Aptiv to buy Wind River from TPG Capital for $4.3bn; why VSS is backing Globo; and ‘We Buy Ugly Houses’ marks seventh exit for LLCP

Good morning, Hubsters. MK Flynn here with a look at what’s going on in private equity deals, including a big exit for TPG Capital, an interview with VSS on the firm’s latest investment and New Year’s resolutions and career highs and lows for Blackstone‘s Joe Baratta and others.

On the edge. Aptiv PLC has agreed to buy Wind River from TPG Capital for $4.3 billion in cash. Wind River develops “intelligent edge” software for the continually expanding sets of connected systems and devices in the aerospace and defense, telecommunications, industrial and automotive markets. TPG acquired Wind River in 2018 through a carveout from Intel as a result of the firm’s work in industrial software and the growing demand from these companies for tools to help them digitally transform their businesses. Wind River is the second business TPG acquired from Intel through carveout, following the 2017 investment in McAfee Corp., which in November agreed to be taken private by an investor group led by Advent International and others for more than $14 billion.

VSS Capital Partners shared with PE Hub the strategy behind the firm’s investment in Globo Language Solutions LLC, a provider of on-demand language interpretation services, announced today. With a global network of about 4,000 linguists who speak 250 languages, Globo’s cloud-based platform provides personalized expertise in translation and streamlined language access to customers in a variety of industry sectors. Most of its customers are in the healthcare sector, where demand for its services is benefiting from the rise in telehealth visits during the pandemic. “There are many tailwinds in the business, not the least of which is the growing number of limited English proficient patients and customers in the US,” he said, noting that there are roughly 25 million people living in the US with limited English proficiency. “All healthcare providers are focused on health equity, and language barriers can be the cause of problems,” said Bainbridge.

In the eye of the beholder. Bayview Asset Management LLC, a global investment management firm that invests in finance, mortgage and consumer credit, has bought HomeVestors of America Inc., the real estate investment franchisor known for “We Buy Ugly Houses.” The deal marks an exit for Levine Leichtman Capital Partners, which acquired HomeVestors back in 2017. LLCP generated a return of more than 7 times its invested capital on the HomeVestors investment, a source familiar with the transaction told PE Hub. The sale is LLCP’s seventh exit over the last year, following West Academic, Best Lawyers, Caring Brands, FlexXray, Trinity Consultants and Nothing Bundt Cakes.

Pam Hendrickson, vice chairman of The Riverside Company, has been elected chairman of The American Investment Council’s board. “Pam is among the most respected leaders in all of private equity and we’re extremely fortunate to have her talent and expertise here at the American Investment Council,” said AIC President and CEO Drew Maloney. “Pam brings an important perspective to the table because her firm invests exclusively in small businesses. Nearly 80 percent of the $1 trillion private equity invested last year went to companies with fewer than 500 employees. She is as well-positioned as anyone in the country to help us educate the public about our industry and advocate directly with key lawmakers here in Washington, D.C.” Check out PE Hub’s recent interview with Hendrickson about her outlook for dealmaking in 2022.

Off-duty. As part of its January cover story package, Buyouts is featuring some interviews that get a little up close and personal with a few private equity leaders. Check out the New Year’s resolutions, hobbies, reading tastes and career highs and lows of Blackstone‘s Joe Baratta, Ontario Teacher’s Pension Plan’s Karen Frank and Carlyle Group‘s Brian Bernasek.
Nominations. We’re looking for your recommendations for rock star women in private equity, mostly on the deal side (which has been historically male-dominated). Deadline to get in your recs is January 17, for publication in March. Our annual Women in Private Equity project comprises 10 mini-profiles of highly regarded women in the industry and a feature story about some burning topic around the status of women in the industry. Check out our past coverage of Women in PE here. Reach Buyouts editor Chris Witkowsky with questions and recommendations at cwitkowsky@buyoutsinsider.com.

Deal of the Year: Get your nominations in now for your best exits (either full or majority) that closed in 2021. Awards are given in seven categories: overall deal of the year, large-cap, middle-market, small-cap, international, turnaround and secondaries. Deadline is Friday, Feb. 11. Send to Chris Witkowsky, private equity editor, at cwitkowsky@buyoutsinsider.com. Go here for all the rules and regs!

Happy dealmaking,
MK