Latest news with #Hellman&Friedman
Mint
01-07-2025
- Business
- Mint
Europe's IPO Bankers Pin Hopes on Fall Window as Revival Falters
(Bloomberg) -- After the slowest first half for European initial public offerings in more than a decade, dealmakers are banking on several large transactions to reignite the market later this year. IPOs in the region have raised roughly $5.52 billion so far in 2025, a 60% decline from a year ago, according to data compiled by Bloomberg. Turmoil unleashed by President Donald Trump's tariffs froze the market for weeks, and while some firms have since launched offerings, others deferred or canceled debuts. Europe's IPO recovery since has trailed Asia and North America. But with new and postponed deals penciled in for the second half, advisers hope European offerings can recover at a time when investor interest in the region has been rekindled by the prospect of increased defense spending and fiscal stimulus. 'There are a handful of European IPOs lined up for September or October that are true landmark events,' said Martin Thorneycroft, global co-head of equity capital markets at Morgan Stanley. Private equity firm Hellman & Friedman is considering a listing of security company Verisure in Stockholm as soon as this year that could value the business at more than €20 billion ($23.5 billion) including debt, Bloomberg News has reported. German stock exchange operator Deutsche Boerse AG is mulling a potential $1 billion share sale for its unit ISS Stoxx GmbH as soon as the second half. 'The bigger tests for the European IPO market come post-Labor Day when we should see some jumbo transactions,' said Alex Watkins, co-head of international ECM at JPMorgan Chase & Co., referring to the early-September US holiday that traditionally marks the start of the fall window. He sees the market picking up globally in the second half, 'setting the stage for a stronger IPO year in 2026.' Smaller and mid-cap companies have made up the bulk of issuance over the last six months. The region's biggest offering came from Asker Healthcare Group AB in Sweden, which raised about 10 billion Swedish kronor ($1.05 billion) and has soared since its debut. Others have had a bumpier start as listed companies, with Spain's travel technology firm HBX Group International Plc still trading below its offering price after its transaction raised €748 million ($880 million). Some companies have shelved plans to debut, with German online car-parts retailer Autodoc SE postponing its Frankfurt IPO, though the offering drew enough demand to cover the deal. Glencore Plc-backed Cobalt Holdings Plc also decided not to move forward with a $230 million London float. Still, others are forging on with plans to go public before the summer lull. German medical technology firm Brainlab SE is set to debut this week after a Frankfurt IPO that's expected to raise €320 million, while Blackstone Inc.-backed casino operator Cirsa Enterprises SA announced plans for a Spanish listing. How these deals fare will be important for encouraging more issuers to come to market, according to Luca Erpici, co-head of ECM at Jefferies Financial Group Inc. for Europe, the Middle East and Africa. But, ultimately, the success of any IPO will hinge on its own merits more than market momentum. 'It really comes down to the quality of the business, valuation and offer size,' Erpici said, adding that adjusting the size of an IPO is one of the 'key levers' sellers are using to ensure deals go well. For example, Blackstone Inc. injected fresh cash into Cirsa before the IPO was announced by raising payment-in-kind debt. Its offering is now set to raise about €453 million, with the bulk of the proceeds going toward lowering its debt. While Europe has seen successful large IPOs in recent years, mid-sized companies have generally had a harder time going public. The rise of index-tracking funds has lured away some of the traditional buyers for IPOs, and the higher interest rates that followed the Covid-19 pandemic increased the pressure on private equity-backed companies that have taken on debt, reducing their appeal to investors. New offerings also have to contend with trade and geopolitical uncertainty. 'Volatility is here to stay, or at least more so than we have been used to, so markets are learning to live with that, and, selectively, companies will continue to come to market,' said Lyle Schwartz, senior managing director and EMEA ECM lead at Evercore Inc. Companies that postponed listing plans earlier in the year could test the market again in the coming months. German pharmaceutical firm Stada Arzneimittel AG had postponed its planned IPO in March and Nordic Capital's Noba Bank Group AB pushed back plans to launch an IPO into the second half of the year. Others like SMG Swiss Marketplace Group AG, the operator of online real estate portal ImmoScout24, could also list as soon as this year, Bloomberg News has reported. 'Many IPOs have been deferred to after the summer, so September will be the real benchmark for the IPO market,' said Gareth McCartney, global co-head of ECM at UBS Group AG. Still, there's a risk that deals slip into next year because of company developments and the potential for markets to shift. 'You can see five or six European IPOs coming after Labor Day, but I don't think we're going to see a massive wave,' said Andreas Bernstorff, head of ECM at BNP Paribas SA. 'It's also unsure whether all will end up coming this year because of issues like leverage, and a lot of clients are considering what to do.' 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Yahoo
