Euroflorist Intressenter, majority-owned by Litorina, divests Euroflorist to a consortium of highly regarded investors
During Litorina’s holding period Euroflorist has built an international footprint as a leading online platform for flower sales across northern Europe and the UK with an attractive and rapidly growing DTC box offering
Litorina exits Euroflorist, a leading international online flower sales platform, to a consortium of investors led by Magnus Silfverberg, previously CEO of Bisnode and Betsson, and Johan Tjärnberg, CEO of Trustly and CEO/co-founder of Bambora, alongside a group of co-investors. The transaction was completed through divestment of the operating group of companies and the seller is Euroflorist Intressenter, where Litorina holds the majority of the shares. The transaction closed on December 17, 2021.
During Litorina’s holding period, Euroflorist has grown organically and through selective add-on acquisitions to become one of the leading European online platforms for flower sales, with activity in 11 countries. The company has successfully leveraged its extensive international florist network to drive growth in online sales. The traditional florist delivery model has been complemented by a differentiating and margin accretive DTC box business, which still holds substantial further penetration potential. Through excellent execution, the company successfully capitalised on the strong demand driven by the pandemic in 2020-21 and is well-positioned to benefit from the structural positive market shift. During Litorina’s ownership, the company more than doubled sales with earnings increasing more than fivefold.
“Euroflorist’s platform model for flower delivery comes with several attractive characteristics. At its core lies the high scalability and low capital requirements. Litorina invested with a view to leverage that model and capitalise on the increased e-com penetration to drive international growth, and I am pleased to see that this generated a good return for our investors.” says Jörgen Ekberg, Executive Chairman at Litorina. ”The international footprint of the business and the margin accretive DTC box offering constitutes an attractive foundation for continued success for Euroflorist”, Jörgen continues.
The sellers were advised by Carnegie, Vinge and PwC.
Euroflorist is a leading international online flower sales platform with operations in eleven European countries. Every year, Euroflorist delivers millions of floral greetings, reception flowers, gifts and funeral wreaths through some 5,000 directly affiliated flower shops and external suppliers. Since its inception in 1982, Euroflorist has grown internationally through its own establishments and through acquisitions of florist networks. Euroflorist began to offer online flower gifts as early as 1995, which today represent approximately 85% of the total sales. For more information, please visit www.euroflorist.se.
Litorina, founded in 1998, invests in niche market-leading companies with headquarters in the Nordics. Litorina partners with management teams and entrepreneurs that want to take their companies to their full potential. Litorina aims to build larger, better and more sustainable companies by contributing relevant experience, knowledge, passion and resources to accelerate growth. For more information, please visit www.litorina.se.
Strategic Acquisition Expands Marcone into Plumbing Parts and Equipment
ST. LOUIS, Dec. 20, 2021 /PRNewswire/—Marcone, the leading residential appliance parts distributor and portfolio company of Genstar Capital, today announced that it has acquired Professional Plumbing Group (PPG), a distributor of plumbing products for repair and remodel applications, from Dunes Point Capital, LP.
PPG designs, manufactures, markets and distributes high-quality plumbing products. PPG’s portfolio includes products from two proprietary brands – Wolverine Brass, and Speakman – as well as third-party products across all of the leading brands. Wolverine Brass is a respected brand selling high quality plumbing products for the past 125+ years exclusively to professional plumbers and trade personnel; Speakman is a 150+ year-old brand widely known for high quality showers and other fixtures. PPG sells 20,000 SKUs to more than 10,000 customers including plumbing technicians, third-party distributors, ecommerce providers and retailers and through commercial channels such as hospitality. PPG has nearly 300 employees and is based in Concordville, PA.
Jim Souers, Chief Executive Officer of Marcone, stated, “PPG is a superb business and a leader in the plumbing specialty marketplace operating through highly diversified sales channels with long-established customer relationships. Its brands are well known and trusted among the trade community and is a strong strategic fit with our go forward strategy. We are excited to capitalize on increased spending on plumbing products from consumers, technicians and larger strategic accounts, and look forward to working together with PPG to accelerate growth. We are pleased to welcome PPG’s strong management team and organization to the Marcone family.”
Rob Rutledge, Managing Director at Genstar Capital, said, “When we partnered with Marcone and its management team earlier this year, we knew it was a truly outstanding business in its core market with a large opportunity to expand by selling other parts and services into the home. PPG represents an exciting step into the large and fragmented plumbing market, with material revenue opportunities across the combined customer base.”
About Marcone
Marcone is an authorized distributor for major brands such as Whirlpool, Electrolux, General Electric, Maytag, Bosch, Samsung, L-G and many more. Through its vast distribution network, Marcone supplies the largest inventory of original replacement parts in the country for household appliances such as refrigerators, ranges, dishwashers, microwaves, washers, and dryers. Marcone exports to over 120 countries and also operates a comprehensive training institute offering quality business and technical training. Headquartered in St. Louis, Marcone has 12 regional distribution centers and nearly 50 retail centers.
About PPG
PPG is a distributor of plumbing products for repair and remodel applications. PPG distributes two proprietary brands (Wolverine Brass and Speakman), along with third-party plumbing products. PPG serves ten thousand customers across four channels: direct-to-trade, commercial, ecommerce, and retail. PPG is headquartered in Concordville, PA and employs nearly 300 people. For more information, visit https://www.ppg-inc.com.
