Deal Pipeline
Thursday 28 July 2016
The following is a list of deals covered in detail by M and A Navigator this week:

-JAB BEECH CLOSES USD 1.35BN ACQUISITION OF US DONUT RETAILER KRISPY KREME
US-based donut retailer Krispy Kreme Doughnuts, Inc. (NYSE: KKD) has closed the acquisition of US-based investment company JAB Beech Inc. for USD 21 per share in cash, or a total equity value of approximately USD 1.35bn, the company said.
JAB Beech is an indirect controlled subsidiary of JAB Holding Company in which BDT Capital Partners is a minority investor alongside JAB. The agreement, which has been unanimously approved by Krispy Kreme's board of directors, represents a premium of approximately 25% over the company's closing stock price on 6 May 2016.
Status: Closed

-US FTC CLEARS TEVA'S USD 40.5BN ACQUISITION OF ALLERGAN'S GENERICS BUSINESS
The US Federal Trade Commission has accepted the proposed consent order in connection with the pending acquisition of Irish drugmaker Allergan plc's (NYSE: AGN) generics business by Israeli generics specialist Teva Pharmaceutical Industries Ltd., the companies said.
With the acceptance of the proposed consent order, Teva has satisfied the regulatory approval requirements under the purchase agreement to complete the acquisition of Actavis Generics. Last July, Allergan entered into a definitive agreement under which Teva Pharmaceutical would acquire Allergan's global generic pharmaceuticals business for USD 40.5bn.
Status: Agreed

-AVNET TO PAY GBP 691M FOR UK ELECTRONICS DISTRIBUTOR PREMIER FARNELL
US-based technology distributor Avnet, Inc. (NYSE: AVT) has reached agreement with the board of directors of UK-based electronic components distributor Premier Farnell plc on the terms of a recommended offer for Premier Farnell by Avnet or one of its wholly-owned subsidiaries, the company said.
The all-cash offer of GBP 1.85 per share represents an equity value of approximately GBP 691m (USD 904.23m) and a 12.1% premium over the previous offer of GBP 1.65 per share by Datwyler Technical Components UK Ltd.
Status: Agreed

-COLDWELL BANKER REAL ESTATE NETWORK ADDS LOUISIANA MEMBER
US-based residential and commercial real estate brokerage services network Coldwell Banker has added Louisiana, US-based LaRussa Real Estate to its network, the company said.
LaRussa Real Estate will now do business as Coldwell Banker LaRussa Real Estate. The company was founded 46 years ago by SP LaRussa and is the oldest locally owned real estate company serving Louisiana's Terrebonne, Lafourche, Saint Mary and Assumption Parishes.
Status: Closed

-HEPATITIS C TREATMENT SPECIALIST TREK THERAPEUTICS ACQUIRES RIGHT TO TWO VERTEX ANTIVIRAL INHIBITORS
US-based chronic hepatitis C treatments specialist Trek Therapeutics, (TREKtx) has acquired the worldwide development and commercialisation rights to treat infectious disease with two drugs from Vertex Pharmaceuticals Inc, the company said.
The acquisition covers lomibuvir (VX-222), a non-nucleoside inhibitor of the HCV NS5B polymerase and merimepodib (VX-497), an inhibitor of inosine monosphosphate dehydrogenase with broad-spectrum antiviral properties. Vertex will be eligible to receive milestones and royalties based on successful development and commercialization of lomibuvir and merimepodib.
Status: Closed

-VIRGIN AMERICA WINS SHAREHOLDER NOD FOR USD 4BN ALASKA AIR BUYOUT
Shareholders of US-based airline operator Virgin America, Inc. (NASDAQ: VA) have voted to approve the company's agreed deal to be acquired by US-based Alaska Air Group, Inc. (NYSE: ALK), the company said.
On April 4, 2016, Virgin America and Alaska Airlines announced they had reached an agreement to merge. The two airlines anticipate they will obtain regulatory approvals and complete the transaction in 4Q16. Under the deal, Alaska Air Group will acquire Virgin America for USD 57.00 per share in cash. Including existing Virgin America indebtedness and capitalised aircraft operating leases, the aggregate transaction value is approximately USD 4bn.
Status: Agreed

