Connect with us

Payments

KPS Stalking Horse for Briggs & Stratton

Published

on

KPS Capital Partners has agreed to acquire the assets of small engine manufacturer Briggs & Stratton, including the equity of foreign subsidiaries, for approximately $550 million.

On July 20, Briggs & Stratton voluntarily filed for Chapter 11 bankruptcy protection to allow the company and its creditors to work out a reorganization plan, and the company has asked the bankruptcy court to designate KPS as its stalking horse bidder.

Briggs & Stratton (NYSE: BGGSQ) is the world’s largest producer of gasoline engines for outdoor power equipment used for power generation, pressure washing, lawn and garden, and turf care. Company owned brands include Briggs & Stratton, Simplicity, Snapper, Ferris, Vanguard, Allmand, Billy Goat, Murray, Branco and Victa.

For the trailing twelve months, Briggs & Stratton had revenues of $1.7 billion, gross profit of $242 million (14% GPM), and a negative EBITDA of $68 million. For the fiscal year ending June 30, 2017, the company had revenues of $1.8 billion, gross profit of $383 (GPM 21%), and EBITDA of $156 million (8.7% EBITDA margin).

Briggs & Stratton was founded in Milwaukee in 1908 and at one point was the world’s largest manufacturer of small gasoline engines. Over the past 112 years, it has produced more than 125 million engines.

“We are very excited to acquire Briggs & Stratton, a legendary brand in American manufacturing and the leading company in its industry,” said Michael Psaros, a co-founder and co-managing partner of KPS. “Briggs & Stratton enjoys a leading market position, scale, a global manufacturing footprint, world-class design and engineering capabilities, and a portfolio of industry-leading products sold under iconic brand names. Under KPS ownership, the new Briggs & Stratton will be conservatively capitalized and not encumbered by its predecessor’s significant liabilities.  KPS intends to grow the new Briggs & Stratton aggressively through strategic acquisitions.”

As part of this transaction, KPS has entered into an agreement in principle with the United Steelworkers of America under a new collective bargaining agreement (CBA) for Briggs & Stratton’s hourly employees at its manufacturing facilities in Wisconsin. The new CBA will become effective upon completion of the acquisition. Briggs & Stratton has about 5,200 worldwide employees with 1,300 in Wisconsin.

A syndicate of banks including Wells Fargo, Bank of America, BMO Harris Bank and PNC Business Credit has committed to provide financing to Briggs & Stratton.

KPS Capital Partners makes control investments in manufacturing and industrial companies across a range of industries, including basic materials, branded consumer, healthcare, automotive parts, capital equipment, and general manufacturing. Many of KPS’s investments involve creating new companies to buy underperforming or distressed assets, companies operating in bankruptcy or in default of obligations to creditors, or with a history of recurring operating losses.

Kirkland & Ellis is acting as legal counsel to KPS on this transaction.

Private Equity Professional | July 24, 2020

Print Friendly, PDF & Email

Source: https://peprofessional.com/2020/07/kps-buy-briggs-stratton/?utm_source=rss&utm_medium=rss&utm_campaign=kps-buy-briggs-stratton

Payments

Alt Lending Week ended 17 September 2021

Published

on

Johnson’s tax hikes makes raising rates difficult.

A warning from the Bank of England that Johnson’s manifesto busting hikes in interest rates is significant enough to effect monetary policy. Well you can’t say he hasn’t been warned but he doesn’t seem interested in taking advice. Seriously though what are personal credit markets supposed to do when the government is deliberately making everyone poorer, particularly those who are already struggling, and at the same time suffocating growth and dampening enthusiasm all at the same time. If we carry on like this nobody in the UK will be able to afford to live at all let alone pay down debt. I predict a collapse in Conservative Party grass roots support.

