Deal Pipeline
Tuesday 28 February 2017
The following is a list of deals covered in detail by M and A Navigator this week:

-SUMITOMO ACQUIRES REMAINING STAKE IN US EQUIPMENT RENTER SUNSTATE
Japanese trader Sumitomo Corp. has acquired the remaining 20% interest in US-based equipment rental company Sunstate Equipment Co., LLC through its SMS International Corp. subsidiary, making Sunstate a wholly owned company of Sumitomo Corp. Group., the company said.
Sunstate is the 7th largest equipment rental company in the United States and the 24th largest in the world. With its 40 years of industry experience, Sunstate has grown from a single Arizona location to over 60 branches in nine states, employing nearly 1,600 individuals.
Status: Closed

-FNB WINS FINAL REGULATORY NODS FOR USD 1.4BN MERGER WITH YADKIN FINANCIAL
Pennsylvania, US-based bank holding company F.N.B. Corp. (NYSE: FNB) has received all required regulatory clearances for its proposed merger of North Carolina, US-based Yadkin Financial Corp. (NYSE: YDKN), the company said.
The board of Governors of the Federal Reserve System and the Office of the Comptroller of the Currency have provided final clearance for the pending FNB-Yadkin merger as well as the merger of Yadkin's bank subsidiary, Yadkin Bank, into FNB's bank subsidiary, First National Bank of Pennsylvania.
Status: Agreed

-SPECTRA ENERGY PARTNERS' GENERAL PARTNER BECOMES SUBSIDIARY OF ENBRIDGE
US-based pipeline and midstream company Spectra Energy Partners, LP's (NYSE: SEP) general partner has become an indirect, wholly-owned subsidiary of Canadian energy infrastructure company Enbridge Inc. (TSX: ENB) (NYSE: ENB) as a result of the completion of the combination of Enbridge and Spectra Energy Corp., the company said.
In conjunction with this change, Bill Yardley will assume the role of chairman and president of the general partner of SEP. Greg Ebel, Pat Reddy, and Reggie Hedgebeth are resigning from their roles as chairman, president and CEO; chief financial officer; and General Counsel, respectively, of the general partner of SEP.
Status: Closed

-BRIDGETOWER MEDIA ACQUIRES US MAGAZINE FOR PROGESSIONALS OF COLOR
US-based local and regional business information, events and marketing services provider BridgeTower Media has acquired US-based professional publication Color Magazine, the company said.
Color Magazine is a publication focused on publishing and events for a range of business professionals. Based in Boston, Color Magazine was founded in 2007 by Josefina Bonilla. As part of the transaction, Bonilla was named chief diversity officer for BridgeTower Media, in addition to continuing her role as Color Magazine's president. Her responsibilities include growing and expanding Color Magazine's content and programmes.
Status: Closed

-BILL MILLER ACQUIRES LEGG MASON STAKE IN US INVESTMENT ADVISOR LMM
Baltimore-based investment executive Bill Miller has acquired US-based Legg Mason, Inc.'s (NYSE: LM) stake in US-based investment adviser LMM LLC, the company said. Miller, together with the companies he controls, now owns 100% of LMM.
The mutual funds managed by the firm will be known under the new fund family name Miller Value Funds. Additionally, the mutual funds were renamed. Legg Mason Opportunity Trust is now Miller Opportunity Trust and Miller Income Opportunity Trust is now Miller Income Fund. LMM and its affiliated company, Miller Value Partners, LLC, will conduct their investment advisory businesses in close coordination under the name Miller Value Partners.
Status: Closed

-BRANFORD CASTLE BUYS US HIGHWAY RUMBLE STRIP PROVIDER
US-based private equity firm Branford Castle Partners, LP's investment fund has purchased US-based highway rumble strips and related roadway safety services provider Surface Preparation Technologies, LLC, the firm said. Based in Mechanicsburg, Pennsylvania, SPT designs and manufactures its high-performance, patented rumble-strip machines, or "mills."
The company, founded in 1988, is considered a pioneer in the roadway safety industry and has installed more than 150,000 miles of rumble strips across 49 states. The ultimate customer for SPT's services is typically a state's Department of Transportation.
Status: Closed