-PHILADELPHIA'S REPUBLIC BANK TO ACQUIRE OAK MORTGAGE COMPANY
Philadelphia, US-based bank holding company Republic First Bancorp, Inc.'s (NASDAQ: FRBK) Republic Bank subsidiary has entered into an agreement to acquire New Jersey, US-based mortgage company Oak Mortgage Co, LLC, the bank said.
Oak Mortgage will maintain its current business model and operate as a wholly owned subsidiary of the Bank. The company currently has an experienced team of 64 employees that specialize in the origination of residential mortgage products. In 2015, Oak closed more than USD 330m in mortgage loans.
Status: Agreed

-HIG SELLS US AIR CARGO CARRIER AMERIJET
US-based private equity firm H.I.G. has sold US-based cargo air carrier Amerijet Holdings, Inc. and its Amerijet International, Inc. and ITN Worldwide subsidiaries to private equity firm ZS Fund L.P., the firm said.
Amerijet International is an all-cargo air carrier, operating Boeing 767 and Boeing 727 aircraft from its primary hub at Miami International Airport to destinations throughout the Caribbean, Central America, Mexico and South America.
Status: Closed

-CHINA'S LEECO TO ACQUIRE US CONSUMER ELECTRONICS FIRM VIZIO FOR USD 2BN
Chinese Internet ecosystem company LeEco has inked a definitive agreement to acquire US-based consumer electronics developer Vizio, Inc. for USD 2bn.
The Vizio hardware and software businesses will be owned and operated as a wholly owned subsidiary of LeEco, while the Vizio data business, Inscape, will spin out and operate as a separate, privately owned company. LeEco provides an integrated ecosystem enabled by its Internet and cloud platform.
Status: Agreed

-MCCANN REALTY PARTNERS ACQUIRES VIRGINIA, US APARTMENT COMMUNITY
US-based real estate investment and operating company McCann Realty Partners and its joint venture partner, Artemis Real Estate Partners, have acquired the Hickory Creek apartment community in Richmond, Virginia, the firm said.
Hickory Creek is a 294-unit apartment community built in 1984. The three-story garden-style property is located at 2344 Hickory Creek Drive in the West End of Henrico County.
Status: Closed

-FRENCH UTILITY OPERATOR VEOLIA ACQUIRES HUNGARIAN BIOMASS POWER PLANT
France-based utility and public transportation operator Veolia (PAR: VIE) has acquired Hungary-based biomass power plant DBM Zrt from Hungary-based real estate developer NRG Power Szakoly Kft, the company said.
Veolia made the acquisition through its Hungary-based subsidiary Veolia Energy Hungary Co. Ltd. The transaction has been approved by the competition authorities. The Szakoly power plant, which started its activities in 2009, produces electricity from the combustion of woodchips and sawmill by-products.
Status: Closed

-FRENCH CARMAKER PSA ACQUIRES STAKE IN DANISH AUTO REPAIR QUOTE MARKETPLACE AUTOBUTLER
French car maker PSA Group (PAR: UG) is acquiring Denmark-based online auto repair quote marketplace Autobutler, the company said. Launched in 2010, the Autobutler online platform allows customers in four European countries to get an online quote for vehicle maintenance and repair.
PSA's investment will go hand in hand with expansion of the business into new countries. PSA owns Peugeot, Citroën and DS and sold three million vehicles worldwide in 2015, recording sales and revenue of EUR 54bn.
Status: Closed

-LABCORP AGREES TO ACQUIRE GENONE INTERPRETATION SPECIALIST SEQUENOM IN USD 302M DEAL
US-based clinical laboratory Laboratory Corp. of America Holdings (LabCorp) (NYSE: LH) has agreed to acquire all outstanding shares of California-based life sciences company Sequenom, Inc. (NASDAQ: SQNM) in a cash tender offer of USD 2.40 per share, or an equity value of USD 302m, the company said.
The price represents a total enterprise value of approximately USD 371m, including net indebtedness.
Status: Agreed

-BELCAN ACQUIRES US IT SOLUTIONS FIRM INTERCOM CONSULTING AND FEDERAL SYSTEMS
Cincinnati, Ohio-based engineering consultancy services provider Belcan, LLC has acquired Leesburg, Virginia-based enterprise-level IT solutions provider Intercom Consulting and Federal Systems, the company said.
Founded in 1992 and headquartered in Lansdowne, Virginia, Intercom provides solutions that support and protect mission-essential assets and operations for the US Federal government through four primary capabilities: cyber security, enterprise management, systems engineering and architecture, and network engineering.
Status: Closed