Grant Thornton faces £ 4million fine over Patisserie Valerie collapse

So what has this got to do with lending? Auditors Grant Thornton are being fined by the accounting regulator over their failure to produce audited accounts which truly reflected the financial state of the business. A clean audit report is an absolute must for bankers and anyone else trying to rely on the accounts but if the bankers don’t understand the numbers anyway, what’s the point? In PV’s case a cursory look into the stock turnover ratio should have raised eyebrows. But wait a minute, qualified accountants didn’t think anything of it either?  How on earth are we training accountants and bankers?  The same inevitability surrounded government contractor Carillon where simple analysis could have saved taxpayers a lot of money. I see that nobody has been charged. Would be interesting to know if anyone has been sacked? Doesn’t anyone ever ask questions these days? Judging by Archegos and Greensill the answer would seem to be no.

Executive changes at BAML.

I don’t know the people concerned but I am always interested when a large organisation makes sweeping changes. In BofA’s case I followed the appalling transition from what was once the largest bank in the world to become a subsidiary of a small regional bank in the late 1980’s. I can tell you that hubris and politics had a lot to do with it. In 1980 a colleague and I both senior AVP’s at BofA were sent on an orientation course to San Francisco. The mood music at the time was that the bank was struggling to sort it’s management out. When we reported back to London that all was not well in California. Both of us were pulled in front of Personnel (HR now) to explain why we were being negative. We were effectively silenced. I didn’t get out of BofA and the banking business, until some   8 years later but by then things had got a lot worse. I remember being told at a breakfast meeting in London that management was not the problem. This was a lie. It was at the heart of it.

Howard Tolman is a well-known banker, technologist and entrepreneur in London,

We have a self imposed constraint of 3 news stories per week because we serve busy senior Fintech leaders who just want succinct and important information.For context on Alt Lending please read the Interview with Howard Tolman about the future of Alt Lending and read articles tagged Alt Lending in our archives.

Daily Fintech’s original insight is made available to you for US$143 a year (which equates to $2.75 per week). $2.75 buys you a coffee (maybe), or the cost of a week’s subscription to the global Fintech blog – caffeine for the mind that could be worth $ millions.

PlatoAi. Web3 Reimagined. Data Intelligence Amplified.
Click here to access.

Source: https://dailyfintech.com/2021/09/17/alt-lending-week-ended-17th-september-2021/

Continue Reading

Payments

Alt Lending Week ended 17 September 2021

Published

on

Johnson’s tax hikes makes raising rates difficult.

A warning from the Bank of England that Johnson’s manifesto busting hikes in interest rates is significant enough to effect monetary policy. Well you can’t say he hasn’t been warned but he doesn’t seem interested in taking advice. Seriously though what are personal credit markets supposed to do when the government is deliberately making everyone poorer, particularly those who are already struggling, and at the same time suffocating growth and dampening enthusiasm all at the same time. If we carry on like this nobody in the UK will be able to afford to live at all let alone pay down debt. I predict a collapse in Conservative Party grass roots support.

Grant Thornton faces £ 4million fine over Patisserie Valerie collapse

So what has this got to do with lending? Auditors Grant Thornton are being fined by the accounting regulator over their failure to produce audited accounts which truly reflected the financial state of the business. A clean audit report is an absolute must for bankers and anyone else trying to rely on the accounts but if the bankers don’t understand the numbers anyway, what’s the point? In PV’s case a cursory look into the stock turnover ratio should have raised eyebrows. But wait a minute, qualified accountants didn’t think anything of it either?  How on earth are we training accountants and bankers?  The same inevitability surrounded government contractor Carillon where simple analysis could have saved taxpayers a lot of money. I see that nobody has been charged. Would be interesting to know if anyone has been sacked? Doesn’t anyone ever ask questions these days? Judging by Archegos and Greensill the answer would seem to be no.

Executive changes at BAML.

