Private Equity Backed Business

Private Equity Giant KKR Launches £4bn Bid for Thames Water Amidst an Increasing Takeover Frenzy The race to acquire Thames Water, the UK's largest water utility, is heating up. Following earlier interest from Octopus Energy and other potential investors, global investment powerhouse KKR has emerged with a compelling £4bn bid for a majority stake, according to sources familiar with the matter. This strategic move underscores the intense competition for control of this critical infrastructure asset. Thames Water, serving 16 million customers across London and the Thames Valley, faces significant financial headwinds. Plagued by escalating debt, reportedly reaching £16 billion as of last September, the utility has publicly warned of potential cash flow issues by March 24th. This precarious financial position necessitates a comprehensive restructuring of its debt and capital structure, making a turnaround crucial. A single, active owner is believed to be the optimal solution to navigate these challenges, as a source close to the situation explained. A global search firm has already been engaged to shortlist potential #ceo #coo and #cfo candidates for the turnaround. KKR's proposed £4bn management buyout aims to stabilise Thames Water's operations without resorting to asset stripping or a break-up of the utility. This approach signals KKR's commitment to long-term value creation and sustainable growth. The firm's involvement represents a significant investment in UK infrastructure and highlights the attractiveness of regulated utilities for private equity investment. Thames Water's recent announcement confirmed receiving multiple buyout proposals, indicating a robust market interest in the struggling utility. The company is currently evaluating each bid carefully. This acquisition battle reflects broader trends in the private equity landscape, including a focus on infrastructure investments and the increasing competition for high-quality assets. The successful bidder will not only gain control of a vital utility but also assume the responsibility of addressing the company's financial challenges and ensuring the continued delivery of essential services to millions of customers. Neither Thames Water nor KKR have officially commented on the bid. #PrivateEquity #InfrastructureInvestment #M&A #ThamesWater #KKR #UKUtilities #Turnaround #DistressedInvesting #FinancialRestructuring #InvestmentStrategy #ofwat #water #utilities #energy #money #ukgov #recruitment #pesearch #executivesearch

𝗨𝗻𝗶𝗹𝗲𝘃𝗲𝗿'𝘀 €𝟭𝟱 𝗕𝗶𝗹𝗹𝗶𝗼𝗻 𝗜𝗰𝗲 𝗖𝗿𝗲𝗮𝗺 𝗜𝗣𝗢: 𝗔 𝗠𝗮𝗿𝗸𝗲𝘁 𝗧𝗿𝗮𝗻𝘀𝗳𝗼𝗿𝗺𝗮𝘁𝗶𝗼𝗻 Unilever is charting a new course for its ice cream division, opting for a 2025 Amsterdam IPO, with potential secondary listings in London and New York, rather than a previously planned private equity sale. This strategic move is poised to reshape the global ice cream market. The division, home to iconic brands like Magnum, Cornetto, and Wall's, generated €8.3 billion in revenue last year, capturing a 20% global market share. Analysts estimate its valuation could reach €15 billion. Unilever's decision reflects a strategic refocusing on higher-growth sectors like beauty and health, streamlining its portfolio for enhanced profitability. While revenue growth within the ice cream division has been driven primarily by pricing strategies, volume sales have faced challenges. The business's unique operational demands, particularly its reliance on complex cold chain logistics, differ significantly from Unilever's core consumer goods operations. This strategic separation allows Unilever to concentrate on its key brands and optimise resource allocation. Unilever's recent divestment activity, including the 2023 sale of Elida Beauty and other non-core brands, underscores its commitment to #portfolio optimisation. This aligns with broader restructuring efforts, including a significant reduction of 7,500 #jobs globally. The ice cream division has attracted considerable interest. Leading private equity firms, including Advent International, Blackstone, and CVC Capital, previously explored potential acquisitions before Unilever pursued the #IPO route. This IPO, if successful, will be the largest ever for an ice cream business, enabling the newly independent entity to attract growth capital, fuel innovation, and capitalise on market opportunities. The move signals a significant shift in the consumer goods landscape and highlights the increasing importance of strategic focus and agility in a dynamic market. #Unilever #IceCreamIPO #PrivateEquity #ConsumerGoods #IPO #MarketTrends #Divestment #StrategicFocus #Valuation #ColdChainLogistics #icecream #fmcg #food #privateequity #pe #vc #investment #floatation #stocks #stockandshares #shares