About Genstar Capital
Genstar Capital (www.gencap.com) is a leading private equity firm that has been actively investing in high quality companies for over 30 years. Based in San Francisco, Genstar works in partnership with its management teams and its network of strategic advisors to transform its portfolio companies into industry-leading businesses. Genstar currently has approximately $33 billion of assets under management and targets investments focused on targeted segments of the financial services, industrials, healthcare, and software industries.
Contact: Chris Tofalli Chris Tofalli Public Relations 914-834-4334
Audax Private Equity (“Audax”) today announced it has completed a strategic growth investment in Integrate.com, Inc. (“Integrate” or the “Company”), a leader in B2B Precision Demand Marketing, an emerging category that helps B2B marketers develop omnichannel demand strategies and drive marketing ROI. Financial terms of the transaction were not disclosed.
Integrate connects data, channels, technology, and team members to create intelligent buyer and account journeys and deliver Precision Demand Marketing at scale. Its core offering, the Demand Acceleration Platform (“DAP”), centralizes, connects, and elevates multichannel B2B buying experiences to help accelerate demand and convert leads to revenue. In 2021, Integrate’s B2B marketing customers processed over 14.5 million marketable and compliant leads through their governance engine.
“We look forward to partnering with Audax and continuing our momentum following this exceptional year of growth,” said Jeremy Bloom, co-founder and CEO of Integrate. “We believe Audax’ expertise and track record of building value will position us well to capitalize on the sizeable and growing core market opportunity, as well as adjacent verticals and geographic expansion opportunities. We are thrilled to have Audax’ support as we continue to develop our product set and grow our customer base.”
“Integrate’s differentiated SaaS-based workflow product provides unique value by replacing the expensive need for an in-house or agency-based, labor-intensive solution,” said Tim Mack, Managing Director at Audax. “With companies allocating more of their marketing budgets to digital channels, Integrate offers demonstrable ROI for their customers, making them an essential partner to their customer base. We’re excited to work with Jeremy and the rest of the Integrate team to help support the Company’s further growth and value creation.”
“Integrate’s solution helps B2B marketers solve complex challenges across a variety of demand generation channels. By helping to power account-based, buyer-driven omnichannel marketing strategies, the platform has proven itself to be an invaluable resource for some of the world’s largest marketers,” said Iveshu Bhatia, Managing Director at Audax. “We’re excited to partner with Jeremy and the Integrate team in their next phase of growth.”
Ropes & Gray served as legal counsel to Audax and Goodwin Proctor served as legal counsel to Integrate. Integrate was advised by BrightTower, a New York based investment banking firm focused on software, information, and technology enabled services.
NEW YORK–(BUSINESS WIRE)–KKR, a leading global investment firm, today announced that KKR Real Estate Select Trust Inc. (“KREST”) has acquired a portfolio of core medical office buildings and ambulatory surgery centers located in seven Sun Belt states (the “Portfolio”). The Portfolio was assembled by Montecito Medical, a leading player in the medical office space, and FCA Partners, a real estate investment management company. The transaction will recapitalize the Portfolio with Montecito Medical retaining its interest in and operational responsibility for the properties.
The purchase marks KREST’s first acquisition of core healthcare real estate assets, further diversifying the fund’s portfolio following its recent first-time multifamily property investment, as well as its first international property acquisition. The investment aligns with KREST’s focus on thematically-driven, stabilized, income-generating commercial real estate, which is one of the fund’s three primary investment strategies.
The Portfolio consists of 15 outpatient medical office buildings and ambulatory surgery centers totaling approximately 400,000 square feet. The properties are located across the southern United States in growth submarkets within Arkansas, Florida, Georgia, North Carolina, Tennessee, Texas and South Carolina. The Portfolio is over 99% leased to a mix of leading investment grade health systems and specialist medical groups in practice areas including orthopedics and ophthalmology, with a weighted average lease term greater than 10 years.
“We are pleased to invest in mission-critical real estate for a premium group of tenants who are providing in-demand medical care to high-growth communities across the Sun Belt,” said Peter Sundheim, a senior leader on KKR’s real estate team. “We believe these properties operated by Montecito Medical are positioned to benefit from long-term trends in healthcare and population growth, making them a great match for KREST.”
“This transaction places our Southern Core Medical Office Portfolio in the hands of a great long-term owner with deep expertise across healthcare and real estate sectors,” said Chip Conk, Chief Executive Officer of Montecito Medical. “We are happy to deliver a great outcome for our investors while continuing to maintain and grow our operational platform.”
“This acquisition represents a meaningful diversification of our KREST investment portfolio, and we are thrilled to expand the portfolio with new exposure to healthcare real estate,” said Billy Butcher, Chief Executive Officer of KREST and Chief Operating Officer of KKR Global Real Estate.
“We appreciate the great work of our partners at Montecito Medical in assembling this portfolio of quality medical office assets,” said Al Lindemann, Managing Partner of FCA Partners. “We continue to believe in the long-term value of medical office assets as part of our client portfolios.”
Newmark’s Healthcare Capital Markets Group advised Montecito Medical and KKR on the transaction and provided advice to KKR on debt financing. BMO Harris Bank’s Healthcare Real Estate group provided financing for the transaction. Simpson Thacher & Bartlett LLP acted as legal counsel to KKR, and Allen Matkins Leck Gamble Mallory & Natsis LLP acted as legal counsel to Montecito Medical and FCA.