-COLSON GROUP ACQUIRES UK CASTOR AND WHEEL MAKER COLSON CASTORS
US-based caster and wheel maker Colson Group Holdings LLC has acquired a majority of the assets of Colson Castors Ltd. through its new subsidiary, Colson UK Ltd., the company said.
Colson UK Ltd. will manage the business at its current location in West Bromwich, UK while it arranges to relocate the assets purchased to a new location in the area. Included in the assets purchased are all of the Colson Castors Ltd. brands. Colson Castors entered administration in December 2016 with Grant Thornton UK LLP acting as administrators. A sale process took place while the company was in administration.
Status: Closed

-BANKER'S TOOLBOX ACQUIRES DUE DILIGENCE, OFAC SCANNING SOLUTIONS FIRM INTEGRA SYSTEMS
US-based anti-money laundering compliance solutions provider Banker's Toolbox, Inc. has acquired Georgia, US-based OFAC scanning solutions specialist Integra Systems, the company said.
Integra Systems provides customer due diligence and OFAC scanning solutions to financial institutions, insurance companies, auto dealers, brokerage firms, healthcare providers and more. The company's OFAC scanning technology, IQ AutoScan, will be integrated into Banker's Toolbox's existing product suite.
Status: Closed

-T ROWE PRICE TO ACQUIRE US HIGH YIELD FIXED INCOME FUND, PORTFOLIO TEAM FROM HENDERSON GLOBAL INVESTORS
US-based investment management firm T. Rowe Price Group, Inc. (NASDAQ: TROW) has entered into an agreement to acquire the Henderson High Yield Opportunities Fund from UK-based global investment management firm Henderson Global Investors' North America subsidiary, the firm said.
The transaction will be concluded through the reorganisation of that fund into a newly formed mutual fund, the T. Rowe Price US High Yield Fund. This transaction is expected to close in late May 2017, subject to shareholder approvals.
Status: Agreed

-GENWORTH COMPLETES STATUTORY CASH FLOW TESTING FOR 2016 AHEAD OF USD 2.7BN CHINA OCEANWIDE BUYOUT
US-based insurer Genworth Financial, Inc. (NYSE: GNW) has posted statutory financial and cash flow testing results for its life insurance companies for the year ended 31 December 2016, the company said.
This move comes ahead of the company's acquisition by Beijing, China-based financial holding group China Oceanwide Holdings Group Co., Ltd. According to Genworth, long term care insurance statutory margins were modestly lower relative to 2015 in Genworth Life Insurance Co, with positive margin of approximately USD 1.5bn after reflecting provisions for adverse deviation.
Status: Agreed

-JBT ACQUIRES HIGH PRESSURE PROCESSING SOLUTIONS FIRM AVURE FOR USD 57M
US-based food and beverage industry technology provider JBT Corp. (NYSE: JBT) has purchased US-based high pressure processing systems provider Avure Technologies, Inc., the company said.
Privately held Avure is headquartered in Erlanger, Kentucky, with a manufacturing center in Middletown, Ohio. HPP is a cold pasteurisation technology that ensures food safety without heat or preservatives, maintaining fresh food characteristics such as flavor and nutritional value, while extending shelf life. The purchase price is USD 57m, before customary post-closing adjustments. The acquisition of Avure expects to add annual revenue of approximately USD 50m.
Status: Closed

-AMARANTUS TO ACQUIRE BIOTECHNOLOGY PLATFORM FROM SINGAPORE'S SED BIOMEDICAL
Singapore-based holding company Singapore eDevelopment Ltd.'s SeD Biomedical Inc. subsidiary and US-based biotechnology company Amarantus BioScience Holdings, Inc. (OTCPK: AMBS) have entered into a non-binding letter of intent for Amarantus to acquire as many as four of SeD Biomedical's biotechnology platforms, the companies said.
SeD Biomedical and SeD are under the control of current SeD CEO and largest shareholder Chan Heng Fai. The LOI comes as part of the Amarantus' overall restructuring plan initiated in November, 2016.
Status: Agreed