Discussion please to explore and make sense of the counter-intuitive nature of the USA's trade policies surrounding stimulating manufacturing growth whilst also restricting the importation and supply/ availability of resources: 𝗧𝗵𝗲 𝗣𝘂𝘇𝘇𝗹𝗲 𝗼𝗳 𝗨𝗦 𝗧𝗿𝗮𝗱𝗲: 𝗗𝗿𝗶𝗹𝗹𝗶𝗻𝗴, 𝗕𝘂𝗶𝗹𝗱𝗶𝗻𝗴, 𝗮𝗻𝗱 𝗧𝗮𝗿𝗶𝗳𝗳𝘀 The USA's push to boost domestic oil drilling, manufacturing, and construction seems logical on the surface. "Drill baby drill" echoes a desire for energy independence, while supporting manufacturing and construction fuels job creation and economic growth. But here's the catch: hefty tariffs on imported steel and aluminium. 𝗧𝗵𝗲 𝗖𝗼𝘂𝗻𝘁𝗲𝗿-𝗜𝗻𝘁𝘂𝗶𝘁𝗶𝘃𝗲 𝗖𝗼𝗻𝘂𝗻𝗱𝗿𝘂𝗺 Imagine a construction boom. Houses need frames, cars need bodies, factories need machines. All these rely heavily on steel and aluminium. Now, picture these materials becoming significantly more expensive due to tariffs. Suddenly, construction projects stall, car prices rise, and manufacturing costs skyrocket. 𝗧𝗵𝗲 𝗨𝗻𝗶𝗻𝘁𝗲𝗻𝗱𝗲𝗱 𝗖𝗼𝗻𝘀𝗲𝗾𝘂𝗲𝗻𝗰𝗲𝘀 The result? Domestic industries struggle to compete, potentially leading to job losses and hindering economic growth. The very sectors the USA aims to bolster end up bearing the brunt of these policies. It's a bit like trying to fill a bucket with a hole in the bottom. 𝗔 𝗖𝗮𝗹𝗹 𝗳𝗼𝗿 𝗥𝗲𝘁𝗵𝗶𝗻𝗸𝗶𝗻𝗴 This isn't about taking a stance on trade policy. It's about highlighting the complexities and potential unintended consequences of seemingly straightforward actions. Are there ways to stimulate domestic industries without inadvertently shooting yourself in the foot? Let's discuss..... #trade #manufacturing #economy #steel #aluminium #tariffs #metal #bmra #industry #imports #exports #usa #shipping #construction #oil #bigoil #drilling #isri

𝗘𝘁𝗵𝗶𝗼𝗽𝗶𝗮 𝗔𝘁𝘁𝗿𝗮𝗰𝘁𝘀 $𝟲𝟬𝟬 𝗠𝗶𝗹𝗹𝗶𝗼𝗻 𝗜𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 𝗳𝗼𝗿 𝗠𝗲𝗴𝗮-𝗗𝗮𝗶𝗿𝘆 𝗣𝗿𝗼𝗷𝗲𝗰𝘁..... #Ethiopia's burgeoning agricultural sector has received a significant boost with a landmark $600 million investment in a large-scale dairy farming and processing project. The Ethiopian Investment Holdings (EIH), the nation's sovereign wealth fund, has partnered with UK-based private equity firm Asset Green to bring this ambitious initiative to fruition. A formal shareholder agreement has been signed, solidifying the commitment of both parties. Asset Green will hold a majority stake in the joint venture, with EIH also contributing capital. The two partners are exploring opportunities to bring in additional investors to further strengthen the project's financial foundation. The project will be located in Ethiopia, a nation in the Horn of Africa with significant agricultural potential. EIH Chief Executive Officer Brook Taye announced the agreement in Addis Ababa, Ethiopia's capital. This substantial investment underscores the growing confidence in Ethiopia's economy and its attractiveness as a destination for foreign direct investment, particularly in its agricultural sector. The project is expected to create numerous jobs and boost local economies. This mega-dairy project is poised to transform Ethiopia's dairy industry, addressing local demand and potentially creating export opportunities. The partnership between a sovereign wealth fund and a private equity firm demonstrates a blended finance approach, combining public and private capital to drive economic development. The scale of the investment highlights the increasing interest in impact investing within Africa's agricultural sector. This project is a testament to the potential of public-private partnerships to unlock economic growth and create sustainable development opportunities. #privateequity #impactinvesting #ethiopia #dairyfarming #agribusiness #emergingmarkets #sovereignwealthfund #foreigninvestment #assetgreen #africa #milk #dairy #farming #agri #cattle

