EuroPE Pulse - Weekly #4, 02/19
Dr. Clément MENGUE, Ph.D.
Managing Partner | Strategy & Transactions | PE, VC, M&A | CDD, TDD, AI DD | Transformation & Growth | Investor
We're thrilled to share that our community has reached a new milestone of 700+ subscribers!
Our mission is to provide you with the most recent and insightful updates from both the private equity world and the realm of technology investing. Here's what you can expect in this issue:
Private Equity Deal Digest: Ardian's investment in Finnish Battery Energy Storage System, Blackstone's stalled sale of a London asset to an Asian investor, Nordic Capital's acquisition of SaaS fintech Zafin, The Carlyle Group's launch of a new European private credit strategy for private wealth investors, Afinum Management GmbH's sale of its majority stake in Iconia to Deutsche Invest, Blackstone and BNP Paribas' launch of a private credit fund for French retail investors, and Triton Partners's successful IPO of Renk.
Tech M&A and Investment: Broadcom's acquisition of VMware and its ripple effects, Cisco's $28 billion Splunk deal set for EU antitrust decision, Apple's domination of the global smartphone market with record-breaking sales in Q4, Everbridge going private in a $1.5B deal, Visma's acquisition of InvoiceXpress, a Lisbon-based software company specialising in electronic invoicing solutions for small businesses, and Blue Yonder's acquisition of Flexis, a leader in manufacturing and supply chain planning technology.
Insider Scoop & Market Buzz: The Carlyle Group’s CEO reveals revival plan, CVC Capital Partners as the last bidder in Bundesliga rights sale, Warburg Pincus LLC targets $2.5 billion for financial-sector fund, and dsm-firmenich weighs animal unit sale on weak vitamin market.
Growth Tech & VC Spotlight: Microsoft's €3.2 billion investment in AI and the cloud in Germany, Telco GPT's survey showing the scale of the industry’s enthusiasm and adoption of generative AI, and OpenAI's plan to challenge Google with an AI-powered search engine.
EPAM Spotlight: EPAM Systems's revenue forecast driven by AI adoption bets, beating quarterly results estimates, and strong demand for its software services as more businesses invest in deploying AI-linked applications.
We hope you find these updates valuable and insightful. If you do, please consider sharing this newsletter with your colleagues. We always welcome your feedback and look forward to bringing you more updates in the future!
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Best, Clément
Global Strategy & PE Advisory Cell: +49 151 25 840 898
Email: Clement_Mengue@epam.com
PRIVATE EQUITY DEAL DIGEST
Ardian Clean Energy Evergreen Fund (ACEEF) Invests in Finnish Battery Energy Storage System
Feb 13 | Ardian
Ardian, a world leading private investment house, in partnership with its operating platform eNordic, today announces it has taken Final Investment Decision (FID) to build Mertaniemi battery energy storage project, a 38.5MW one hour utility scale battery energy storage system (BESS) in Finland, to support the Finnish power grid.
Companies: Ardian
Blackstone Sale of London Asset to Asian Investor Stalls and More Asia Real Estate Headlines
Feb 15 | Mingtiandi
London’s collapsing office market may have cost Blackstone an opportunity to sell a Canary Wharf tower to an Asian investor, with that story leading Mingtiandi’s headline roundup today. Also making the list, units in a Singapore listed REIT of US... Read More>> The post Blackstone Sale of London Asset to Asian Investor Stalls and More Asia Real Estate Headlines appeared first on Mingtiandi.
Companies: BlackStone Inc, WeWork Inc
Nordic Capital acquires SaaS fintech Zafin
Feb 13 | Private Equity Wire
Nordic Capital is to acquire a majority stake in Zafin, a provider of SaaS core modernisation and transformation solutions for financial institutions around the world. The firm's founders and management are reinvesting in the company as part of the deal.
Companies: Nordic Capital AB, Zafin
Carlyle to launch new European private credit strategy for private wealth investors
Feb 13 | Private Equity Wire
Global private investment firm Carlyle is to launch a new semi-liquid European private credit strategy which provides individual investors with access to the firm's $188bn AUM global credit platform.
Companies: Carlyle Group Inc
Afinum sells its majority stake in Iconia to Deutsche Invest
Feb 9 | Afinum
Afinum ended the third quarter of this year with two strategic add-on acquisitions to Afinum 9’s existing portfolio companies, Synaforce and GS Swiss.