About KREST
KKR Real Estate Select Trust Inc. (“KREST”) is a continuously offered, registered closed-end fund that thematically invests in high quality, stabilized, income-oriented commercial real estate equity and debt. The fund is open to all investors with daily subscriptions and its primary investment objective is to provide attractive current income, with a secondary objective of long-term capital appreciation. KREST is managed by KKR Registered Advisor LLC, an affiliate of KKR & Co. Inc., and utilizes the experience and reach of KKR’s global real estate team and the resources available through the KKR platform. For additional information about KREST, please visit its website at www.krest.reit.
About KKR
KKR is a leading global investment firm that offers alternative asset management and capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of The Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.
About Montecito Medical
Montecito Medical is one of the nation’s largest privately held companies specializing in healthcare-related real estate acquisitions and funding the development of medical real estate. Montecito is a leading resource for both medical real estate owners and healthcare providers seeking to monetize or expand their holdings. Since 2006, it has completed transactions across the United States involving more than $5 billion in medical real estate. Headquartered in Nashville, TN, Montecito has been named as a “key influencer in healthcare real estate” by GlobeSt.com and the editors of Healthcare Real Estate Insights. For more information about Montecito Medical, please visit www.montecitomac.com.
About FCA Partners
FCA Partners is a Charlotte, NC based real estate investment advisor with a focus on identifying high quality assets and operating partners in the growth markets of the Southeast and TX. The firm has assembled a portfolio of over 50 assets with value in excess of $2 billion on behalf of its institutional clients since its founding in 2014.
CONTACTS
Media Contacts:
For KKR:
Miles Radcliffe-Trenner
+1 212-750-8300 media@kkr.com
For Montecito Medical:
Brandi Meeks
+1 615-921-3850 x3878
CHICAGO, IL – December 20, 2021 – Adams Street Partners, a private markets investment firm with more than $49 billion under management, has held the final closing of the Adams Street 2021 Global Fund Program with approximately $832 million in committed capital. Adams Street’s global program provides investors exposure to a comprehensive private markets portfolio with exposure to all of Adams Street’s investment strategies, including primaries, secondaries, co-investments, growth equity, and private credit.
The global fund program saw strong worldwide demand, with commitments coming from new and existing investors in North America, Europe, the Middle East, and Asia. Backers included a broad set of public and corporate pension plans, high net worth individuals, foundations, and endowments. Adams Street’s global program was first offered in 1996 and has been consistently managed through disciplined risk management and portfolio construction techniques.
“Investors worldwide are increasingly attracted to private market investment solutions that are data-driven and have the ability to produce attractive risk-adjusted returns,” said Jeff Diehl, Managing Partner and Head of Investments at Adams Street. “We are grateful for the confidence our investors have placed in us and the Adams Street Global Fund to help meet their return objectives while seeking to successfully navigate risks.”
About Adams Street Partners
Adams Street Partners is a global private markets investment manager with investments in more than 30 countries across five continents. The firm is 100% employee-owned and has more than $49 billion in assets under management. Adams Street strives to generate actionable investment insights across market cycles by drawing on nearly 50 years of private markets experience, proprietary intelligence, and trusted relationships. Adams Street has offices in Austin, Beijing, Boston, Chicago, London, Menlo Park, Munich, New York, Seoul, Singapore, and Tokyo. Visit www.adamsstreetpartners.com
WELLESLEY Mass., PALMER Mass., Dec. 20, 2021 /PRNewswire/ — Ampersand Capital Partners announced today that it has completed the sale of its portfolio company Adaptas Solutions to IMI plc for $271 million in cash. Adaptas is a leading provider of mission-critical components for complex laboratory instruments in the life sciences, diagnostics and lab automation markets.
Ampersand invested in Detector Technologies in 2018 and partnered with CEO Jay Ray to build the company (renamed Adaptas Solutions) into a global leader through both acquisitions and internal investments. Together the team acquired Scientific Instrument Services, ETP Ion Detect, Yuanshang Technology, Applied Kilovolts, Ceramax and Cadence Fluidics. Today Adaptas is the market leading provider of mass spectrometry subsystems and components, such as electron multipliers, filaments, power supplies and ion optic grids. In addition, Adaptas manufactures custom fluidic modules and lab automation products including motion control components, syringe pumps and rotary shear valves. The company, with over 340 employees, is based in Palmer, Massachusetts, USA and also has facilities in Pennsylvania USA, West Sussex in the United Kingdom, New South Wales in Australia and Qidong in China. Adaptas projects over $80 million of revenues for 2021.
“Ampersand has been a valued strategic partner and provided the resources to build our organization to support rapid growth and acquisitions. Their knowledge of our industry and network have helped Adaptas refine and execute its growth strategy,” said Jay Ray. “IMI will allow Adaptas to expand the breadth of our product offerings as we continue to develop innovative products and services for our customers.”
Geoff Teillon, Partner of Ampersand Capital Partners, added, “Adaptas has grown to become the ‘Intel Inside®’ for mass spectrometry OEMs. IMI’s product portfolio will allow the team to further accelerate Adaptas’ market penetration and execute on its robust pipeline of new business opportunities, especially in lab automation and liquid handling.”
Baird served as exclusive financial advisor to Adaptas, McDermott Will & Emery served as Adaptas’ legal counsel and PwC served as Adaptas’ financial and tax diligence advisor.
About Ampersand Capital Partners
Founded in 1988, Ampersand is a middle market private equity firm with more than $2 billion of assets under management dedicated to growth-oriented investments in the healthcare sector. With offices in Boston and Amsterdam, Ampersand leverages its unique blend of private equity and operating experience to build value and drive superior long-term performance alongside its portfolio company management teams. Ampersand has helped build numerous market-leading companies across each of the firm’s core healthcare sectors. Additional information about Ampersand is available at ampersandcapital.com.