-AIMCO ACQUIRES EDMONTON, ALBERTA OFFICES HSBC BANK PLACE, ENBRIDGE PLACE
Canadian institutional investment manager Alberta Investment Management Corp. has, on behalf of certain of its clients, acquired HSBC Bank Place and Enbridge Place, located in Edmonton, Alberta, the firm said.
HSBC Bank Place, located at 10250 101 St NW in Edmonton, Alberta, is an 18 storey office tower located in the heart of Edmonton's Financial District. Enbridge Place, located at 10130 103 St NW in Edmonton, Alberta, is a 22 storey office tower located in the heart of Downtown Edmonton.
Status: Closed

-US OFFICE SUPPLY RETAILER STAPLES TO SELL EUROPEAN BUSINESS TO CERBERUS
US-based office supplies store Staples, Inc. (NASDAQ: SPLS) has closed the sale of its European operations to an affiliate of New York-based private investment firm Cerberus Capital Management, LP, the company said.
Cerberus paid EUR 50m (USD 53m) for the business. The deal was announced last December. Staples' European business consists of retail, contract, and online businesses in 16 countries. Staples is retaining a 15% equity interest in the business and will be represented on its board of directors following the closing of the transaction.
Status: Agreed

-SECURITIES AMERICA ACQUIRES WISCONSIN'S LEGACY ADVISOR NETWORK
US-based investment banking and securities brokerage services firm Ladenburg Thalmann Financial Services Inc.'s (NYSE MKT: LTS) Nebraska, US-based Securities America broker-dealer subsidiary has acquired Wisconsin, US-based Legacy Advisor Network, the firm said.
The move positions the 104-year-old firm to build on its history in the Madison, Wisconsin, area by benefitting from Securities America's advisory services, practice management, technology and recruiting support. The 15 advisors of the Legacy Advisor Network have USD 150m in client assets.
Status: Closed

-CHINA'S COFCO CLOSES ACQUISITION OF DUTCH AGRIBUSINESS NIDERA
Chinese food processor Cofco Corp. has closed the acquisition of the remaining minority stake in Dutch grain trader Nidera Capital B.V. currently held by Cygne B.V., bringing Cofco International's ownership in Nidera to 100%, the company said.
This transaction marks a milestone in Cofco's initiatives to grow and consolidate its international agri-businesses into a world-class, integrated global platform. Taken in conjunction with Cofco International's recent acquisition of 100% full ownership in Noble Agri Ltd., now known as Cofco Agri Ltd., Cofco International will have full ownership of two leading global agri-businesses.
Status: Closed

-GENERATIONAL EQUITY ADVISES INTEGRATED SYSTEMS OF FLORIDA ON SALE TO RED HAWK FIRE AND SECURITY
US-based mergers and acquisitions advisor Generational Equity's client, Florida, US-based security systems integration company Integrated Systems of Florida, to Florida-based security services firm Red Hawk Fire and Security, the firm said.
Red Hawk Fire and Security is a portfolio company of Comvest Partners. Integrated Systems of Florida (ISOF), headquartered near Tampa in Oldsmar with sales and service offices in Orlando and Tallahassee, is a security systems integration company.
Status: Closed

-BGC PARTNERS CLOSES ACQUISITION OF LLOYD'S OF LONDON INSURANCE BROKER BESSO
US-based brokerage company BGC Partners, Inc. (NASDAQ: BGCP) has closed the acquisition of UK-based Lloyd's of London insurance broker Besso Insurance Group Ltd., the company said. Under the terms of the agreement, an affiliate of BGC has acquired 100% of Besso for a total consideration of up to GBP 70.5m (USD 87.44m) on an enterprise-value basis.
The purchase price is to be satisfied by a mix of cash and BGC stock, to be paid in full only if certain performance targets are met. For the years ended 31 December 2015 and 2016, Besso generated revenues of approximately GBP 38m and GBP 45m, respectively.
Status: Closed