Companies: Afinum Management GmbH
Blackstone and BNP Paribas launch private credit fund for French retail investors
Feb 8 | Private Equity Wire
Alternative investment giant Blackstone has opened its retail private credit fund ECRED to retail investors in France as part of an exclusive partnership with BNP Paribas’ wealth management and Cardif companies.
Companies: BlackStone Inc, BNP Paribas SA
Investcorp takes minority stake in Banner Ridge
Feb 8 | Private Equity Wire
The $1.3bn strategic capital arm of $50bn global alternative manager Investcorp has taken a minority stake in $7.3bn private equity manager Banner Ridge Partners and is now a passive, non-voting partner in the business.
Triton erlöst halbe Milliarde Euro mit Renk-IPO
Feb 7 | Finance Magazin
Der Private-Equity-Investor Triton hat Renk im zweiten Anlauf an die Börse gebracht – und mehr erlöst als zunächst angekündigt. Der Panzergetriebehersteller wird mit 1,8 Milliarden Euro bewertet.
Companies: Triton Partners LLC
EQT renews plans for $20bn Galderma IPO
Feb 7 | Private Equity Wire
Stockholm-based global investment firm EQT is reconsidering a potential $20bn initial public offering for Galderma, a pharmaceutical company and former subsidiary of Nestlé, according to a report by the Financial Times citing people familiar with the matter.
Companies: Galderma SA
Feb 2 | Main Capital
Founded in 2005, cisbox GmbH is an information technology and services company based in Solingen, North Rhine-Westphalia, Germany cisbox delivers comprehensive and seamless support throughout the entire Procure-to-Pay (P2P) process with its innovative suite of cloud-based solutions. These solutions encompass a wide range of functionalities including AI-enhanced data labeling for accuracy and efficiency, certified management of invoices for compliance and reliability (cisbox is certified...
Companies: Main Capital Partners BV
TECH M&A & INVESTMENT
Visma continues to grow in Portugal with acquisition of InvoiceXpress
Feb 14 | Visma
Visma has acquired InvoiceXpress, a Lisbon-based software company specialising in electronic invoicing solutions for small businesses. In addition to its core invoicing offering, the cloud-based platform also offers tax management and VAT-reporting. “We are delighted to welcome InvoiceXpress to the Visma family.
Navigating the Storm: The Broadcom-VMware Acquisition and Its Ripple Effects
Feb 8 | DataCore
In a bold move that rocked the tech world, Broadcom announced its intention to acquire VMware for a staggering $61 billion in May 2022, a decision finalized in November 2023. The acquisition has sent ripples through the industry, greeted with mixed feelings. Analysts and stakeholders alike are pondering the ramifications, particularly given Broadcom’s track record with CA Technologies and Symantec, where strategic shifts and operational overhauls were the orders of the day.
Companies: Broadcom Inc, Dell EMC, VMware Inc
Cisco’s $28 billion Splunk deal set for March 13 EU antitrust decision
Feb 8 | The Print
EU antitrust regulators have set a March 13 deadline to decide whether to clear Cisco Systems' $28 billion bid for cybersecurity firm Splunk, according to a
Companies: Cisco Systems Inc, Splunk Inc
Apple dominates global Smartphone market with record-breaking sales in Q4
Feb 8 | Kantar Group
Android OS fell to 57% share of global Smartphone sales. Despite losing share across all markets, Samsung remains the most popular Android phone. The latest Worldpanel ComTech Smartphone Operating System (OS) data indicates global smartphone sales volumes have increased +1% year-on-year. Apple iOS had a particularly strong performance, accounting for 37% of global smartphone sales (+10% year-on-year).
Companies: Apple Inc, Kantar Group Ltd, Samsung Electronics Co Ltd
Everbridge is going private in a $1.5B deal
Feb 5 | The Business Journals
Everbridge is getting acquired in $1.5B deal, going private. Everbridge corporate headquarters are located in Burlington. Gary Higgins / Boston Business Journal By Lucia Maffei – Technology Reporter, Boston Business Journal Everbridge, which held an IPO in 2016, is going private after making a deal with a deep-pocketed acquirer.Firm/Prior rank (*unranked in 2022)/ UKG (Ultimate Kronos Group) Thursday, February 15, 2024 Innovators in Healthcare.
Companies: Everbridge Inc, UKG Inc
SentinelOne Completes Acquisition of PingSafe
Feb 5 | AiThority
Combination creates new leader in cloud security with a fully integrated, AI-powered platform that protects entire enterprise SentinelOne, a global leader in AI-powered security, announced that it has completed its acquisition of cloud-native application protection platform (CNAPP) PingSafe, ushering in a new era of cloud security which it is in pole position to lead. “Most [...] The post SentinelOne Completes Acquisition of PingSafe appeared first on AiThority.