I don’t know the people concerned but I am always interested when a large organisation makes sweeping changes. In BofA’s case I followed the appalling transition from what was once the largest bank in the world to become a subsidiary of a small regional bank in the late 1980’s. I can tell you that hubris and politics had a lot to do with it. In 1980 a colleague and I both senior AVP’s at BofA were sent on an orientation course to San Francisco. The mood music at the time was that the bank was struggling to sort it’s management out. When we reported back to London that all was not well in California. Both of us were pulled in front of Personnel (HR now) to explain why we were being negative. We were effectively silenced. I didn’t get out of BofA and the banking business, until some   8 years later but by then things had got a lot worse. I remember being told at a breakfast meeting in London that management was not the problem. This was a lie. It was at the heart of it.

Howard Tolman is a well-known banker, technologist and entrepreneur in London,

We have a self imposed constraint of 3 news stories per week because we serve busy senior Fintech leaders who just want succinct and important information.For context on Alt Lending please read the Interview with Howard Tolman about the future of Alt Lending and read articles tagged Alt Lending in our archives.

Daily Fintech’s original insight is made available to you for US$143 a year (which equates to $2.75 per week). $2.75 buys you a coffee (maybe), or the cost of a week’s subscription to the global Fintech blog – caffeine for the mind that could be worth $ millions.

PlatoAi. Web3 Reimagined. Data Intelligence Amplified.
Click here to access.

Source: https://dailyfintech.com/2021/09/17/alt-lending-week-ended-17th-september-2021/

Continue Reading

Crowdfunding

Nexpay Partnes with Open Banking Platform Salt Edge

Published

on

Nexpay, an EU-licensed electronic money institution, has partnered with Salt Edge, an open-banking SaaS provider.

Nexpay is a Vilnius-based Fintech startup that provides banking infrastructure for the digital assets sector. Currently, Nexpay reports that it is helping over 400 businesses build a range of payments and accounts products. Nexpay’s mission is to provide the digital assets industry a reliable and solid alternative to legacy financial institutions.

Nexpay states that in order to maintain a high-security level in the new era of open banking, it is now running SCA and all authentication processes through apps developed by Salt Edge. The authenticator app is a solution that is design to meet all the SCA requirements.

“Nexpay is built on principles of excellence in security, reliability and convenience, which is why we chose to partner with Salt Edge. The Authenticator app and their other authentication products are the best solution on the market to fit our high security requirements,” said Uldis Teraudkalns, CEO at Nexpay. “An added bonus is that we think Salt Edge is providing a much better UX compared to the SMS-based two-factor authentication processes we are replacing.”

Andrei Lisnic, CTO at Salt Edge said that Nexpay’s new partnership will provide its customers with an increased level of flexibility and security for their digital assets platforms.

“Having in place a mechanism that guarantees security of customers’ actions and privacy of their data is paramount in the trading market and the overall financial industry.”

PlatoAi. Web3 Reimagined. Data Intelligence Amplified.
Click here to access.

Source: https://www.crowdfundinsider.com/2021/09/180449-nexpay-partnes-with-open-banking-platform-salt-edge/

Continue Reading

Crowdfunding

Fintech dopay, a B2B2C Payments Platform for Unbanked Workers, Secures $18M via Series A

Published

on

dopay, a B2B2C payments platform that aims to serve 1.7 billion unbanked workers in emerging markets, has finalized an $18 million Series A round.

As mentioned in a release, dopay intends to address a steady and growing demand from businesses for cashless payroll and from workers for access to virtual banking and digital payments. Globally, there are numerous companies that still depend heavily cash payments while their employees don’t have access to standard bank accounts.

Through its digital banking platform, dopay aims to digitize cash transactions from employers to workers and other beneficiaries, “directly addressing one of today’s largest fintech opportunities in emerging markets.”

As noted in the announcement, the Series A round should allow dopay to continue scaling its business operations in its initial market, Egypt, while developing a range of financial services in addition to cashless payroll and prepaid cards for workers.

The investment round has reportedly been led by Force Over Mass Capital, FMO and NN Group. Mbuyu Capital and Alder Tree Investments also made considerable contributions.

The dopay platform allows staff members to receive real time payments, including weekends and holidays. Each account offers a prepaid debit card, “in partnership with Mastercard, enabling 24/7 access to funds via ATM withdrawal.”