-USI INSURANCE SERVICES ACQUIRES NORTH CAROLINA EMPLOYEE BENEFITS INSURANCE ADVISOR
US-based insurance brokerage and consulting firm USI Insurance Services has acquired North Carolina, US-based employee benefits insurance advisor Carolina First Associates, LLC, the company said. This acquisition extends USI's presence as the premier middle market insurance brokerage and consulting firm in the Southeast region.
Carolina First Associates and its employees will remain at the current Hickory location. USI is a local and national insurance brokerage and consulting firm, offering property and casualty, employee benefits, personal risk and retirement solutions throughout the United States.
Status: Closed

-AVENADE ACQUIRES SOFTWARE ENGINEERING, DIGITAL STRATEGY FIRM INFUSION
US-based digital and cloud services provider Avanade has acquired US-based software engineering, design and digital strategy firm Infusion, the company said. The acquisition expands Avanade's capabilities to deliver digital transformation services and reinforces its position as a digital innovator in the Microsoft ecosystem.
Avanade said its clients, particularly in financial services and capital markets, will benefit from Infusion's digital expertise in application modernisation, customer experience, enterprise productivity, business insights and emerging technologies.
Status: Closed

-IAMGOLD CLOSES ACQUISITION OF REMAINING SHARES OF JUNIOR MINER MERREX GOLD
Canada-based gold producer Iamgold Corp. (NYSE: IAG) reports has closed the acquisition of all of the issued and outstanding shares of Merrex Gold Inc. not already owned by Iamgold to acquire, in an all-share transaction, the company said.
Merrex is a junior mineral exploration company of which Iamgold currently owns approximately 45.8 m or 23% of Merrex's issued and outstanding 199.2m common shares. Iamgold expects to issue 6.9m shares, amounting to less than 1.5% of its issued and outstanding shares, in connection with the transaction. These shares are worth around USD 24.495m at current prices.
Status: Closed

-INNOVADERMA ACQUIRES IP, ASSETS OF STEVIE K AND CHARLES + LEE MEN'S COSMETICS, SKINCARE BRANDS
UK-based 'at-home' hair loss, hair care, self-tanning and skin rejuvenation treatments developer InnovaDerma (LSE: IDP) has acquired the intellectual property and assets of the 'Stevie K' and 'Charles + Lee' brands from Stevie K Cosmetics Pty Ltd and Charles + Lee Pty Ltd., the company said.
Stevie K is an Australian made line of cosmetics and Charles + Lee is a range of men's skincare. In line with InnovaDerma's acquisition model, Kate Fissenden, the founder of Stevie K and Charles + Lee brands, will be incentivised as a general manager in the Group, responsible for the growth and development of both brands.
Status: Closed

-MICROGEN ACQUIRES CANADIAN TRUST AND FUND ADMINISTRATION SOFTWARE FIRM PRIMACY
UK-based software company Microgen plc (LSE: MCGN) has acquired Canadian trust and fund administration software firm Primacy Corp. from the Kelly Family Trust for total cash consideration of CDN 5.6m (USD 4.21m), the company said.
Primacy will be integrated into the Microgen Financial Systems business. This is the fifth acquisition by Microgen since December 2014 and continues the group's strategy of consolidation in the trust and fund administration market, a global niche within the broader wealth management sector.
Status: Closed

-DRAX GROUP EYES ACQUISITION OF BANKRUPT US PELLET PLANTS
UK-based electrical power generation company Drax Group plc (LSE: DRX) is participating in separate processes for the acquisition out of bankruptcy of the operating assets of US-based compressed wood pellet operations Texas Pellets and Louisiana Pellets, the company said.
The company has submitted initial cash bids for these assets as part of an auction process, which will be held on 1 and 2 March 2017. Whilst these are binding bids, and could be accepted by the sellers, it is expected that the successful buyer will be determined through auctions.
Status: Bidding