Gordon Ramsay's Culinary Empire Forges Global Expansion with Private Equity Boost - Celebrity chef Gordon Ramsay is consolidating his UK and US restaurant operations into a single global entity, securing fresh private equity investment to fuel international expansion and strategic partnerships. This strategic move unites his 94 restaurants worldwide under one banner, positioning the group for accelerated growth. The restructured Gordon Ramsay Restaurants will be co-owned by Ramsay and Lion Capital, each holding a 50% stake. A dedicated executive management team and board of directors, headquartered in London, will steer the company's future. This consolidation follows Lion Capital's initial $100m (£79.4 million) investment in 2019, securing a 50% stake in Ramsay's North American ventures. Ramsay's restaurant empire, established in 1998, now encompasses 37 UK locations, 35 in the US, and 22 spread across other international markets. The group proudly boasts eight stars in The MICHELIN Guide, a testament to its culinary excellence. This new investment from Lion Capital will further propel the group's ambitious expansion plans. "This marks an exciting new chapter," says Ramsay, "building on our successful five-year partnership with Lion Capital. Together, with our talented team, we're ready to expand our global footprint, forge new partnerships, and deliver exceptional dining experiences to a wider audience." The group's recent successes include securing a deal to provide hospitality services at ten Formula 1 races this season, and the launch of Europe's highest restaurant at 22 Bishopsgate in London. These ventures highlight the group's commitment to innovation and its ability to capture diverse market segments. Andy Wenlock, #CEO of Gordon Ramsay Restaurants, emphasises the strategic value of the partnership with Lion Capital. "Lion Capital shares our passion for world-class dining," he states, "and their expertise in the hospitality sector will be invaluable as we accelerate our global expansion. This transaction will enable us to broaden our horizons, continue innovating, scale effectively, diversify our partnerships, and, crucially, meet the evolving demands of today's diners." The merger positions Gordon Ramsay Restaurants for continued success in the competitive global culinary landscape. #privateequity #restaurantinvesting #gordonramsay #michelinstars #globalexpansion #hospitality #f1 #22bishopsgate #lioncapital #culinary #investment #buyin #money #food #beverage #michelin

𝗧𝗼𝗽 #𝗣𝗿𝗶𝘃𝗮𝘁𝗲𝗘𝗾𝘂𝗶𝘁𝘆 #𝗗𝗲𝗮𝗹𝗺𝗮𝗸𝗲𝗿𝘀 𝗶𝗻 𝗘𝗠𝗘𝗔 𝟮𝟬𝟮𝟰 𝗥𝗲𝘃𝗲𝗮𝗹𝗲𝗱 - The UK's robust buyout market fuelled lucrative deals for Europe's leading private equity #bankers and #lawyers in 2024... 𝗞𝗲𝘆 𝗣𝗹𝗮𝘆𝗲𝗿𝘀 𝗶𝗻 𝗣𝗿𝗶𝘃𝗮𝘁𝗲 𝗘𝗾𝘂𝗶𝘁𝘆 𝗕𝗮𝗻𝗸𝗶𝗻𝗴 HSBC's Kamal Jabre's notable deals included advising on the Nord Anglia Education group acquisition by a Neuberger Berman-led consortium and the £2.7bn sale of Evri by Advent International to Apollo Global Management, Inc. Goldman Sachs' Mark Sorrell, recently promoted to global head of industrials coverage, ranked second with six deals worth almost £12.9bn. His portfolio included Thoma Bravo's £4bn take-private of UK cybersecurity firm Darktrace. Morgan Stanley's EMEA telecoms and media co-head, Dominique Cahu, secured third place, working on ten deals including EQT's £2.2bn acquisition of Keywords Studios Studios. Citigroup's global asset managers co-head, Anthony Diamandakis, also featured, advising on transactions like Cinven's acquisition of Alter Domus from Permira. 𝗟𝗲𝗮𝗱𝗶𝗻𝗴 𝗣𝗿𝗶𝘃𝗮𝘁𝗲 𝗘𝗾𝘂𝗶𝘁𝘆 𝗟𝗮𝘄𝘆𝗲𝗿𝘀 Bredin Prat's Oliver Assant advised on prominent deals such as CD&R's acquisition of a controlling stake in Sanofi's Opella consumer health business and Brookfield's majority investment in Neoen. Kirkland & Ellis' David Higgins followed in second place, with standout deals like the £5.4bn takeover of Hargreaves Lansdown. Latham & Watkins' David Walker secured third position. Other ranked lawyers included Kirkland's Adrian Maguire and Linklaters' Nicholas Edwards. 