Companies: SentinelOne Inc
Blue Yonder Acquires Flexis, a Leader in Manufacturing and Supply Chain Planning Technology
Feb 8 | BusinessWire India
Business Wire India
Companies: Flexis AG
Equinix signs first Asian Pacific renewable energy deal with TagEnergy
Feb 8 | DataCenterNews | Asia
Equinix signs its first-ever Power Purchase Agreement (PPA) in the Asia-Pacific region with TagEnergy, marking a crucial step in expanding renewable energy.
Companies: Equinix Inc
RPC advises the shareholders of Wireless Social on its acquisition by The Access Group
Feb 6 | Reynolds Porter Chamberlain (RPC)
International law firm RPC has advised the shareholders of Wireless Social Holdings Limited (Wireless Social) as it becomes part of Access Hospitality, a division of The Access Group.
Companies: Access UK Ltd, Reynolds Porter Chamberlain LLP
Kauft Apple das deutsche KI-Startup Brighter AI?
Feb 5 | Gruenderszene
Führt Apple M&A-Gespräche mit dem deutschen KI-Startup Brighter AI? Das berichtet die amerikanische Apple-News-Plattform 9to5Mac unter Berufung auf einen nicht weiter genannten Informanten. Gründerszene gegenüber war das Berliner Startup bis Montag zu keinem Kommentar bereit. Auch in Brighter AI investierte VCs wie eCapital wollten sich auf Rückfrage von Gründerszene bisher nicht äußern.
Companies: Apple Inc
INSIDER SCOOP & MARKET BUZZ
Carlyle’s CEO reveals revival plan
Feb 9 | Private Equity Wire
Harvey Schwartz, CEO of The Carlyle Group, the world’s fifth largest private equity firm, and former President and Co-COO at Goldman Sachs, has set new targets for the private equity firm’s growth and profitability, after a period of high interest rates and senior management issues, according to a report by the Financial Times.
Companies: Carlyle Group Inc
CVC last bidder in Bundesliga rights sale, Germany's DFL says
Feb 14 | Reuters
CVC Capital Partners is the last remaining candidate in German football's planned media rights partnership after U.S. financial investor Blackstone dropped out, the Deutsche Fussball Liga (DFL) said on Wednesday.
Warburg Pincus Targets $2.5 Billion for Financial-Sector Fund
Feb 8 | BNN Bloomberg
Warburg Pincus is planning to raise about $2.5 billion for its third fund dedicated to deals in the financial sector, people with knowledge of the matter said.
Companies: Warburg Pincus LLC
DSM-Firmenich Weighs Animal Unit Sale on Weak Vitamin Market
Feb 15 | BNN Bloomberg
DSM-Firmenich AG is considering the sale of its animal, nutrition and health unit in a bid to reduce its exposure to a deteriorating vitamin market. The shares jumped.
Companies: DSM-Firmenich AG
Centrica Considering Investment in UK’s Nuclear Plant Sizewell C
Feb 15 | BNN Bloomberg
Centrica Plc is considering investing in the planned UK nuclear power plant Sizewell C, making it a potentially key stakeholder in the British government’s plans to draw private investors to build the project.
Companies: Centrica PLC
Siemens Looks to Raise Europe’s Largest Corporate Bond So Far This Year
Feb 15 | BNN Bloomberg
Siemens AG is looking to raise Europe’s largest corporate bond offering so far this year following its credit-rating upgrade and possible sale of its carved-out Innomotics business.
Companies: Siemens AG
Barron's - Family Office Investing Requires Mounds of Paperwork. AI Is Going to Help
Feb 13 | MarketWatch
Family offices are studying the investment opportunities presented by artificial intelligence, of course, but they are also excited about the potential AI offers for streamlining their operations and, for one day, supporting decision-making on investments and strategy. AI technology is expected soon to facilitate automation of several mundane but critical tasks for family offices, which essentially function as small institutional investment management organizations.
Companies: Cresset Asset Management LLC
Feb 13 | MarketWatch
The activist investor said the stock was “undervalued and represented an attractive investment opportunity.”
Companies: JetBlue Airways Corp
Blackstone weighs L'Occitane bid; PAI preps Marcolin sale
Feb 12 | S&P Global/Market Intelligence
Blackstone weighs L'Occitane bid; PAI preps Marcolin sale S&P Global Market Intelligence presents In Play Today, a periodic summary of potential private equity deal activity, including rumored transactions. This summary is based on information obtained on a best-efforts basis and may not be inclusive of all potential deal activity.