-PRIVATE EQUITY FIRM KINDERHOOK INDUSTRIES ACQUIRES NATIONAL TRUCK PROTECTION
Cranford, New Jersey-based trucking industry extended service contract provider National Truck Protection Inc. has been acquired by New York City-based Kinderhook Industries, LLC, the company said.
Founded in 2003, Kinderhook Industries is a private equity firm with over USD 2bn of committed capital. It targets orphaned non-core subsidiaries of corporate parents, existing small capitalisation public companies lacking institutional support and management-led recapitalisations of entrepreneur-owned companies.
Status: Closed

-US UTILITY OPERATOR EXELON'S CONSTELLATION UNIT TO BUY CONEDISON SOLUTIONS' RETAIL ELECTRICITY, NATURAL GAS BUSINESS
Chicago utility operator Exelon Corp.'s (NYSE: EXC) Constellation subsidiary has agreed to acquire the retail electricity and natural gas business of Valhalla, New York-based power company ConEdison Solutions for an undisclosed amount, the company said.
ConEdison Solutions is a subsidiary of New York-based power distribution company Consolidated Edison, Inc. (NYSE: ED). The companies expect to close the transaction in 3Q16 or 4Q16. Constellation will acquire ConEdison Solutions' retail electricity and natural gas customer contracts and associated supply contracts.
Status: Agreed

-PEPPERJAM ACQUIRES MARKETING COMPLIANCE SOLUTION FIRM ADASSURED
Pennsylvania-based affiliate marketing management services provider Pepperjam has acquired California-based online marketing compliance solution provider AdAssured, the company said.
Headquartered in Oceanside, California, AdAssured protects brand integrity for merchants and publishers running performance marketing campaigns by ensuring that publishers are promoting their brands, products and content in accordance with established policies and preferences.
Status: Closed

-ATIGEO ACQUIRES DATA ANALYTICS SOFTWARE SPECIALIST CLEARSIGHT TECHNOLOGY
Washington-based semantic technology company Atigeo will deepen its intellectual property portfolio as a result of its recent acquisition of Washington-based data analytics software application components supplier ClearSight Systems technology, the company said.
The newly-acquired IP is compatible with the Atigeo's xPatterns central analytics engine and expands xPatterns' reach in real-time data, dynamic forecasting, and enhanced insights for enterprise customers. Atigeo provides a big data analytics platform available with an architecture that integrates components across infrastructure, analytics, and applications. It was formerly known as AziMyth and was founded in 2005.
Status: Closed

-CUSTOM DOOR MAKER SENNECA ACQUIRES CANADA'S ENERSHIELD AIR BARRIERS
Cincinnati, Ohio-based specialty custom door maker Senneca Holdings has acquired Canada-based air barrier equipment maker Enershield Air Barriers, the company said.
Headquartered in Edmonton, Alberta, Canada, Enershield air barrier equipment controls the flow of air between the building and outside to minimise energy loss and to create a barrier for insect and dust control. These products are widely used in retail, restaurant, commercial, and industrial applications and will continue to be manufactured in Canada.
Status: Closed

-CLINICAL INNOVATIONS ACQUIRES BABYLANCE SAFETY HEELSTICK FROM MEDIPURPOSE
US-based labor and delivery medical device company Clinical Innovations has acquired the babyLance safety heelstick device from Singapore-based medical products company MediPurpose, the company said.
The babyLance safety heelstick is a safe and precise heel incision device for use with premature infants, newborns and toddlers. Designed by neonatal caregivers, babyLance uses a spring mechanism and ergonomic design to allow for safe, stable, accurate sampling and minimal discomfort for babies.
Status: Closed

-PELLA ACQUIRES NEW YORK FABRICATOR REILLY WINDOWS AND DOORS
Pella, Iowa-based window and door maker Pella Corp. is acquiring New York-based window and door fabricators Reilly Windows and Doors, the company said.
The companies said that the terms of the sale will not be disclosed as Pella and Reilly Windows and Doors are both privately-held companies. Taking effect 1 August, Reilly Windows and Doors will remain under leadership of Michael Reilly and maintain its unique brand and focus on the luxury marketplace.
Status: Closed

-HERSHA HOSPITAL TRUST ACQUIRES BOSTON'S ENVOY HOTEL FOR USD 112.5M
Pennsylvania-based real estate investment trust Hersha Hospitality Trust (NYSE: HT) has acquired the fee simple 136-room Envoy Hotel in Boston for USD 112.5m, the company said.
The Envoy's location straddles downtown Boston and the Seaport. This hotel is near Boston's financial district, the Boston Convention and Exhibition Center, and the US Federal Courthouse, and within walking distance to Boston Common, Faneuil Hall, the North End, South Station, and three miles from Logan International Airport.
Status: Closed

