Slow Week for U.S. Private Equity Deals

U.S. announced mergers fell back to Earth this week.

A spate of big announcements — H.J. Heinz, Dell and Virgin Media– helped boost deal value by 509% during the first half of February. This week, the last full one of February, deal value for U.S. mergers was much, much lower. There were 78 U.S. announced transactions for the period ended Feb. 21, valued at about $10.1 billion, according to data from Thomson Reuters. This compares to the same time period in 2012, when there were 118 transactions, valued at roughly $15.7 billion.

The week’s biggest deal was Linn Energy’s $2.5 billion offer for Berry Petroleum. Thomson Reuters values this transaction at $4.1 billion.

On the private equity side there were just seven announced deals this week, valued at $312 million, TR says. Last year, for the same time period, there were 24 PE-backed deals, totaling about $7.2 billion.

Here are the week’s top 5 deals, according to Thomson Reuters.

Photo courtesy of Shutterstock


[slide title=”5. HYCOR Biomedical”]

In fifth place is HYCOR Biomedical, which is backed by Linden Capital Partners.

Hycor on Wednesday said it would sell its urinalysis business to One Rock Capital Partners, Laurel Crown Partners, and StoneCreek Capital. Financial terms weren’t announced.

[slide title=”4. Optimal Blue”]

Serent Capital said this week it invested in Optimal Blue, a provider of a pricing and secondary marketing automation platform. Financial terms weren’t announced.

[slide title=”3. Virgin Mobile Latin America”]

Virgin Mobile Latin America comes in third place with its announcement that it raised an additional $20 million in funding. Hermes Growth Partners and EPlanet Capital were among the investors.

[slide title=”2. Harmonic Inc.”]

In second place is Harmonic Inc. deal to sell its cable access business to Aurora Networks for $46 million in cash. TA Associates has invested in Aurora Networks.

[slide title=”1. Victory Capital”]

Yesterday, Crestview Partners said it would buy Victory Capital Management for $246 million. Cleveland-based Victory manages and advises $22.1 billion in equity and fixed income assets on behalf of its institutional and individual investors. The seller was KeyCorp.