𝗧𝗼𝗽 𝟭𝟬 𝗘𝗠𝗘𝗔 𝗣𝗿𝗶𝘃𝗮𝘁𝗲 𝗘𝗾𝘂𝗶𝘁𝘆 𝗕𝗮𝗻𝗸𝗲𝗿𝘀 𝟮𝟬𝟮𝟰: • Kamal Jabre, HSBC (£15.5bn, 4 deals) • Mark Sorrell, Goldman Sachs (£12.9bn, 6 deals) • Dominique Cahu, Morgan Stanley (£9.6bn, 10 deals) • Antonia Rowan, Bank of America (£8.7bn, 2 deals) • Anthony Diamandakis, Citigroup (£8.0bn, 4 deals) • Francesco Pascuzzi, Goldman Sachs (£7.6bn, 3 deals) • Ali Kazmi, Rothschild & Co (£7.2bn, 2 deals) • Andrea Petruzzello, UniCredit (£7.2bn, 3 deals) • Cyrille Harfouche, Rothschild & Co (£6.7bn, 2 deals) • Aadeesh Aggarwal, Rothschild & Co (£4.7bn, 5 deals) 𝗧𝗼𝗽 𝟭𝟬 𝗘𝗠𝗘𝗔 𝗣𝗿𝗶𝘃𝗮𝘁𝗲 𝗘𝗾𝘂𝗶𝘁𝘆 𝗟𝗮𝘄𝘆𝗲𝗿𝘀 𝟮𝟬𝟮𝟰: • Olivier Assant, Bredin Prat (£18.8bn, 7 deals) • David Higgins, Kirkland & Ellis (£14.9bn, 5 deals) • David Walker, Latham & Watkins (£14.8bn, 4 deals) • Adrian Maguire, Kirkland & Ellis (£14.3bn, 4 deals) • Nicholas Edwards, Linklaters (£12bn, 2 deals) • Elizabeth Todd, Ropes & Gray LLP (£11.7bn, 3 deals) • Douglas Abernethy, Latham & Watkins (£11.3bn, 2 deals) • Heiner Braun, Freshfields Bruckhaus Deringer (£8.9bn, 2 deals) • Jonathan Wood, Weil, Gotshal & Manges LLP (£6.8bn, 3 deals) • Kem Ihenacho, Latham & Watkins (£6.3bn, 5 deals) #privateequity #dealmakers #EMEA #M&A #bankers #lawyers #buyouts #investmentbanking #legal #finance #deal #bank #banks #banking #city #law #investment #buyout #takeover #deals

HM Revenue & Customs Retreats on Private Equity Tax Crackdown - In a significant policy shift, HMRC has reversed its controversial changes to the tax treatment of limited liability partners (LLPs) in private equity and professional services. This reversal comes after intense lobbying from industry bodies, including the British Private Equity & Venture Capital Association (BVCA) and the Chartered Institute of Taxation (CIOT), and signals a potential reset in the UK government's relationship with the business community. The initial changes, introduced in 2023, focused on how HMRC determines whether LLP members are classified as self-employed or employees. This distinction is crucial, as it impacts National Insurance contributions. If deemed an employee, the employer (the LLP) must pay employer's National Insurance, currently 13.8% and rising to 15% in April, on the member's earnings. The core issue revolved around "condition C" of the 2014 tax rules. This condition relates to the capital contributions made by an LLP member. Previously, HMRC guidance suggested that contributing at least 25% of their profit share would satisfy this condition, leading many firms to structure their partnerships accordingly. However, last year, HMRC altered its interpretation, suggesting that exceeding the 25% threshold with the intent to avoid employment status could be considered tax avoidance. This abrupt shift sparked widespread concern within the private equity and professional services sectors. The BVCA argued that the change was implemented without proper consultation and carried the risk of retrospective application, potentially exposing firms to substantial backdated tax liabilities. Industry experts, like Jitendra Patel, tax principal at BDO, echoed these concerns, noting that the change felt retrospective, given HMRC's previous assurances. The reversal is a welcome development for the industry. HMRC has now clarified that the anti-avoidance rule will not apply to genuine capital top-ups that are intended to be enduring and carry real risk. This provides much-needed clarity and reassurance to businesses that had faced significant uncertainty and incurred costs in preparing to defend their tax positions. While the industry welcomes this change in direction, the episode highlights the importance of open communication and consultation between HMRC and businesses. Christopher Thorpe, technical officer at the CIOT, expressed satisfaction with HMRC's revised interpretation, emphasizing that it aligns with legitimate commercial investment practices. This decision underscores the need for a balanced approach to tax regulation that supports business growth while ensuring fair tax contributions. #PrivateEquity #Tax #HMRC #LLP #LimitedLiabilityPartnership #BVCA #CIOT #TaxLaw #UKBusiness #FinancialServices #news #privateequitybackedbusiness #industry #finance #employment #paye

