Morning! If you’re still around keeping the torches lit, we at the Hub are here with you!
Another one: Here’s an update to a story we covered a few months back: NewSpring completed a single-asset process for its healthcare IT company Verisma, moving it out of its third fund and into a continuation fund.
The process was said to have two lead investors, though NewSpring didn’t disclose who the buyers were in an announcement this week. Triago worked as secondaries adviser on the deal.
The deal was expected to include a staple – the investors would commit a slug of fresh capital into NewSpring’s fourth fund, which is in market targeting $175 million, Buyouts previously reported.
The continuation fund was expected to have a five-year term. Existing Fund III LPs had the ability to cash out of their interests in Verisma or re-invest in the company through the continuation fund.
Verisma is one of a slew of single-asset processes that have closed over the past week just before year-end. Others include CD&R’s record process for Belron, Platinum Equity’s single-asset transaction for United Site Services, and LaSalle Capital’s GP-led deal to move two assets out of an older fund and into a continuation pool.
What are you hearing in terms of deals closing (or failing!) Hit me up at email@example.com.
Data: Carlyle Group agreed to buy Involta, a data center company focused on hybrid IT and cloud infrastructure, from M/C Partners. Involta owns and operates 12 data center facilities. Carlyle made the investment through its infrastructure team. The firm earlier this year acquired Wyyerd Group, a regional fiber-to-home platform in the southwestern US. Carlyle recently completed an add-on fiber acquisition to that platform this month. Read more here on PE Hub.
Settled: Infrastructure giant Global Infrastructure Partners settled with the SEC over accusations that the firm failed to offset various fees from the management fees in accordance with fund contracts, writes Bill Myers on Regulatory Compliance Watch (and posted on Buyouts).
The Commission’s complaint hinges on problems in three Global funds. In their partnership agreements and in private placement memoranda, Global promised that up to 80% of advisory fees “charged to portfolio companies would be offset against fund-level management fees,” the settlement order states.
Between 2009 and 2019, though, Global didn’t offset management fees, the Commission says. The firm netted more than $4.1 million in extra cash from the gaffe, the Commission says. Read it here.
That’s it for me! Have a great rest of your day, if you’re still busy at work, and as always hit me up with tips n’ gossip, feedback or book recommendations at firstname.lastname@example.org.