGP Energy Capital Management LLC; Pending Crestview Advisors LLC Caisse de Dépôt et Placement du Québec Pending Comvest Group Holdings LLC; Sankaty Advisors LLC; GSO Capital Partners LP; Pending Siris Capital Group LLC EIG Global Energy Partners LLC Completed Bain Capital LLC Pending JLL Partners Inc. Pending UBS; General Electric Company; Israel Corporation Ltd; VantagePoint Venture Partners Announced Inc.; HSBC Bank; Ofer Hi Tech Ltd; Morgan Stanley Investment Management Inc.; Maniv Energy Capital LLC JP Morgan; Institutional Venture Partners Completed Birch Hill Equity Partners Management Inc. Pending Canada Pension Plan Investment Board Completed Pershing Square Capital Management LP Completed
US valuations lower than year-ago, Canada sees growth
The value of private equity and venture capital investments in North America fell by a fifth year-on-year to USD 12,882 million from USD 16,122 million despite the volume of these deals growing by 6 per cent over the same timeframe. This implies that the region’s target companies are attracting weaker valuations from private equity buyers than they were a year ago.
This was true of the US but not of Canada. There were 20 private equity investments in Canadian businesses in November 2010 worth USD 268 million and 19 in November 2011 worth USD 432 million.
November’s top private equity deal was an institutional buyout of Samson Investment worth USD 7,200 million. The investors were Kohlberg Kravis Roberts, NGP Energy Capital Management and Crestview Advisors, while Itochu also participated as a trade buyer.
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© Zephyr
Zephyr Monthly M&A Report North America, November 2011
North America private equity deals by volume and value
Announced date
Nov-11 Oct-11 Sep-11 Aug-11 Jul-11 Jun-11 May-11 Apr-11 Mar-11 Feb-11 Jan-11 Dec-10 Nov-10
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
Contact Zephyr Editorial:
No of deals
253 279 316 296 305 352 287 266 279 270 297 221 239
+44 161 838 9554 zephyreditorial@bvdinfo.com
Total deal value (mil USD)
12,882 13,330 6,101 11,878 21,969 13,264 9,702 15,345 18,462 7,180 7,764 8,833 16,122
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
US private equity deals by volume and value
Announced date
Nov-11 Oct-11
Sep-11 Aug-11 Jul-11 Jun-11 May-11 Apr-11 Mar-11 Feb-11 Jan-11 Dec-10 Nov-10
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© Zephyr
No of deals
234 254
294 280 279 334 268 249 265 257 278 210 219
Total deal value (mil USD)
12,450 11,384
5,201 11,657 21,351 9,235 7,412 13,553 17,383 7,142 7,613 8,494 15,855
Zephyr Monthly M&A Report North America, November 2011
Canada private equity deals by volume and value
Announced date
Nov-11 Oct-11
Sep-11 Aug-11
Jul-11 Jun-11 May-11 Apr-11 Mar-11
Feb-11 Jan-11 Dec-10 Nov-10
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
No of deals
19 25
22 16 26 18 19 17 15 13 19 11 20
Contact Zephyr Editorial:
Total deal value (mil USD)
432 1,947
900 220 618 4,030 2,290 1,792 1,079 38 151 339 268
+44 161 838 9554 zephyreditorial@bvdinfo.com
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
North America private equity deals by volume and value
Page 9
© Zephyr
25,000
20,000
15,000
10,000
5,000
0
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Total deal value (mil USD)
Jun-11
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
Zephyr Monthly M&A Report North America, November 2011
Jul-11
Aug-11
Number of deals
Contact Zephyr Editorial:
Sep-11
Oct-11
Nov-11
+44 161 838 9554 zephyreditorial@bvdinfo.com
400
350
300
250
200
150
100
50
0
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
Primary sector
Food, beverages, tobacco
Target sectors by value
Wholesale & retail trade
Chemicals, rubber, plastics
Insurance companies Transport Machinery, equipment, furniture, recycling
136 131 0 0 0
Publishing, printing
Education, health
Zephyr Monthly M&A Report North America, November 2011
Textiles, wearing apparel, leather
Construction
Publishing, printing
Wood, cork, paper
Food, beverages, tobacco
Gas, water, electricity
Metals & metal products Transport Education, health
26,774 4,547 5,733 3,912 43,010 5,111 2,641 2,166 97 469 822 782 336 30
Hotels & restaurants
143 2,210 180 0 0
880 3,601 2 0 0
Public administration and defence
Public administration and defence
1,326 17,379 5,595 4,845 128 0 1,455 8,740 4,329 1,143
Chemicals, rubber, plastics
748 108 74 53 51 45 15 31
Gas, water, electricity
Insurance companies
Machinery, equipment, furniture, recycling Banks Wholesale & retail trade
Textiles, wearing apparel, leather
Other services
Oct-11 (mil USD)
25,923 16,667 7,028 1,918
26,083 15,013 8,283 6,391 4,687 3,633 2,584 1,411 1,055 1,024 813 521 509 466
Nov-10 (mil USD)
Nov-11 (mil USD)
Target sector
You are free to use any data or commentary from this report in your articles as long as the source is cited as “Zephyr published by BvD”
© Zephyr
Zephyr is a database of M&A, IPO, private equity and venture capital deals with links to detailed financial information on companies. For more information visit www.zephyrdealdata.com.
+44 161 838 9554 zephyreditorial@bvdinfo.com
Contact Zephyr Editorial:
Page 10
22 47 10 17 4 17 5 7 3 2 0
Target sectors by volume
Wood, cork, paper
637 101 70 59 39 19 24 30
Post and telecommunications
9 25 12 8 9 11 6 7 2 0 0
Post and telecommunications
Metals & metal products
Construction
636 93 51 51 34 33 25 22 22 20 20 19 14 9 8 7 2 1 1
Other services Banks Primary sector
Nov-10
Oct-11
Nov-11
Target sector
Hotels & restaurants