Sep 8, 2020 - Economy & Business

Advantage Solutions agrees to go public via reverse merger

Illustration a briefcase tied to  a balloon with a stock market chart on it
Illustration: Sarah Grillo/Axios

Advantage Solutions, an Irvine, Calif.-based provider of sales and marketing services to consumer goods makers and retailers, agreed to go public via a reverse merger with Conyers Park II Acquisition Corp., a SPAC formed by Centerview Capital.

Why it matters: Private equity is on both sides of this transaction, illustrating how the industry is integrating what could otherwise become a rival.

  • The deal gives Advantage an initial enterprise value of $5.2 billion, with existing backers CVC Capital Partners, Leonard Green, and Bain Capital rolling over their entire stake and investing an additional $200 million.

The bottom line: "Conyers, whose shares were up 52.2% in premarket trading, said the Advantage Solutions merger is expected to close by late October," per Reuters.

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