Steve Madden Steps up Growth with £289m Kurt Geiger Acquisition. The US fashion giant, has announced its acquisition of UK-based footwear and accessories brand Kurt Geiger in a deal valued at approximately £289 million. This strategic move sees Steve Madden acquire the British brand from private equity firm Cinven, significantly strengthening its international presence and expanding its portfolio of coveted accessories. The acquisition brings Kurt Geiger London, renowned for its distinctive British DNA and statement-making styles, under the Steve Madden umbrella, joining established brands such as Dolce Vita, Betsey Johnson, and ATM Collection. This aligns with Steve Madden’s overarching strategy to penetrate high-growth international markets, bolster its thriving accessories division, and enhance its direct-to-consumer (DTC) capabilities. Kurt Geiger’s strong presence in luxury UK department stores, including Harrods and Selfridges, provides a valuable platform for Steve Madden to further expand its reach within the premium segment. "We are excited to add Kurt Geiger London, a brand that has exhibited exceptional growth over the last several years,” said Edward Rosenfeld, chairman and CEO of Steve Madden. “Its unique brand image, high-quality craftsmanship, and compelling value proposition have driven success across multiple categories, led by handbags.” This acquisition not only diversifies Steve Madden's brand portfolio but also provides access to Kurt Geiger's established customer base and expertise in the luxury accessories market. Kurt Geiger, encompassing its namesake label, KG Kurt Geiger, and Carvela, has experienced rapid growth in recent years. With estimated annual revenues of £400 million, CEO Neil Clifford believes the brand is still in the early stages of its global expansion. “With its global infrastructure and proven track record of supporting brands, we believe Steve Madden is the right strategic partner to help us reach our potential,” Clifford added. This partnership offers Kurt Geiger the resources and expertise of a global fashion powerhouse to accelerate its international growth trajectory. Steve Madden plans to finance the acquisition through a combination of committed debt financing and existing cash reserves. The deal has received unanimous approval from the Steve Madden board and is expected to close in the second quarter of 2025, subject to customary regulatory approvals. The acquisition is expected to be accretive earnings per share in the first full year following the closing. Solomon Partners, Travers Smith LLP, and Foley & Lardner LLP served as advisors to Steve Madden on the transaction. Bank of America Business Securities and Freshfields represented Cinven. Kurt Geiger’s senior management received advisory services from Kinmont and Addleshaw Goddard LLP. #SteveMadden #KurtGeiger #Acquisition #Fashion #Footwear #Accessories #PrivateEquity #Retail #LuxuryBrands #UKRetail #takeover #investment #growth #deal

Brownfield Regeneration: A €4 Trillion Opportunity for #PrivateEquity Investment, but Government backing is needed to break through dated bureaucracy that slows progress and therefore payback. Private equity and institutional investors are increasingly focused on brownfield regeneration as a key solution to the UK and EU's housing and workspace shortages. A new Ginkgo report, in partnership with Systemiq Capital, highlights the vast potential of this sector, revealing a significant investment opportunity with positive social and environmental impact. The report estimates 19,000 sq km of underutilised brownfield land and 300 sq km of vacant office space across Europe. Redeveloping even a fraction of this could deliver 15-20 million homes and mixed-use spaces, addressing a substantial portion of the projected demand over the next 10-15 years. This transformation requires an estimated €4 trillion of investment, presenting a compelling opportunity for private capital. Laura Nolier, director of strategy and impact at Ginkgo Advisor (Edmond