Companies: BlackStone Inc, L'Occitane International SA
PE returns fall to levels last seen in financial crisis
Feb 12 | Private Equity Wire
Private equity LPs had the lowest amount of cash returned to them from their investments last year since the global financial crisis, restricting efforts by buyout firms to launch new funds, according to a report by Bloomberg.
GROWTH TECH & VC SPOTLIGHT
Telco GPT: Survey Shows Scale of Industry’s Enthusiasm and Adoption of Generative AI
Feb 16 | NVIDIA
It’s been five years since the telecommunications industry first deployed 5G networks to drive new performance levels for customers and unlock new value for telcos. But that industry milestone has been overshadowed by the emergence of generative AI and the swift pace at which telcos are embracing large language models as they seek to transform Read Article
OpenAI Planning To Challenge Google With AI-Powered Search Engine
Feb 16 | International Business Times (IBTimes)
OpenAI, the company behind ChatGPT AI bot, has created a new AI model called Sora that can create one-minute videos from text prompts.
Microsoft invests €3.2 billion in AI and the cloud in Germany
Feb 15 | CIO
Microsoft will invest €3.2 billion in Germany by the end of 2025 to double the artificial intelligence and cloud capacities of its data centers there. The company also wants to train more than 1.2 million people in digital skills. Brad Smith, Vice Chair and President of Microsoft, said the aim is to enable the German economy to benefit from AI in order to continue to expand its leading global position in terms of competitiveness. Germany has always been at the forefront of technological and innovative change, Smith said, and this is also evident in terms of AI when he analyses the data available to Microsoft.
Infinigate launches financial services for partners
Feb 8 | CRN Channelweb.co.uk
New programme offers tailored financing to help channel partners manage growth and volatility
Companies: Infinigate Holding AG
Sable Bio raises £1.5m pre-seed round to make drug discovery safer and more efficient
Feb 7 | Seedcamp
Safety is paramount in the drug discovery and development process. However, despite recent technological strides, unforeseen toxicity continues to be one of the most significant and costly drivers of failure in drug discovery campaigns. This is why we are excited to back Sable Bio, a London-based tech bio startup on a mission to change how biotech and pharma companies evaluate drug target safety for effective decision-making.
Companies: BenevolentAI, Seedcamp Investment Management LLP
Feb 6 | Y Combinator
In this episode of Dalton & Michael, we’ll explain why the "Bootstrap or raise Venture Capital?" debate is a much simpler one than many make it out to be.
Companies: Y Combinator Management LLC
SolarWinds to host EMEA Transform Partner Summit
Feb 5 | Zawya.com
Emphasizing Company’s Commitment to Channel Partners Lisbon event brings partners together to hear from SolarWinds executive leadership on partner program updates, product innovations, and ways to accelerate growth. Dubai, UAE – SolarWinds (NYSE:SWI), a leading provider of simple, powerful, secure observability and IT management software, today announced it will host its annual Europe, Middle East, and Africa (EMEA) Partner Summit 2024 in person in Lisbon, Portugal, Feb. 19–23.
Companies: SolarWinds Corp
Cloudflare discloses breach related to stolen Okta data
Feb 3 | TechTarget
Cloudflare initially believed it contained an attempted cyberattack last October by a threat actor using an access token stolen ...
Companies: Atlassian Pty Ltd, CloudFlare Inc, Crowdstrike Holdings Inc
GoDaddy, Barnes Group See Activist Action
Feb 3 | Barron's
Companies: Barnes Group Inc, GoDaddy Inc
Snowflake, Datadog, Cloud Software Stocks Lifted By Amazon, Microsoft Reports
Feb 2 | Investor's Business Daily
Snowflake stock led as enterprise software firms jumped higher following strong cloud results from Amazon and Microsoft. The post Snowflake, Datadog, Cloud Software Stocks Lifted By Amazon, Microsoft Reports appeared first on Investor's Business Daily.
Companies: Amazon Web Services Inc, Amazon.Com Inc, Datadog Inc, Microsoft Corp
EPAM SPOTLIGHT
AI adoption bets drive EPAM revenue forecast above estimates
Feb 15 | Reuters
EPAM Systems forecast first-quarter revenue above analysts' expectations and beat quarterly results estimates on Thursday, helped by strong demand for its software services as more businesses invest in deploying AI-linked applications.
Companies: EPAM Systems Inc