29-05-2025
- Business
- Yahoo
At Home readies for US Chapter 11 protection amid liquidity struggles
US home decor chain At Home Group is close filing for Chapter 11 bankruptcy protection as financial pressures persist. The retailer is exploring strategies including increasing its liquidity, according to a Bloomberg report. This development follows the appointment of Brad Weston as CEO in May 2024. Backed by private equity company Hellman & Friedman, At Home operated 266 stores across 40 US states and territories at the time of his appointment. But the company has encountered financial challenges in recent months, exacerbated by tariffs and trade tensions. At Home failed to make an interest payment that was due on 15 May 2025, which led to a temporary forbearance agreement with its lenders on 23 May. This halts creditor actions until 30 June 2025. An emailed statement from a company spokesperson was quoted by Bloomberg: "At Home is actively collaborating with our financial stakeholders and has put forbearance agreements in place with respect to certain interest payments under the company's debt instruments. These agreements provide us flexibility as we continue to take steps to position At Home for near and long-term success." A report from Bloomberg in April stated that At Home was considering restructuring strategies. Although a bankruptcy filing appeared likely, no definitive decision had been reached at that time. Representatives from Hellman & Friedman and At Home's advisor PJT Partners were not available for comments. The retailer has $17.3m accessible under its asset-based lending facility. It has been seeking to decrease its reliance on Chinese suppliers since late in 2024 due to tariff concerns. In recent weeks, it has intensified efforts to engage with suppliers from alternative markets, including India. "At Home readies for US Chapter 11 protection amid liquidity struggles" was originally created and published by Retail Insight Network, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
New York Post
28-05-2025
- Business
- New York Post
Popular home-decor retailer ‘At Home' set to file for bankruptcy amid cash crunch, tariffs: report
At Home Group Inc., the home-decor retailer backed by private equity firm Hellman & Friedman, is preparing to file for bankruptcy under Chapter 11 in the coming weeks as it scrambles to shore up its liquidity, according to a report. The company, which operates more than 260 stores across 40 US states and territories, has been navigating a worsening financial situation, compounded by the effects of US tariffs and ongoing uncertainty around global trade policies. At Home missed an interest payment due on May 15 and subsequently entered a forbearance agreement with its lenders on May 23, people with knowledge of the situation told Bloomberg News on Wednesday. 3 Home decor retailer At Home is reportedly preparing to file for bankruptcy. Alamy Stock Photo That agreement, which offers a temporary reprieve from creditor action, runs through June 30. 'At Home is actively collaborating with our financial stakeholders and have put forbearance agreements in place with respect to certain interest payments under the company's debt instruments,' a spokesperson for the company said in an emailed statement to Bloomberg News. 'These agreements provide us flexibility as we continue to take steps to position At Home for near and long-term success.' Last month, Bloomberg News reported that the company was weighing several restructuring options, and while a bankruptcy filing was seen as increasingly likely, no final decision had been made. Representatives for Hellman & Friedman and PJT Partners Inc., which is advising the retailer, were not immediately available to comment. 3 At Home missed an interest payment due on May 15 and subsequently entered a forbearance agreement with its lenders on May 23, it was reported. Andriy Blokhin – At Home has been grappling with liquidity constraints for months. As of now, it has roughly $17.3 million available under its asset-based lending facility, according to people familiar with the matter. Its $600 million first-lien term loan is trading at distressed levels — most recently quoted at just 38 cents on the dollar, Bloomberg reported. The retailer has also been seeking to restructure its balance sheet. In April, it was in discussions with some lenders over a proposal that could potentially transfer ownership of the company to creditors. At the time, sources said the company was evaluating multiple options to address its mounting financial pressures. Tariffs imposed by President Donald Trump have played a central role in disrupting the company's turnaround strategy. 3 The company has been navigating a worsening financial situation, compounded by the effects of US tariffs and ongoing uncertainty around global trade policies. Getty Images Even before the administration's April 2 tariff announcement, At Home had begun shifting manufacturing and supply chains away from China to mitigate exposure. In recent weeks, the company has accelerated its efforts to engage suppliers in other countries, including India. Despite a temporary liquidity boost in May 2023 — when the company raised $200 million through the sale of five-year senior secured notes and exchanged $442 million in unsecured bonds for payment-in-kind toggle notes — At Home has struggled to maintain revenue growth amid high borrowing costs and declining consumer demand.