-PREMAITHA HEALTH CLEARED TO CLOSE ACQUISITION OF TAIWAN PRENATAL TESTING BIOINFORMATICS FIRM YOURGENE BIOSCIENCE
UK-based molecular diagnostics group Premaitha Health plc (AIM: NIPT) has obtained regulatory clearance for the completion of the acquisition of Taiwan-based prenatal testing bioinformatics specialist Yourgene Bioscience Co., Ltd., the group said.
The acquisition of Yourgene, announced on 21 December 2016, has now received regulatory clearance as required by Taiwanese law. Legal completion of the acquisition is expected to take place on 2 March 2017, upon admission to AIM of 76,054,570 new ordinary shares in the company. The deal is worth around GBP 7.2m (USD 8.91m).
Status: Agreed

-KAZAKHSTAN'S ROXI PETROLEUM TO UP STAKE IN ERAGON ASSETS TO 100%
Kazakhstan-focused Central Asian oil and gas company Roxi Petroleum plc (LSE: RXP) plans to increase its share of the Eragon Assets in Kazakhstan to 100%, the company said. Roxi Petroleum currently owns 59% of Eragon Petroleum, which in turn owns 99% of BNG. Baverstock is the legal holder of 41% of the issued share capital of Eragon Petroleum.
The merger would unite 99% of BNG under Roxi Petroleum's ownership. BNG is located in the west of Kazakhstan 40 kilometres southeast of Tengiz on the edge of the Mangistau Oblast, covering an area of 1,702 square kilometres of which 1,376 square kilometres has 3D seismic coverage acquired in 2009 and 2010.
Status: Agreed

-BUNZL ACQUIRES SINAPOREAN PERSONAL PROTECTION EQUIPMENT FIRM LSH
UK-based distribution and outsourcing group Bunzl plc (LSE: BNZL) has acquired Singapore-based personal protection equipment distributor LSH, the group said.
LSH is engaged in the distribution of a variety of personal protection equipment, primarily to end users operating in the oil and gas, construction, pharmaceutical and industrial sectors. Revenue in 2016 was SUD 9m (c.GBP 5m).
Status: Closed

-LOCAL SHOPPING REIT SELLS 22 PROPERTIES FOR GBP 3.53M
UK-based real estate investment trust Local Shopping REIT plc (LSE: LSR) has sold 22 properties for an aggregate price of GBP 3.53m, against an aggregate book value of GBP 3.86m (USD 4.78m), in an auction process, the company said. This round of auctions was held February 2017.
Local Shopping REIT said its sales programme is currently focussed on smaller properties and those that are management intensive with higher non-recoverable costs or geographically dispersed. This brings total property sales, contacted or completed, under the current sales strategy adopted in July 2013 to GBP 100.26m, 59% of the portfolio value at that time.
Status: Closed

-ALBA MINERAL RESOURCES CLOSES ACQUISITION OF AMITSOQ GRAPHITE PROJECT
UK-based mining company Alba Mineral Resources plc (LSE: ALBA) has closed the acquisition of a further 41% interest in exploration licence 2013/06, comprising the Amitsoq Graphite Project in Southern Greenland and now owns 90% of the project, the company said.
As reported last November, having earned the right to a 49% interest in the project, Alba had further agreed, subject to regulatory approvals from the Greenlandic authorities, to acquire a further 41% interest in the Project to take Alba to 90% ownership in total.
Status: Closed

-AVINGTRANS ACQUIRES MAJORITY STAKE IN UK SUPERCONDUCTING MAGNET BUSINESS
UK-based engineered components, modules and services producer Avingtrans plc (AIM: AVG) has closed the acquisition of a majority stake in superconducting magnet and cryogenic systems company Space Cryomagnetics Ltd., trading as 'Scientific Magnetics' for total consideration of GBP 347k (USD 429,620), the company said.
Scientific Magnetics, based in Abingdon, Oxford with 15 members of staff, was formed in 2000 as a spin-out from Oxford Instruments, before becoming fully independent in 2005.
Status: Closed