NEW YORK, SAN ANTONIO – December 20, 2021 – Blackstone (NYSE:BX) today announced that funds managed by Blackstone Growth (BXG) (“Blackstone”) have entered into a definitive agreement for a majority investment in Supergoop!, the first protective skincare brand that puts SPF at the forefront. The company, founded by former teacher and skincare industry pioneer Holly Thaggard, has enjoyed tremendous growth over the past five years given an increasing recognition of the importance of daily skin protection – a direct result of Supergoop!’s efforts for more than 15 years. Thaggard, Supergoop!’s CEO Amanda Baldwin and the existing senior management team will continue to maintain significant equity ownership in the business alongside Blackstone. The investment will help fuel Supergoop!’s commitment to launch category-creating innovations; drive consumer behavior change through education and best-in-class brand marketing; and expand the company’s national and global reach.
Supergoop! strives to educate and inspire the world to wear SPF. Every. Single. Day™. Thaggard launched the brand in 2005, after a close friend was diagnosed with skin cancer at age 29, with the mission of developing highly innovative dermatologist-approved, clean-ingredient SPF products that feel good to wear, make it easier to incorporate sunscreen into everyday routines and help consumers make daily sun protection a habit. Today, with nearly 50 formulas, Supergoop! has created a new category of daily-use SPF for everyone, from makeup-loving millennials to Gen Z skincare enthusiasts, wellness-minded men to six-month-old babies – truly spanning across generations and geographies. Its formulas are award winning – earning two TIME Magazine’s Best Invention of the Year honors and seven consecutive Allure Best of Beauty Seals, as well as being named one of WWD Beauty Inc.’s Power Brands. Rooted in its mission to educate and inspire, Supergoop!’s Ounce by Ounce program ships complimentary Supergoop! to classrooms across America and the brand recently received recognition on Inc.’s Best in Business: Most Inspiring Companies list.
“Over fifteen years ago, I founded Supergoop! with a mission to transform the sunscreen industry and eradicate skin cancer by making everyday essentials with SPF that people want to wear,” said Holly Thaggard, Supergoop! Founder and Chair of the Board. “Today, we’ve changed consumer behavior and attitudes toward SPF through innovative products and education. We couldn’t be more thrilled to join the Blackstone family of female-founded, category-creating companies to further that mission. Their experience of driving growth around the world is exceptional and will be critical to furthering our efforts to change the way the world thinks about sunscreen.”
Ann Chung, Global Head of Consumer for Blackstone Growth (BXG), said: “By creating a new category in SPF-focused skincare, Holly is the kind of innovative founder who is inspiring mission-driven entrepreneurs globally. Supergoop!’s everyday products that look and feel great while providing meaningful protection from sun damage are changing the way people view sunscreen. We’re proud to support the continued expansion of this business and to welcome Holly, Amanda and their incredible management team into the Blackstone family.”
“We are on an incredible journey at Supergoop! and are excited for the road ahead. As we look forward to the future, we wanted a partner who could help us drive the business to reach the next level,” said Amanda Baldwin, Supergoop! CEO. “We’re excited to work with the team at Blackstone because they think differently, reinforce our strengths and will help the team scale Supergoop! through expanded brand awareness, international exposure and out-of-the-box product innovation.”
Today’s investment in Supergoop! is the most recent example of a number of innovative female-founded companies Blackstone is proud to back. This includes in just the last two years SPANX, the mission-driven womenswear brand founded by Sara Blakely; Bumble, the online dating app where women make the first move founded by Whitney Wolfe Herd; Hello Sunshine, the mission-driven media company that puts women at the center of every story it creates, founded by Reese Witherspoon; Medable, a leading cloud platform for patient-centered clinical research co-founded by its CEO Dr. Michelle Longmire; Hotwire Communications, a leading provider of cutting-edge fiber-based telecommunication services co-founded by its CEO Kristin Johnson; and GeoComply, a global leader in geolocation compliance technology, co-founded by its Chairman Anna Sainsbury. This is in addition to female-led technology businesses in which Blackstone has invested, such as Ancestry.com, Articulate and Ellucian.
Investors who will continue to support Supergoop! in its next phase of growth include The Thaggard and Emery families, Encore Consumer Capital, CULT Capital, Green Park & Golf Ventures, CircleUp, Grace Beauty and SWAT Equity. Supergoop! was advised by Goldman Sachs and GreenbergTraurig. Blackstone’s financial advisor for the transaction was Raymond James & Associates, Inc. and legal advisor was Simpson Thacher & Bartlett LLP. Terms of the transaction, which is subject to customary closing conditions, were not disclosed.
About Supergoop!
Holly Thaggard launched Supergoop! to stop the skin cancer epidemic and change the way the world thinks about sunscreen. Supergoop! creates highly innovative, feel-good products that make integrating SPF into everyday routines easy (and fun!) in order to inspire consumers to do the number one thing they can for their skin- wear SPF! For more information, visit www.supergoop.com.
About Blackstone
Blackstone is the world’s largest alternative asset manager. We seek to create positive economic impact and long-term value for our investors, the companies we invest in, and the communities in which we work. We do this by using extraordinary people and flexible capital to help companies solve problems. Our $731 billion in assets under management include investment vehicles focused on private equity, real estate, public debt and equity, infrastructure, life sciences, growth equity, opportunistic, non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available at www.blackstone.com. Follow Blackstone on Twitter @Blackstone.