-SWISS BIOTECH FIRM RELIEF THERAPEUTICS AGREES TO ACQUIRE FIRSTSTRING RESEARCH
Switzerland-based clinical-stage biotechnology company Relief Therapeutics Holding AG (SIX: RLF) has executed a term sheet to acquire South Carolina-based clinical-stage biotechnology company FirstString Research, Inc. in an all-stock transaction, the company said.
The envisaged transaction would involve the issuance of new shares of Relief Therapeutics Holding AG to the existing equity holders of FirstString Research, such that the existing equity holders of FirstString Research would own no less than 33% and no more than 40% of the final combined company.
Status: Agreed

-IDEX TO ACQUIRE SEAL, FLOW CONTROL SOLUTIONS FIRM SFC KOENIG FOR USD 240.76M
Illinois-based fluidic systems components provider Idex Corporation (NYSE: IEX) has agreed to acquire Swiss-based metal–to–metal seal and flow control solutions provider SFC Koenig AG for cash consideration based on an enterprise value of USD 240.76m (EUR 217m), subject to customary post–closing adjustments, the company said.
The transaction is expected to close in approximately 30 to 45 days, subject to regulatory approvals and customary closing conditions.
Status: Agreed

-MISSION PHARMACAL ACQUIRES GLYDERM SKIN CARE LINE FROM LAUTUS
US-based esthetic dermatology company Espada Dermatology, Inc., a newly formed subsidiary of Texas-based pharmaceutical company Mission Pharmacal Co., has purchased the GlyDerm line of skin care products from US-based pharmaceutical company Lautus Pharmaceuticals, LLC, the company said.
Prior to this acquisition, Mission offered prescription dermatological products solely through Mission Dermatology and the Brava Pharma Sales Group.
Status: Closed

-POLYONE ACQUIRES GORDON COMPOSITES, POLYSTRAND FOR USD 85.5M
Ohio-based specialised polymer materials provider PolyOne Corp. (NYSE: POL) has acquired Colorado-based high strength laminate maker Gordon Composites and Colorado-based reinforced thermoplastic composite maker Polystrand from Colorado-based thermoset composite laminates maker Gordon Holdings, the company said.
The purchase price for both businesses was USD 85.5m. The price includes all assets related to the businesses, including intellectual property, trademarks and production assets.
Status: Closed

-KCG TO ACQUIRE SWEDISH BROKER NEONET SECURITIES
US-based independent securities firm KCG Holdings, Inc. (NYSE: KCG) has agreed to acquire Stockholm, Sweden-based broker Neonet Securities AB from UK-based specialist financial services investor Hay Tor Capital, KAS Bank and Sweden-based holding company Cidron Delfi Intressenter Holding, the company said.
The transaction, which is subject to customary regulatory and other approvals, is expected to close later this year.
Status: Agreed

-WANDA CINEMAS ACQUIRES CHINESE FILM PORTAL MTIME.COM
China-based cinema operator Wanda Cinema Line Co., Ltd (Wanda Cinemas) plans to buy China-based film portal and promotion company Mtime.com, the company said.
The move marks the significant transition of Wanda Cinemas from a traditional cinema operator to an Internet-ready company that integrates its online platform and technology. According to the announcement, Wanda Cinemas will partner with Mtime.com to initiate an all-around integration of their resources and businesses.
Status: Closed

-MICHIGAN ARCHITECTURAL FIRM PROGRESSIVE AE TO MERGE WITH AI DESIGN GROUP
Grand Rapids, Michigan-based architectural firm Progressive AE and Charlotte, North Carolina-based design collective ai Design Group have agreed to merge to form a new full-service architectural and design firm, the companies said.
The combined organisation will have active work in all 48 contiguous states, a team of 200 professionals and over 65 years combined history as leaders in architecture and design. After the close, the companies will continue to be housed in their current offices, headquartered in Grand Rapids, and a leadership structures of both organisations will remain intact.
Status: Agreed

-ARTHUR J GALLAGHER ACQUIRES FLORIDA-BASED GABOR INSURANCE SERVICES
Illinois-based insurance brokerage Arthur J. Gallagher and Co. (NYSE: AJG) has acquired Florida-based managing general agency Gabor Insurance Services, Inc., including its subsidiary, Florida-based insurer American Professional Liability Underwriters, the company said.
Founded in 1992, Gabor Insurance Services, Inc. Gabor provides commercial and personal property/casualty insurance products and services to its retail broker clients throughout the Southeastern United States.
Status: Closed