Kohlberg & Co. has paid an undisclosed amount for a majority stake in Risk Strategies Co. (RSC), a national insurance & benefits brokerage based in Boston, according to a statement about the deal. Kohlberg made the investment from Kohlberg Investors VII, which recently closed on $1.6 billion, the statement said. The capital will be used to grow the company. RSC’s executive team remains intact and the company's management and employees have also retain "significant ownership," the statement said.
The dividend recapitalization may be one of the most controversial techniques of realizing returns in the buyouts business, but Ted Thorp, co-head of the leveraged finance group at ORIX USA, says recaps are a useful tool in the sponsor’s toolkit.
(Reuters) - Blackstone Group and Warburg Pincus are among the buyout firms through to the second round of the auction for Carlyle Group's aerospace communications firm Arinc Inc, several people familiar with the matter said this week. Hellman & Friedman, Advent International and BC Partners are also in the mix, sources said.
Strand Equity Partners said on Thursday that it has purchased a minority ownership stake in Bai Brands. No financial terms were disclosed. Based in Princeton, NJ, Bai is a beverage producer.
LBC Credit Partners, a provider of financing solutions to middle market companies, said on Thursday that it has recapitalized MPI Products with a $35,000,000 second lien term. A portfolio company of Monomoy Capital Partners, the Rochester Hills, Michigan-based MPI is a producer of components for powertrain systems, hydraulic systems and other automotive and industrial applications.
Wausau Paper, a producer of towel and tissue products, has closed its previously announced agreement to sell its specialty paper business to Expera Specialty Solutions, a newly formed company backed by KPS Capital Partners L.P., a New York-based private equity firm. The sale has resulted in net cash proceeds of approximately $105 million to Wausau after settlement of transaction-related liabilities, costs and taxes.
Duke Street has signed an agreement with Paris-based investment firm Tikehau Group whereby Tikehau will become a 35 percent shareholder in Duke Street and provide committed capital to accelerate the firm’s deal-by-deal model. In partnership with Tikehau, Duke Street will have the capacity to underwrite any new deals in its target range.
Permaswage has been sold by Bridgepoint for $600 million to Precision Castparts Corp. Permaswage, which was acquired by Bridgepoint in 2007, is an aerospace component supplier manufacturing permanent and separable couplings used to connect hydraulic, air and other tubing in all types of civil and military aircraft.
Regulators are reviewing the sale of annuity businesses to private equity firms, worried that such sales put annuity customers at risk, Reuters reports. The scrutiny has delayed the sale of Sun Life's annuity business to Guggenheim Partners and could delay Aviva's sale of its annuity business to Athene, Reuters says.
Beringea, LLC, a private equity firm, said on Wednesday that it has recapitalized Fiber By-Products Corp. No financial terms were disclosed. The funding will help FBP management pursue its goals of expansion. Based in White Pigeon, Michigan, Fiber By-Products Corp. is a producer and recycler of wood products.