What you need to know for June 27th

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Welcome Back! It’s been a busy few days, so let’s dive into the headlines.

The Main Stories 🔍

A Robust Private Equity Windfall: Pringles Packaging Manufacturer, Eviosys, a company acquired by Private Equity firm KPS Capital in 2021 for $2.7B, just sold to Sonoco Products, a strategic known for making the Pringles cans, for $3.9B. Sonoco expects $100mm of synergies, and this was a nice return for KPS in an environment where it’s a lot harder for PE firms to make money.

It's the Summer of the Finance Bro: This WSJ article made the rounds, but it was kinda a nothing burger that talked about the viral TikTok song plus the general fact that wealthier guys can be more appealing dating partners…

Buzzfeed is under pressure: Buzzfeed has been shopping the popular YouTube show, Hot Ones, but hasn’t seen good demand for a sale. Their $70 million valuation has buyers balking, but the “can you eat these hot wings” show surprisingly does $30 million in revenue. Meanwhile, activist investor Vivek Ramaswamy is knocking on the door, meeting with the CEO and pushing for conservative directors to join the board.

The Golden Age of Private Credit marches on: HPS Investment Partners has officially raised a $21.1B Private Credit Fund. AUM at the Credit giant is now a whopping $114B.

Shein is evaluating an IPO, confidentially filing for one on the London Stock Exchange: This follows a failed attempt in late 2023 to try to go public in the U.S. - with forced labor allegations being a key driver in the filing going nowhere.

Thoma Bravo’s efforts to sell J.D. Power is struggling: After previously trying to sell the Canadian automotive marketplace provider for $8B, demand has been lackluster and PE giant Thoma Bravo is looking for $2.9B (or $4B CAD), which compares to their acquisition of the software provider for $1.6B CAD).

US new home sales slump; supply at more than 16-year high: New home sales declined 11.3% to a seasonally adjusted annual rate of 619,000 units last month, the lowest level since November. This was a big disappointment to the 647,500 home sales economists were expecting and shows pressure in the housing market due to “higher for longer rates”.

US consumer confidence ebbs slightly in June: U.S. consumer confidence eased slightly in June amid worries about the economic outlook, but households were upbeat about the labor market and their inflation expectations over the next year improved a bit.

Airbus sheds $15B in market value after slashing guidance: Airbus lowered its commercial aircraft delivery goal and financial targets for the year due to supply-chain hurdles and an impairment related to its space activities. Airbus shares in Paris slumped 12% on Tuesday. The European plane maker said in an update to investors late Monday that it would no longer be able to deliver about 800 planes to customers this year and it lowered that goal to roughly 770, citing persistent supply-chain issues ion engines, aerostructures and cabin equipment.

More Headlines 🍿 

• Bobby Jain raises $5.3B for his hedge fund, the largest debut since 2018

• Moelis banker Jonathan Kaye has resigned after a video showed him punching a woman at a Pride event

• Novo Nordisk, the company behind Ozempic, is planning a $4.1B factory in Clayton, North Carolina

• Indie Hollywood Studio, A24, raised new financing at a $3.5B valuation. Thrive Capital founder Josh Kushner (brother of Jared Kushner) was a key financing party and will join the board

• Sony Music, Universal Music Group and Warner Records are suing two AI start-ups, Suno and Udio, over alleged copyright violations

• KKR acquires an 18-property multifamily apartment building portfolio from Lennar in a $2.1B deal

• Rivian gets a $5B lifeline from Volkswagen, sending the stock up 23% yesterday

• Fedex shares jumped 15% yesterday on a solid restructuring plan plus a potential sale of their freight trucking business

• Pool Corp cuts guidance on weak demand

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M&A Transactions💭 

Coyote Logistics, provider of land-based transportation services catering to consumer goods, has entered into a definitive agreement to be acquired for $1.03B by RXO, Orbis Investment Management and MFN Partners Group.

Quality Uptime Services, provider of preventive uninterruptible power supply maintenance services, was acquired for $119.0M by ABM Industries (NYS: ABM). Q Advisors advised on the sale.

Klarna Checkout, provider of checkout services, has entered into a definitive agreement to be acquired for $323.44M by BIq Invest and Systematic Growth. Deutsche Bank advised on the sale.

