A $61 billion tech mega-deal Why is this transaction relevant? This is the third largest tech deal in history after Microsoft’s pending acquisition of Activision Blizzard for $68.7 billion and Dell’s EMC deal of $67 billion. With this deal, Broadcom will bolster software business and expand its business in cloud by leveraging VMware’s complementary businessContinue reading “BROADCOM ACQUIRES VMWARE”
Silver Lake Partners just bought a $500 million stake (10% of the equity shares) in the owner of Manchester City, at a valuation that makes the English football team one of the most expensive sports franchises on the planet. Silver Lake is one of the world’s largest tech investors with over $43 billion in assetsContinue reading “Silicon Valley Meets Sports: Silver Lake takes a Stake in Champions League Football Club Manchester City”
Introducing the Green Economy Investors have always looked at various elements for their investments in order to make the best choices and historically it was mainly a matter of returns. Responsible investments began in the 1960s as a social criterion, with investors excluding stocks involved in tobacco production or in the South African apartheid regime.Continue reading “THE RISE OF GREEN ECONOMY, A NEW CHALLENGE FOR MANAGERS AND A NEW OPPORTUNITY FOR INVESTORS”
1. PE funds produced another impressive surge in investment value in 2018, capping the strongest five-year stretch in the industry’s history. Fierce competition and rising asset prices continued to constrain deal count (i.e. the number of transactions fell by -13%, to 2,936 worldwide) with total buyout value jumped +10% to $582bn supported by a strongContinue reading “PART I – What happened in 2018? Bain & Company “Global Private Equity Report 2019””
From Quantitative Easing to Tightening Policies On Tuesday 16th December 2008, following the recession, the Federal Reserve lowered its benchmark interest rate to a range of 0 – 0.25%. The central bank also implemented the Quantitative Easing, which consists in purchasing US Treasuries and mortgage-backed securities to increase liquidity and stimulate the economy with newContinue reading “US monetary policy influence on an increasingly globalised economy”
Back in March we introduced and briefly discussed Trump’s intention to impose tariffs on steel and aluminum goods. In less than a year those trade disputes escalated in a trade war, impacting not only the two involved countries but also other trading partners, including the EU. The disaffection versus international institutions has been driven byContinue reading “US-China Trade War Effect on the EU”
By Ascanio Rossini The race to become Europe’s first $100bn private-equity firm is accelerating as the recent fundraising boom shows. Europe’s largest investment firms, including Ardian, Partners Group and CVC Capital Partners, are closing in on $100bn in AuM after raising some of their largest-ever funds in recent years and launching new investment strategies inContinue reading “The Race has started for European PE firms to join the $100bn Club!”
Authors: Qitong Sun and Massimiliano Marchisio Date 30 November 1988 Type of transaction Leveraged Buyout Valuation 7.5-8.0x FY 1988 EBITDA of c. $3.1bn Bidder KKR Target company (sector) Financials RJR Nabisco (Tobacco & Food) FY1988 Rev./EBITDA $16.9bn/$3.1bn (margin c.18.3%) Rationale RJR Nabisco’s operations exhibited moderate and consistent growth, required little capital investment and carried lowContinue reading “ALL TIME CLASSIC! KKR’s first leveraged buyout battle ($25bn). The fall of RJR Nabisco. Yes! Barbarians are really at the gate.”
By Ricardo Mühle, Felix Paul Schäfer and Massimiliano Marchisio Date October 1st 2018 Type of transaction Public delisting tender offer Valuation 15-15.5x LTM 2018 June EBITDA of c. €410m Bidder Cinven-Bain Capital consortium Target company (sector) Financials STADA AG, “STADA” (Medical – Pharmaceuticals) FY17 Rev. / EBITDA: €2.3bn / €0.4bn (17.4% margin) Advisors (first bid)Continue reading “Second act! Cinven & Bain launched their final tender offer on the remaining listed shares of Stada, a leading German-based drugmaker, finally valuing the business at over €6bn”
– In 2017, Private Equity markets continued to reach new record highs with regard to capital commitment, deal valuations and number of active investors. Competition for private investments increased dramatically, largely caused by traditional asset managers shifting significant proportions of their capital into private markets. With easy access to capital and increased competition for deals,Continue reading “Private Equity – Snapshot & Outlook”
ESCP Finance Society