Yahoo
13-05-2025
- Business
- Yahoo
HUB International secures $1.6bn investment at $29bn valuation
HUB International has secured a $1.6bn minority common equity investment, valuing the company at $29bn. In a statement issued on 12 May, HUB said that this valuation is the 'largest enterprise value to date' attained by a private insurance broker. The infusion was led by funds and accounts advised by T. Rowe Price Investment Management, Alpha Wave Global and Temasek, with additional contribution from other investors. HUB was valued at $4.4bn during Hellman & Friedman's initial investment in 2013. The Chicago-based insurance brokerage's valuation grew to $10bn during Altas Partners' minority stake acquisition in 2018 and soared to $23bn during Leonard Green & Partners' investment in 2023. HUB's annual revenue surged to $4.8bn in 2024 from $1.1bn in 2013. The latest infusion furthers HUB's commitment to shareholder liquidity via a Liquid Private Placement, introduced with Leonard Green & Partners' investment in 2023. Hellman & Friedman will continue to hold a controlling interest in HUB and the management team will also maintain a 'significant' equity stake. Altas and Leonard Green & Partners will remain 'significant' minority shareholders and retain their board representation. 'Lack of selling appetite allowed the investment proceeds to provide primary capital for growth initiatives and other general corporate purposes, such as acquisitions, debt repayments, and maintaining excess cash on HUB's balance sheet,' the brokerage said. HUB stated that the investment proceeds will not be used for secondary redemptions of current equity holders. Morgan Stanley Smith Barney and Goldman Sachs were financial advisors to HUB, while Simpson Thacher & Bartlett provided legal counsel for the deal, which is due to close by the end of this month. HUB International chairman and CEO Marc Cohen said: 'Our ongoing investments in innovation, proprietary products, and strategic M&A [mergers and acquisitions], along with our commitment to learning and development, has led to consistent performance and strength in our organic growth and new business generation.' Recently, HUB acquired the assets of Allegiant Global Partners, a US-based consultancy, as part of its expansion strategy. "HUB International secures $1.6bn investment at $29bn valuation " was originally created and published by Life Insurance International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Yahoo
13-05-2025
- Business
- Yahoo
Hellman & Friedman launches Enverus sale
Private equity firm Hellman & Friedman has reportedly initiated the sale process for Enverus, a Texas-based energy software provider. The could value the company at approximately $6bn, reported Reuters citing sources familiar with the matter. The private equity firm has engaged Citi's investment bankers to manage the potential transaction. The sale has garnered interest from various private equity entities and industry companies, although it is still in the preliminary stages, the news agency cites sources as saying. The sale process is said to be in its early stages, with various options being considered. These include the possibility of selling a partial stake in Enverus. However, the sources cautioned that no agreement is guaranteed, the report said. Genstar Capital, which previously sold Enverus to Hellman & Friedman in 2021 for $4.25bn, retains a minority interest in the company. Citi and Genstar have declined to comment, while Hellman & Friedman and Enverus have not responded to requests for comment, Reuters said. Enverus is engaged in providing software, data, and analytics services to firms in the oil and gas sector. The platform offers comprehensive analytics and insights. It provides benchmark cost and revenue data sourced from over 95% of US energy producers and more than 40,000 suppliers. The company reportedly generates about $400m in annual EBITDA and could be valued at nearly 15 times that figure, according to the sources. In 2024, Bloomberg reported that Enverus' private equity backers were preparing for either a sale or an initial public offering of the business. "Hellman & Friedman launches Enverus sale" was originally created and published by Verdict, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