Shareholders to Receive $24.25 in Cash plus Shares of Bluerock Homes Trust, Inc., BRG’s Single Family Rental Business Spin-Off, with an Estimated NAV of $5.60
New York, NY, December 20, 2021 – Bluerock Residential Growth REIT, Inc. (NYSE American: BRG) (the “Company”) today announced that it has entered into a definitive agreement with affiliates of Blackstone Real Estate (“Blackstone”) under which Blackstone will acquire all outstanding shares of common stock of BRG for $24.25 per share in an all-cash transaction valued at $3.6 billion (the “Acquisition”).
Under the terms of the agreement, Blackstone will acquire 30 multifamily properties comprising approximately 11,000 units as well as a loan book secured by 24 multifamily assets. The properties consist of high-quality garden-style assets with significant green space and resort-style amenities, built, on average, in 2000. The majority of the properties are located in Atlanta, Phoenix, Orlando, Denver and Austin.
Prior to the Acquisition, the Company separately intends to spin off its single-family rental business to its shareholders (the “Spin-Off” and together with the Acquisition, the “Transaction”) through the taxable distribution to shareholders of all of the outstanding shares of common stock of a newly formed real estate investment trust named Bluerock Homes Trust, Inc. (“BHOM”), which will be externally managed by an affiliate of Bluerock Real Estate. BHOM will own interests in approximately 3,400 homes, including 2,000 through preferred/mezzanine investments, located in fast growing, high quality of life and knowledge economy markets across the United States. The Company’s shareholders will receive shares of BHOM, with a current implied Net Asset Value estimated at $5.60 (based on the midpoint of the valuation range provided by Duff & Phelps, independent financial advisor to the Company’s board of directors), for each share of Company common stock. There can be no assurance that the trading price upon a listing of BHOM will be equal to or greater than this estimated NAV.
The Transaction has been unanimously approved by the Company’s board of directors and the Acquisition, excluding the value of BHOM, represents a premium of approximately 124% over the unaffected closing stock price on September 15, 2021, the date prior to a media article reporting that the Company was exploring strategic options including a sale.
“We are very proud to enter into a transaction that delivers tremendous value to our shareholders. We believe the substantial premium to our historic trading price is a testament to our success in building a best-in-class institutional-quality multifamily apartment portfolio in our attractive knowledge-economy target markets, along with the robust process run by the board of directors and management to secure maximum value for our shareholders,” said Ramin Kamfar, Company Chairman and CEO.
Asim Hamid, Senior Managing Director at Blackstone Real Estate, said, “Bluerock’s portfolio consists of high-quality multifamily properties in markets across the U.S. experiencing some of the strongest fundamentals. We look forward to bringing our best-in-class management to these properties to ensure they continue to be operated at the highest standards for the benefit of tenants and the surrounding communities.”
Completion of the Acquisition, which is currently expected to occur in the second quarter of 2022, is contingent upon consummation of the Spin-Off, as well as customary closing conditions, including the approval of the Company’s shareholders, who will vote on the transaction at a special meeting on a date to be announced. The Acquisition is not contingent on receipt of financing by Blackstone.
Most members of the Company’s senior management, along with certain entities related to them, have agreed to retain their interests in the Company’s operating partnership, which will hold the assets related to the single-family rental business upon completion of the Spin-Off, rather than receiving cash consideration.
Morgan Stanley & Co. LLC and Eastdil Secured LLC are the Company’s lead financial advisors with BofA Securities also serving as an advisor. Wachtell, Lipton, Rosen & Katz, Kaplan Voekler Cunningham & Frank, PLC, and Vinson & Elkins, LLP are serving as the Company’s legal counsel. Barclays and Wells Fargo Securities LLC are Blackstone’s financial advisors and Simpson Thacher & Bartlett LLP is Blackstone’s legal advisor.
About Bluerock Residential Growth REIT, Inc.
Bluerock Residential Growth REIT, Inc. (NYSE American: BRG) is a real estate investment trust that focuses on developing and acquiring a diversified portfolio of institutional-quality highly amenitized live/work/play apartment communities in demographically attractive knowledge economy growth markets to appeal to the renter by choice. The Company’s objective is to generate value through off-market/relationship-based transactions and, at the asset level, through value-add improvements to properties and to operations. BRG has elected to be taxed as a real estate investment trust (REIT) for U.S. federal income tax purposes.
About Blackstone Real Estate
Blackstone is a global leader in real estate investing. Blackstone’s real estate business was founded in 1991 and has $230 billion of investor capital under management. Blackstone is the largest owner of commercial real estate globally, owning and operating assets across every major geography and sector, including logistics, multifamily and single-family housing, office, hospitality and retail. Our opportunistic funds seek to acquire undermanaged, well-located assets across the world. Blackstone’s Core+ strategy comprises open-ended funds that invest in substantially stabilized real estate assets globally and Blackstone Real Estate Income Trust, Inc. (BREIT), a non-listed REIT that invests in U.S. income-generating assets. Blackstone Real Estate also operates one of the leading global real estate debt businesses, providing comprehensive financing solutions across the capital structure and risk spectrum, including management of Blackstone Mortgage Trust (NYSE: BXMT).
