The Monthly Recap - May

May continued to feel the impact of rate hikes as sticky inflation has forced the hand of central banks to continue raising. M&A remains quiet, and IPOs are near non-existent, but job cuts seem to have slowed – Morgan Stanley being the only bulge bracket to hit the press with news of cuts. This short report outlines selected M&A deals, general market activity and significant news among the investment bank & private equity firms.

M&A

• PEP & Anchorage Capital Partners are the two shortlisted on HOYTS sale: PEP offered a higher big, the Chinese firm is weighing up divestment options (Australian)

• MA Financial bought US Private Credit Firm: the $7.5 million acquisition of Blue Elephant Capital Management gives investors access to US Credit Markets for the first time (AFR)

• Beauty and skincare company BWX purchased by The Future Collective: follows a KPMG-run sale (AFR)

• Failed delivery service Milkrun rescued by Woolworths: the innovative firm collapsed after $86 million in VC funding (AFR)

• Fortitude Investment Partners take majority stake in The Energy Network (AFR)

• MA Financial expands platform, purchases d’Albora Marina Portfolio: Launch of new fund MA Marina pushing firm towards alternative assets (SMH)

• Liverpool Partners has finalised terms in acquiring consulting group Simplyai: the firm assists in implementing AI & Automated Solutions (AFR)

• PAG Asia Capital completed the purchase of Chargrill Charlie: the brand has strong growth ambitions after joining the Craveable Brands group (AFR)

Other Activity

• Bain Capital cooling down on Estia Health : following a rejected $3 per share bid – due diligence in process before a possible re-bid (Australian) (AFR)

• 7-Eleven up for sale, Brookfield & Blackstone interested: earlier in the month, news of 7-11 being put up for sale hit the press, many PE firms are interested in the $2bn odd deal (Australian)

• PEP raises $1.4bn for its second secure assets fund: Likely to pop up in more core-plus infrastructure auctions this year (AFR)

• Allegro Funds pinches HSF operative for its investment team: Rachel Lawler joined Allegro at the start of May (AFR)

• Blackstone quick out of the gates for Silver Lake’s TEG: the asset would sit nicely alongside Blackstone’s entertainment assets (AFR)

• Tyro Payments shares slump following second failed takeover approach (SMH) (Australian)

• FIIG Securities get hostile bid from IAM: both have been rejected by FIIG (AFR)

• PEP still hunting for TPG Telecom: the $1bn sale has multiple parties interested, if the price can be lowered (AFR)

• PEP & Igneo have emerged as only two parties running at the $400m LMS Energy Auction (AFR)

• Quadrant secures exclusive due diligence for Circuitwise: following outbidding rivals Five V Capital & Alceon PE (AFR)

• The Growth Fund is offloading Ekera Dental with the assistance of Allier Capital (AFR)

• Redox has impressed fund managers ahead of $1.4bn float plans: the Coneliano family wanting to list just 30% of their business (Australian)

• TPG proposes new $1.9bn bid for InvoCare (AFR)

Investment Banking News

• Morgan Stanley cut a dozen jobs, with over 3000 cuts globally: Sydney Managing Director Michael Hufton exits the bank (AFR) (AFR)

• Aussie James Gorman who has led Morgan Stanley for over a decade will also depart within a year (AFR)

• Mizuho have purchased M&A Firm Greenhill: Greenhill will serve as the M&A and restructuring advisory business of the Japanese Bank (Press Release) (AFR)

• Global investment bank profits drop in China: only 2 of the 7 Bulge Bracket banks seeing an increase to their bottom line (AFR)

• Goldman Sachs Director, Zac Haines agrees to join Sayers Group: he will start in July as Partner (AFR)

• Jefferies poaches Matt Wilson from Latitude: He joins as managing director in a return to sell-side research (AFR)

• Gresham picks up Adam Reid’s Metals & Mining team: Clarence Fok, Ashley Low & Kevin Tian join their MD out of the collapsed Credit Suisse (AFR)

• Alex Brown & Tom Gibson follow Dragi Ristevski to Macquarie Capital from doomed Credit Suisse (AFR)

• Jefferies grows their Infrastructure team with the hire of Julian Babich whilst poaching Kevin martin from Credit Suisse (AFR)