Investis Holding, provider of real estate services, was acquired for $267.46M by PHM Group.

Foodist, producer of food products, was acquired for $182.97M by Sajo Industries Company (KRX: 007160).

Fission Uranium (TSE: FCU), a junior resource issuer, has reached a definitive agreement to be acquired for $831.89M by Paladin Energy (ASX: PDN). Macquarie advised on the sale.

Eviosys, manufacturer of steel and aluminum food packaging, has reached a definitive agreement to be acquired for $3.9B by Sonoco (NYS: SON). Rothschild & Co advised on the sale.

Dacomsa, distributor of automotive spare parts, has reached a definitive agreement to be acquired for $395.29M by Fras-le (BVMF: FRAS3).

Aareon, provider of information technology consulting services, has entered a definitive agreement to be acquired for $4.21B TPG (NAS: TPG) and Caisse de depot et placement du Quebec. Arma Partners and Goldman Sachs advised on the sale.

Noname Security, developer of an agentless security platform, was acquired for $500.0M by Akamai Technologies (NAS: AKAM).

ILLUPACK, manufacturer of creative packaging, has reached a definitive agreement to be acquired for $2.0B by Sun Chang (KRX: 002820).

Durango Permain, producer of natural gas, was acquired for $840.0M by Kinetik (NYS: KNTK). Wells Fargo advised on the sale.

An urban logistics portfolio based in Denmark consisting of 22 warehouse was acquired for $145.68M by Blackstone (NYS: BX).

Ascension (St. Vincent), operator of hospitals and personalized care organizations, has reached a definitive agreement to be acquired for $450.0M by UAB Health System.

Village Hotels, operator of a chain of hotels, was acquired for $1.08B by Blackstone (NYS: BX). Morgan Stanley advised on the sale.

Travel Guard Group, provider of travel insurance plans, has reached a definitive agreement to be acquired for $600.0M Zurich Insurance Group (SWX: ZURN).

Nitroplus, developer of a software intended for personal computers, has reached a definitive agreement to be acquired for $106.11M by CyberAgent (TKS: 4751).

Private Placement Transactions💭 

MinoSpace, developer of commercial satellites, raised $139.86M of Series C1 venture funding led by Oriza Holdings.

Merlyn Mind, developer of spoken dialog-based systems, has raised $100.0M of venture funding led by Learn Capital.

Koios Medical, developer of an ultrasound image analysis platform, has raised $130.17M of venture funding in the form of convertible debt from an undisclosed investor.

BioMap, developer of biotechnologies, has raised $7.94B of venture funding led by Hong Kong Investment.

Stability AI, developer of an artificial intelligence tool, has raised $101.8M led by Coatue Management, Lightspeed Venture Partners, and O’Shaughnessy Ventures.

SkyCell, developer of data-driven container systems, raised $116M of Series D venture funding led by M&G.

Frontier Medicines, developer of a chemoproteomics platform, has raised $100.0M of Series C venture funding led by Galapagos, Deerfield Management, and Droia Ventures at a pre-money valuation of $330.0M.

EvolutionaryScale, developer of biology artificial intelligence models, has raised $142M of seed funding led by Lux Capital, Nat Friedman, and Daniel Gross.

Etched, developer of AI computing hardware, raised $120.0M of Series A venture funding led by Primary Venture Partners.

Bright Machines, developer of automation software, raised $126.0M of Series C venture funding led by BlackRock.

xAI, developer of an AI platform, raised $6.0B of Series B ventures funding led by Sequoia Capital, Andreessen Horowitz, and Fidelity International Strategic Ventures at a pre-money valuation of $18.0B.

Formation Bio, developer of a biotech platform, raised $372M of Series D venture funding led by Andreessen Horowitz.

ClearSky Global, operator of low-carbon fuel production company, raised $168.0M of venture funding from undisclosed investors.

Cdata, developer of data integration software, raised $350.0M of venture funding led by Warburg Pincus at a pre-money valuation of $450.0M.

Ascend, operator of a technology group, raised $195.0M of venture funding from undisclosed investors.

Noteworthy Chart 🧭

Americans don’t use all of their vacation days….what a shocker

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