Additional Information and Where to Find It
In connection with the Acquisition, the Company will file relevant materials with the U.S. Securities and Exchange Commission (the “SEC”), including the Company’s proxy statement on Schedule 14A (the “Proxy Statement”). In addition, in connection with the Spin-Off, BHOM will file a registration statement on Form 10. This press release is not a substitute for the Proxy Statement or any other document that the Company may file with the SEC or send to its shareholders in connection with the proposed transactions. BEFORE MAKING ANY VOTING DECISION, SHAREHOLDERS OF THE COMPANY ARE URGED TO READ ALL RELEVANT DOCUMENTS FILED WITH THE SEC, INCLUDING THE PROXY STATEMENT, WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTIONS. Investors and security holders will be able to obtain the documents (when available) free of charge at the SEC’s website, http://www.sec.gov, and the Company’s website, www.bluerockresidential.com. In addition, the documents (when available) may be obtained free of charge by accessing the Investor Relations section of the Company’s website at ir.bluerockresidential.com or by contacting the Company’s Investor Relations by email at investor.relations@bluerockre.com.
Participants in the Solicitation
The Company and its directors and executive officers may be deemed to be participants in the solicitation of proxies from the holders of Company common stock in respect of the proposed transaction. Information about the directors and executive officers of the Company is set forth in the proxy statement for the Company’s 2021 annual meeting of stockholders, which was filed with the SEC on June 25, 2021, in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2020, which was filed with the SEC on February 23, 2021 and in other documents filed by the Company with the SEC. Other information regarding the participants in the proxy solicitation and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the Proxy Statement and other relevant materials to be filed with the SEC in respect of the proposed transaction when they become available. Investors should read the Proxy Statement carefully when it becomes available before making any voting or investment decisions.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. All statements other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws and may be identified by words such as “will,” “expect,” “believe,” “plan,” “anticipate,” “intend,” “goal,” “future,” “outlook,” “guidance,” “target,” “estimate” and similar words or expressions, including the negative version of such words and expressions. These forward-looking statements are based upon the Company’s present expectations, estimates and projections about the industry and markets in which the Company operates and beliefs of and assumptions made by Company management, involve uncertainty that could cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements and are not guaranteed to occur. Furthermore, the Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. Investors should not place undue reliance upon these forward-looking statements. Although the Company believes that the expectations reflected in these forward-looking statements are based on reasonable assumptions, the Company’s actual results and performance could differ materially from those set forth in these forward-looking statements due to numerous factors. Factors that could have a material adverse effect on our operations, future prospects, the Acquisition and the Spin-Off include, but are not limited to: the occurrence of any event, change or other circumstance that could give rise to the termination of the merger agreement between the Company and Blackstone’s affiliates; the failure to obtain the approval of the Company’s shareholders of the Acquisition or the failure to satisfy any of the other conditions to the completion of the Acquisition or the Spin-Off; the risks that the market does not value BHOM shares at NAV; the failure to recognize the potential benefits of the Spin-Off due to, among other reasons, BHOM’s lack of liquidity, small market size or inability to grow and expand revenues and earnings following the Spin-Off; shareholder litigation in connection with the Acquisition or the Spin-Off, which may affect the timing or occurrence of the Acquisition or the Spin-Off or result in significant costs of defense, indemnification and liability; the effect of the announcement of the Acquisition and the Spin-Off on the ability of the Company to retain and hire key personnel and maintain relationships with its tenants, vendors and others with whom it does business, or on its operating results and businesses generally; risks associated with the disruption of management’s attention from ongoing business operations due to the Acquisition and the Spin-Off; the ability to meet expectations regarding the timing and completion of the Acquisition and the Spin-Off; the possibility that any opinions, consents or approvals required in connection with Spin-Off will not be received or obtained in the expected time frame, on the expected terms or at all; and significant transaction costs, fees, expenses and charges. There can be no assurance that the Acquisition, the Spin-Off or any other transaction described above will in fact be consummated in the expected time frame, on the expected terms or at all. There can be no assurance as to the impact of COVID-19 and other potential future outbreaks of infectious diseases on the Company’s or BHOM’s financial condition, results of operations, cash flows and performance and those of their respective tenants as well as on the economy and real estate and financial markets, which may impact the timing or occurrence of the Acquisition or the Spin-Off. For further discussion of the factors that could affect outcomes, please refer to the risk factors set forth in Item 1A of the Company’s Annual Report on Form 10-K filed by the Company with the SEC on February 23, 2021, and subsequent filings by the Company with the SEC. Any forward-looking statement speaks only as of the date on which it is made, and the Company assumes no obligation to update or revise such statement, whether as a result of new information, future events or otherwise, except as required by applicable law. The Company claims the safe harbor protection for forward looking statements contained in the Private Securities Litigation Reform Act of 1995.
Investment to Expand National, Direct Origination Platform, Meet Growing Investor Demand for ESG Assets
NEW YORK and HAMILTON, Bermuda, Dec. 20, 2021 (GLOBE NEWSWIRE) — Athene Holding Ltd. (NYSE: ATH) (“Athene”), an industry-leading financial services company focused on retirement savings solutions, today announced it has entered into a definitive agreement to acquire Petros PACE Finance, LLC (“Petros PACE Finance” or the “Company”), a leading provider of Commercial Property Assessed Clean Energy (“C-PACE”) financing to owners and developers of commercial properties throughout the United States.
