We predicted a resurgence of transactions involving private investments in public equities or PIPEs as they are commonly known - the last notable one in the UK probably being the investment into Premier Foods by Warburg Pincus . Here is the first of that new wave of PIPEs, demonstrating that PE can assist UK plcs to recapitalise and to benefit from it in the medium to longer term.
Building merchant SIG has tapped US private equity giant Clayton Dubilier & Rice in a £150 million fundraise to help it survive a Covid-19 hit. The roofing supplier will get up to £85 million from CD&R, which in the UK backed car site BCA and retailer B&M, and the rest from existing investors in the share issue. In return CD&R gets a 25% stake and two board seats.