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Both private equity and activist investor funds are considered alternative asset classes, but the latter is becoming an increasingly popular alternative to the former.
The bottom line: Activists for years have helped to create private equity opportunities, by agitating for sales. Now they are beginning to take some of those opportunities themselves.
• Kicking the carry can: Private fund managers breathed a sigh of relief when carried interest was ignored by the 2017 tax cut bill, but it's again working its way into the political bloodstream.
• All hail breaks loose: One intriguing thing to look for in Uber's S-1, whenever it arrives, is how much information it provides about the other ride-hail companies in which it holds shares.
Hellman & Friedman agreed to lead an $11 billion acquisition of Ultimate Software (Nasdaq: ULTI), a Weston, Fla.-based provider of human capital management cloud software.
• Guazi, a Chinese used car marketplace, is in talks to raise up to $1.5 billion from SoftBank Vision Fund. http://axios.link/Yv6M
• Siete Family Foods, an Austin, Texas-based Mexican-American food brand, raised $90 million in minority equity funding from The Stripes Group. www.sietefoods.com
⛽ Yellow Door Energy, a UAE-based solar developer, raised $65 million in Series A funding from IFC, Mitsui & Co., Equinor Energy Ventures, Arab Petroleum Investments and Adenium. www.yellowdoorenergy.com
• BrumBrum, an Italian online car retailer and long-term renter, raised €20 million in Series B funding. Accel led, and was joined by Bonsai Ventures and eVentures. http://axios.link/TtqJ
• Bud, a British startup that helps banks connect their apps and data to other fintech providers, raised over $20 million in Series A funding from HSBC, Goldman Sachs, ANZ, Investec, Banco Sabadell and 9Yards Capital. http://axios.link/56Nw
• Aire, a British credit scoring startup, raised $11 million in Series B funding. Crane Venture Partners led, and was joined by Experian Ventures and Orange Digital Ventures. http://axios.link/oImF
🚑 Day Zero Diagnostics, a Boston-based genomic sequencing startup focused on infectious diseases, raised $8.6 million in Series A funding. Triventures led, and was joined by Sands Capital Ventures and Golden Seeds. http://axios.link/NDfs
• Your Super, a maker of plant-based “superfoods,” raised $5 million in Series A funding. PowerPlant Ventures led, and was joined by Doehler Ventures. www.yoursuper.com
🚑 Advent International acquired a majority stake in BioDuro, a San Diego-based life sciences contract R&D firm that also has facilities in China. www.bioduro.com
• Belcan, a Cincinnati-based portfolio company of AE Industrial Partners, acquired Sitec, a UK-based engineering services and technical recruitment company for the defense, aerospace, industrial and government services markets. www.belcan.com
• Levine Leichtman Capital Partners bought West Academic, a St. Paul, Minn.-based provider of law school learning materials, from Eureka Equity Partners. www.westacademic.com
🚑 Morgan Stanley Capital Partners invested in Clarity, a Madison, Conn.-based provider of member communications solutions for health insurance payors, third-party admins and dental insurers.
• One Equity Partners acquired a 51% stake in video tech company MediaKind from Ericsson (Nasdaq: ERIC). http://axios.link/prd1
• Safety Technology Holdings, a Farmington Hills, Mich.-based portfolio company of Bridgepoint, acquired OpTek Systems, a Groton, Mass.-based maker of laser processing equipment. www.opteksystems.com
🚑 Solara Active Pharma, an Indian maker of active pharmaceutical ingredients, raised $30 million from TPG Growth.
• Anheuser-Busch InBev picked JPMorgan and Morgan Stanley for a possible IPO of its Asia brewing business, per Bloomberg. http://axios.link/eHNr
🚑 Sequana Medical, a Belgian maker of implantable devices for managing fluids in the abdomen, plans to raise up to $44 million in a Brussels IPO. The company has raised around $58 million in VC funding from firms like Life Science Partners, NeoMed Management, VI Partners, BioMedInvest, Entrepreneurs Fund, Capricorn Venture Partners, Salus Capital Partners, Newton BioCapital and Quest for Growth. http://axios.link/zEc1
• Arlington Capital Partners agreed to sell MicroPact, a Herndon, Va.-based provider of case management and business process management software, to Tyler Technologies (NYSE: TYL). www.micropact.com
• KKR is exploring a full or partial sale of Japanese chip equipment company Hitachi Kokusai, with two Chinese buyers interested, per the FT. http://axios.link/Qycf
• Palo Alto Networks (NYSE: PANW) is in talks to buy Demisto, a Cupertino, Calif.-based automated incident response platform, per Calcalist. Demisto has raised nearly $70 million in VC funding, most recently at a $218 million post-money valuation, from firms like ClearSky, Greylock and Accel. http://axios.link/1SAb
🎧 Spotify (NYSE: SPOT) is in talks to buy podcasting startup Gimlet Media for more than $200 million, per Recode. Gomet has raised around $27 million in VC funding from firms like Stripes Group, Emerson Collective, WPP, Betaworks and Graham Holdings. http://axios.link/CkwU
• Naspers of South Africa has acquired Russian online classifieds company Avito for $1.16 billion in cash. http://axios.link/9w6z
• Panalpina (Swiss: PWTN) shareholders rejected a $4.1 billion takeover offer from Copenhagen-listed freight transport company DSV. http://axios.link/LwFi
• Sunrise Records of Canada offered to buy British music retailer HMV, which is preparing for bankruptcy, per the FT. http://axios.link/oPzv
• Taptica International (AIM TAP) agreed to buy rival video advertising rival RhythmOne (AIM: RTHM) for $176 million in stock.
• Accel promoted London-based investors Andrei Brasoveanu and Seth Pierrepont to partner. www.accel.com