Deals roundup includes Brookfield raising 15 billion for climate-focused impact fund
Kirkland & Ellis advised Toronto network security provider BlueCat Networks while Ropes & Gray served as legal counsel to Audax Private Equity in the latter’s $700 million-plus investment in BlueCat, while Brookfield also features in this week’s deals roundup by raising $15 billion for its climate-focused impact fund.
Toronto’s BlueCat sells controlling stake to US private equity firm for $700 million-plus
Toronto network security provider BlueCat Networks sells controlling stake to Audax Private Equity for more than $700 million.
Five years prior to this deal, American private equity firm Madison Dearborn Partners (MDP) bought control of BlueCat from co-founders and owners Michael and Richard Hyatt.
Ropes & Gray served as legal advisor to Audax while Kirkland & Ellis acted as legal counsel to BlueCat and MDP. William Blair and Nomura Securities International provided investment banking advice to BlueCat.
“This investment represents a significant milestone for our company, customers, employees, and all of our stakeholders, as we commence the next phase of our growth journey,” said BlueCat Networks CEO Stephen Devito. “Audax has a lengthy and reputable track record of successfully partnering and working collaboratively with software and technology companies in infrastructure and security, in particular by deploying its Buy & Build strategy to expand offerings and move into adjacent markets, and we look forward to benefiting from the firm’s value-add resources.”
Audax Managing Director Timothy Mack said, “BlueCat is positioned well to capitalize on the growth in network complexity driven by device expansion, cloud adoption and security requirements with its existing customers, and accelerate new customer growth through additional investment in channel partnerships. We are thrilled to have the unique opportunity to work closely with Stephen and the entire BlueCat management team to help take BlueCat to the next level.”
MDP Managing Director Doug Grissom said, “It has been a pleasure to work with Stephen and the entire BlueCat team and help them grow the business and extend BlueCat’s leadership as the trusted partner for companies implementing digital-transformation initiatives. We are confident that BlueCat has a bright future ahead in partnership with Audax.”
The transaction is expected to close by September 30.
Brookfield raises $15 billion for net-zero carbon economy shift
Brookfield Asset Management raised $15 billion for its first impact fund geared towards the global transition to a net-zero carbon economy.
According to the company, the Brookfield Global Transition Fund will mainly target investments tied to reducing greenhouse gas emissions and energy consumption but will also explore other sustainable investment opportunities such as increasing low-carbon energy capacity.
The fund drew commitments from over 100 investors, including sovereign wealth funds, insurance companies, and public and private pension plans.
As of date, the fund utilized approximately $2.5 billion of capital.
“Our investment partners are looking for an experienced investor who can guide their contribution to what is both a critical requirement and a major global opportunity,” said Connor Teskey, who co-heads the fund along with Mark Carney, Brookfield’s head of transition investing and a former governor of the Bank of England.
Toronto’s Guardian Capital Group to buy 60-percent stake in The RaeLipskie Partnership
Toronto financial services firm Guardian Capital Group agreed to acquire a 60-percent interest in The RaeLipskie Partnership, a private wealth manager based in Waterloo, Ontario. The remaining 40-percent interest will remain with the current employees of The RaeLipskie Partnership.
Guardian’s President and CEO George Mavroudis said, “We're delighted to partner with such a well-respected firm and management team as we continue to grow our presence in the private client wealth space. This transaction will add over $1 billion in assets under management to our Private Wealth segment and further extend our regional coverage in key markets.”
The RaeLipskie Partnership President & COO Brian Lipskie said, "We couldn’t be more pleased to join the Guardian group of companies. Like Guardian, we have always believed in serving our clients with a customer-first and community-based approach to everything we do. We look forward to continuing to do so, but with the added strength and stability that comes from partnering with Guardian.”
The transaction is expected to close in the third quarter of 2022.