The update also mentioned that enrolled companies can benefit from a secure and cashless payroll, with easy-to-use interfaces and “fully auditable” transparency.

Prepaid card users are able to enjoy instant and secure access to banking facilities, “no matter how much they earn.” Dopay’s agent banking license, “enabling the delivery of digital banking services and onboarding of employees and beneficiaries in seconds, puts dopay in a strong competitive position in Egypt’s salary payments space,” the announcement noted.

Wouter Volckaert, CIO at Force Over Mass Capital, stated:

“Egypt has around 2.4 million individual businesses and 104 million people, some 67% of whom do not have a bank account, while 94% have no access to credit. The dopay business model engages with business owners in the first instance, meaning they don’t have to attract individual customers. Each company signing up with dopay brings an entire workforce in a single transaction, and this is a very strong growth driver. Their new platform provides frictionless onboarding for employees, while enabling dopay to scale their business at pace.”

Michiel Timmerman, Managing Partner, Mbuyu Capital, remarked:

“We are very excited about our investment in dopay. The company’s product offers significant potential for growth, addressing the very large market of cash-paid workers with a solution that benefits employers and employees. It presents an opportunity to create financial inclusion at scale. The regulatory approvals acquired to launch their next generation platform have created a strong competitive advantage for dopay in this segment of the financial services market in Egypt.”

Frans van Eersel, Founder and CEO of dopay, noted that the value of their Series A round “confirms the investment community’s confidence in the dopay offer.”

Frans added that their commercial validity via their B2B2C model is clear, and their technology capability is “proven and strong.”

He further noted that Egypt is the largest market in the MENA region. He also mentioned that they will “serve a rapidly growing number of Egyptian businesses, from SMEs to major corporations, and their employees.”

PlatoAi. Web3 Reimagined. Data Intelligence Amplified.
Click here to access.

Source: https://www.crowdfundinsider.com/2021/09/180439-fintech-dopay-a-b2b2c-payments-platform-for-unbanked-workers-secures-18m-via-series-a/

Continue Reading
Esports5 days ago

NBA 2K22 MyCareer: How to Get a Shoe Deal

Crowdfunding2 days ago

Conister Bank Lends More to Time Finance

Esports4 days ago

How to craft a weapon in Fortnite Chapter 2, season 8

Oceania
Esports5 days ago

lol123 scrape by Rooster to claim final IEM Fall Oceania Closed Qualifier spot

Esports4 days ago

How to complete a Sideways Encounter in Fortnite

Aerospace4 days ago

Potential component defect to delay next Virgin Galactic flight

Esports2 days ago

NBA 2K22 Lightning Green Animation: How to Claim

Esports4 days ago

Na’Vi win ESL Pro League Season 14 in five-map thriller against Vitality to complete $1 million Intel Grand Slam

Ukraine
Esports4 days ago

s1mple claims third consecutive MVP in EPL victory

Esports4 days ago

The best dunkers in NBA 2K22

Aerospace4 days ago

Photos: SpaceX rocket arrives on launch pad for Inspiration4 mission

HRTech4 days ago

Amazon launches educational benefits for frontline staff

Esports4 days ago

AVE and Trasko emerge victorious from CIS IEM Fall open qualifier

Big Data4 days ago

China to break up Ant’s Alipay and force creation of separate loans app – FT

HRTech4 days ago

How Crompton is using the ‘Power of Language’ to create a high-engagement culture

Esports4 days ago

Imperial round out IEM Fall SA closed qualifier team list

Cleantech4 days ago

Bringing Solar & Tesla Batteries To Restaurants In New Orleans To “Stay Lit,” And How You Can Help

HRTech4 days ago

Competing with Self

Esports4 days ago

All Maps in Battlefield 2042

Aerospace5 days ago

SpaceX rocket rolls out to pad 39A for Inspiration4 launch

Trending

Copyright © 2020 Plato Technologies Inc.