Since 2016, Petros PACE Finance has originated over $700 million in long-term, fixed-rate financing for energy efficiency, water efficiency, renewable energy and resiliency projects. C-PACE financing is active in 27 states and the District of Columbia and is secured by a special property tax assessment that provides a more affordable financing alternative to mezzanine debt and equity across a variety of commercial properties, including office, hospitality and retail. In June 2021, Petros closed the largest-ever single C-PACE transaction and the first in New York City of $89 million, opening what is estimated to be the largest C-PACE market in the country and helping institutional sponsors fund commercial properties’ carbon reduction plans.
The investment in Petros PACE Finance will be managed by the team at Apollo (NYSE: APO), Athene’s strategic asset management partner, and together Apollo and Athene expect that the Company will accelerate its rapid growth in C-PACE financing driven by new market expansion, sustainable construction and regulatory climate mandates. Following completion of the transaction, Petros co-Founders Mansoor Ghori and Jim Stanislaus will continue to lead the Company and retain a minority interest along with other members of management.
“This transaction is a compelling opportunity to partner with the Company and its best-in-class team at the center of the ESG movement in commercial real estate, while building on our longstanding strategy of investing in businesses that add direct origination sourcing capabilities to our alpha-generating investment portfolio,” said Jim Belardi, Chairman and CEO of Athene. “Climate concerns, tenant demand and legislative mandates are driving developers to look for new opportunities to make properties more energy efficient, and Petros PACE Finance is the industry leader providing flexible funding solutions to meet those needs. The Company’s successful track record and range of capabilities – from refinancings to originating new loans – are a clear advantage in a massive and rapidly growing market, and we are eager to support the platform. We look forward to working together as a funding partner to provide environmentally focused financing solutions to an even broader segment of the real estate industry.”
Mansoor Ghori, Co-Founder and CEO, and Jim Stanislaus, Co-Founder and CFO, of Petros PACE Finance, added, “Partnering with Athene and Apollo opens up many exciting possibilities for our team to rapidly scale our C-PACE business and accelerate growth of the Company. The vast resources and expertise of our new partners will provide crucial support and new opportunities to leverage our best-in-class direct origination capabilities to go deeper into the capital stack and provide more comprehensive solutions for our clients, while shaping the future of the C-PACE industry. This will be a significant advantage as we further expand into major metropolitan areas like New York City, Chicago and New Jersey.”
“Under Mansoor and Jim’s leadership, Petros Pace Finance has delivered strong risk-adjusted returns, driven by a world-class origination team and secured by the robust credit ratings of the underlying C-PACE assets,” said Apollo Co-President Jim Zelter. “For Apollo and Athene, Petros PACE Finance is highly complementary to our portfolio of diversified origination platforms and positioned for significant growth as more property owners seek financing for clean energy projects.”
The transaction is subject to customary closing conditions and is expected to be completed in the first quarter of 2022.
CIBC Capital Markets is serving as financial advisor to Athene, and Gibson, Dunn & Crutcher LLP and Sidley Austin LLP are serving as legal advisors to Athene. Barclays is serving as financial advisor to Petros, and Skadden, Arps, Slate, Meagher & Flom LLP and Winston & Strawn LLP are serving as legal advisors to Petros.
About Apollo
Apollo is a high-growth, global alternative asset manager. We seek to provide our clients excess return at every point along the risk-reward spectrum from investment grade to private equity with a focus on three business strategies: yield, hybrid and equity. Through our investment activity across our fully integrated platform, we serve the retirement income and financial return needs of our clients, and we offer innovative capital solutions to businesses. Our patient, creative, knowledgeable approach to investing aligns our clients, businesses we invest in, our employees and the communities we impact, to expand opportunity and achieve positive outcomes. As of September 30, 2021, Apollo had approximately $481 billion of assets under management. To learn more, please visit www.apollo.com.
About Athene
Athene, through its subsidiaries, is a leading retirement services company with total assets of $224.4 billion as of September 30, 2021 and operations in the United States, Bermuda, and Canada. Athene specializes in helping its customers achieve financial security and is a solutions provider to institutions. Founded in 2009, Athene is Driven to Do More for our policyholders, business partners, shareholders, and the communities in which we work and live. For more information, please visit www.athene.com.
About Petros
Petros PACE Finance, LLC is the national leader in the C-PACE marketplace, dedicated solely to providing long-term C-PACE financing to commercial property owners seeking to lower energy costs, reduce their carbon footprint and increase property values and meet environmental, social and governance (ESG) goals. Its leadership team has decades of executive-level experience in private credit and structured finance, with direct long-term institutional investor relationships. With billions in committed capital, Petros is able to close transactions in eligible C-PACE markets nationwide. To learn more about Petros PACE Finance visit our website at www.petros-pace.com.
