PE HUB Wire Highlights, 6.7.19


private equity, mergers, M&A
Private Equity Editor Chris Witkowsky reflects at home. Photo by Wendy Witkowsky

A GP fund restructuring comes full circle, Exploring the family office/independent sponsor ecosystem

Happy Friday, Hubskis!

Hope your week went well. It’s stayed hectic as we enter these first weeks of summer. Our M&A reporters seem to be busier than ever, which is a good sign that deal activity remains steady.

How has annual meeting season gone? Anything interesting to report from the meetings you’ve attended (or hosted)? Hit me up at cwitkowsky@buyoutsinsider.com.

Scoop: Tech reporter Milana Vinn has a big story today that Thoma Bravo has put Continuum up for sale after a two-year hold. The process is in the early stages and Thoma is now accepting first round bids, Milana reported. Check out the story here.

Full circleAnthem this week said it agreed to buy behavioral health company Beacon Health Options from Bain Capital and Diamond Castle. While a notable deal in the healthcare world, this transaction stuck out to me for another reason: Beacon was the premier asset in what was one of the first marquee GP-led fund restructurings in the market.

Diamond Castle completed the restructuring of its $1.85 billion, 2006 fourth fund in 2014, transferring ~eight assets out of the fund into an $860 million continuation vehicle. Intermediate Capital Group led the restructuring along with Goldman Sachs.

A market source said Diamond Castle’s return on the sale of Beacon is strong, and once marks are official will give the portfolio a big boost. It’s interesting to see, five years down the line, one of the big assets out of an early restructuring process being sold.

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