de Rothschild Private Equity), emphasizes the dual benefit: "Urban regeneration represents a significant – and untapped – opportunity for investors...to fulfil their fiduciary duty to generate financial value while meeting increasing demands for sustainable...credentials." François-Xavier Vucekovic, CIO at Edmond de Rothschild Private Equity, notes the shift in perception: "Urban regeneration has long been seen as a public sector ‘play’. But...private remediators and developers are opening opportunities for private sector players." The report suggests that private equity is drawn to this sector due to the potential for strong risk-adjusted returns, driven by demand for urban housing and workspace. Brownfield sites can reduce planning risk and accelerate development. Government incentives further enhance their attractiveness. Over the past 10yrs however more have stumbled than succeeded because of red tape and drawn out approval processes that have prevented investors from making returns within 3-5yrs. #BrownfieldRegeneration #UrbanRegeneration #SustainableInvestment #ESG #PrivateEquity #RealEstate #HousingCrisis #UKHousing #EUHousing #ImpactInvesting

ONGPL's $2.3bn Acquisition of Ayana Renewable: A Catalyst for India's Green Energy Transition.... ONGC NTPC Green Private Limited (ONGPL), the joint venture between ONGC Green Limited (OGL) and NTPC Green Energy Limited (NGEL), has acquired 100% equity in Ayana Renewable Power for INR195bn ($2.3 billion). This landmark acquisition from sellers including National Investment and Infrastructure Fund (NIIF), British International Investment (BII), and Eversource Capital significantly boosts ONGPL’s renewable energy portfolio, adding approximately 4.1 GW of operational and under-construction assets. Ayana's strategically located projects and strong off-taker contracts align perfectly with India's Net-Zero ambitions and reinforce ONGPL's commitment to sustainable development. This acquisition, ONGPL's first major strategic move since its November 2024 inception, accelerates its growth in the renewable energy sector and strengthens the parent companies, ONGC and NTPC, in achieving their respective Net Zero targets by 2038 and 2050. Ayana, launched by BII in 2018 with subsequent investments from NIIF and Eversource in 2019, has become a leading renewable energy platform, recognized for its top-tier ESG ratings, including a #1 ranking in Asia and a global top-three position (ISS ESG). Ayana's portfolio spans solar, wind, and round-the-clock (RTC) projects, demonstrating its diversified approach to renewable energy generation. Srini Nagarajan, Managing Director and Head of Asia at BII, highlighted Ayana's catalytic role in accelerating renewable energy adoption in India. Sanjay Kumar Mazumder, CEO of ONGC Green Limited, emphasised the acquisition's strategic importance for driving India's clean energy transition. Vinod Giri, Managing Partner, Master Fund, NIIF, noted the transaction's value creation and continued support for India's sustainable infrastructure goals. Dhanpal Jhaveri, CEO of Eversource Capital, expressed confidence in Ayana's future growth with ONGPL. The transaction aligns with India's national commitment to Net-Zero emissions by 2070 and the ambitious target of 500 GW of renewable energy capacity by 2030. Ayana's success story underscores the strong investor confidence in India's renewable energy market and the increasing momentum towards a cleaner future. Deloitte Touche Tohmatsu India LLP advised ONGPL on the buy-side, with JSA Advocates and Solicitors as legal counsel. Standard Chartered provided transaction advisory services to the sellers, supported by Khaitan & Co and Cyril Amarchand Mangaldas as legal advisors. The transaction is subject to customary conditions precedent and regulatory approvals. This acquisition positions ONGPL as a key player in India's renewable energy landscape and demonstrates the power of strategic partnerships in driving sustainable development. #RenewableEnergy #India #NetZero #Sustainability #Acquisition #PrivateEquity #Infrastructure #CleanEnergy #ESG #green #greenenergy #sustainable #power #dno #idno