Safe Harbor for Forward-Looking Statements
This press release contains, and certain oral statements made by Athene’s representatives from time to time may contain, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are subject to risks and uncertainties that could cause actual results, events and developments to differ materially from those set forth in, or implied by, such statements. These statements are based on the beliefs and assumptions of Athene’s management and the management of Athene’s subsidiaries. Generally, forward-looking statements include actions, events, results, strategies and expectations and are often identifiable by use of the words “believes,” “expects,” “intends,” “anticipates,” “plans,” “seeks,” “estimates,” “projects,” “may,” “will,” “could,” “might,” “should,” or “continues” or similar expressions. Forward-looking statements within this press release include, but are not limited to, statements regarding future growth prospects and financial performance. Factors that could cause actual results, events and developments to differ include, without limitation: the accuracy of Athene’s assumptions and estimates; Athene’s ability to maintain or improve financial strength ratings; Athene’s ability to manage its business in a highly regulated industry; regulatory changes or actions; the impact of Athene’s reinsurers failing to meet their assumed obligations; the impact of interest rate fluctuations; changes in the federal income tax laws and regulations; the accuracy of Athene’s interpretation of the Tax Cuts and Jobs Act; litigation (including class action litigation), enforcement investigations or regulatory scrutiny; the performance of third parties; the loss of key personnel; telecommunication, information technology and other operational systems failures; the continued availability of capital; new accounting rules or changes to existing accounting rules; general economic conditions; Athene’s ability to protect its intellectual property; the ability to maintain or obtain approval of the Delaware Department of Insurance, the Iowa Insurance Division and other regulatory authorities as required for Athene’s operations; the delay or failure to complete or realize the expected benefits from the proposed merger with Apollo Global Management; and other factors discussed from time to time in Athene’s filings with the SEC, including its annual report on Form 10-K for the year ended December 31, 2020, its quarterly report on Form 10-Q for the quarterly period ended September 30, 2021 and its other SEC filings, which can be found at the SEC’s website www.sec.gov.
All forward-looking statements described herein are qualified by these cautionary statements and there can be no assurance that the actual results, events or developments referenced herein will occur or be realized. Athene does not undertake any obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.
17 December 2021 – Global investment firm Carlyle (NASDAQ: CG) announced today that it has agreed to acquire Altadia Group (“Altadia”) from an affiliate of Lone Star Funds (“Lone Star”), partnering with current management, led by Vincente Bagan and Antonio Blasco, the original founders of Itaca. The transaction is subject to customary regulatory approvals and is expected to close in H1 2022.
Headquartered in Castellon, Spain, Altadia is the largest global manufacturer of intermediate products for the production of ceramic tiles. The group, formed in 2021, was created as a result of the transformational merger between Esmalglass-Itaca and Ferro Tile Coatings, consolidating its leading market position across all ceramic specialties, including the production of inkjet inks, body stains, glaze stains, and frits & glazes. Servicing a diversified base of global customers, including international leading ceramic tile producers, Altadia employs more than 3,600 people across 19 countries with a global manufacturing footprint consisting of 32 production plants and 19 distribution centres.
Carlyle will support Altadia in accelerating its growth plan through the development of its leading R&D platform, and through strategic acquisitions to expand its presence further in international markets.
Vincente Bagan, CEO of Altadia, said: “Over the last four years, thanks to the company’s strong entrepreneurial spirit, unique service offering, and its long-standing relationships with a highly diversified and global customer base, Altadia has succeeded in transforming itself into a global market leader. We thank Lone Star for their support and partnership, particularly through the merger of Ferro with Esmalglass, as we focused together on positioning the company for future sustainable growth. We are delighted to partner with Carlyle as we look to advance our strategic growth objectives.”
Alex Wagenberg, Managing Director of the Carlyle Europe Partners advisory team, said: “We have followed Altadia’s success for a number of years recognising its strong track record of launching innovative and successful products and technologies, its market-leading position for tile coatings in a growing ceramics industry, and the investment it has made in its innovation and sustainability journey. The company has a strong reputation with its customers for its production of high-quality solutions that look to transform everyday spaces and surfaces. We are excited to partner with Vicente and his team and look forward to leveraging our significant expertise in scaling specialty Chemicals businesses to diversify the business into new growth areas.”
“We congratulate the management team and Altadia employees for their many accomplishments over the last four years, most importantly the quality products and innovations they have been able to offer their customers around the world,” said Donald Quintin, President, Lone Star Opportunity Funds. “Thanks to the energy and dedication that permeates the Altadia culture, and its strong global footprint, the company stands ready to embrace the many opportunities ahead. We wish the whole team well.”
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About Altadia Group
Headquartered in Castellon, Spain, Altadia is the largest global manufacturer of intermediate products for the production of ceramic tiles. The group, formed in 2021, was created as a result of the transformational merger between Esmalglass-Itaca and Ferro Tile Coatings, consolidating its leading market position across all ceramic specialties, including the production of inkjet inks, body stains, glaze stains, and frits & glazes. Servicing a diversified base of global customers, including international leading ceramic tile producers, Altadia employs more than 3,600 people across 19 countries with a global manufacturing footprint consisting of 32 production plants and 19 distribution centres.
About Carlyle
Carlyle (NASDAQ: CG) is a global investment firm with deep industry expertise that deploys private capital across three business segments: Global Private Equity, Global Credit and Global Investment Solutions. With $293 billion of assets under management as of September 30, 2021, Carlyle’s purpose is to invest wisely and create value on behalf of its investors, portfolio companies and the communities in which we live and invest. Carlyle employs more than 1,800 people in 26 offices across five continents. Further information is available at www.carlyle.com. Follow Carlyle on Twitter @OneCarlyle.
About Lone Star
Lone Star, founded by John Grayken, is a leading private equity firm advising funds that invest globally in real estate, equity, credit and other financial assets. Since the establishment of its first fund in 1995, Lone Star has organized 21 private equity funds with aggregate capital commitments totaling approximately $85 billion. The firm organizes its funds in three series: the Commercial Real Estate Fund series; the Opportunity Fund series; and the U.S. Residential Mortgage Fund series. Lone Star invests on behalf of its limited partners, which include institutional investors such as pension funds and sovereign wealth funds, as well as foundations and endowments that support medical research, higher education, and other philanthropic causes. For more information regarding Lone Star Funds, go to www.lonestarfunds.com.
