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KKR to acquire Agiloft, plus Tail End Capital details its CV for OEM focused company

Good morning dealmakers, thank goodness it’s Friday.

It’s Obey Martin Manayiti here with the newsletter.

As many people prepare to hit the road for summer travels, today I am looking at the original equipment manufacturer (OEM) parts sector. I have a story on Tail End Capital Partners whichinvested in a continuation fund managed by Stellex Capital Management to support the growth of Fenix Parts, an OEM company. I will also highlight a recent listicle focusing on OEM.

But we will start with the news that KKR has agreed to acquire California-based provider of contract lifecycle management software.  

Contract lifecycle management

KKR has agreed to acquire Agiloft, a Redwood City, California-based provider of contract lifecycle management software.

As part of the deal, Agiloft’s existing backer FTV Capital will make an additional investment in the company while JMI Equity joins as a new investor.

Subscribers to the premium version of the Wire have access to more on this deal.

Automotive recycled parts

The original equipment manufacturer (OEM) parts sector presents an attractive growth pipeline which is durable and recession resistant, Mike Blume, partner at Tail End Capital Partners, told PE Hub after his firm invested in a continuation fund managed by Stellex Capital Management to support the growth of Fenix Parts.

Fenix Parts is a recycler and reseller of OEM automotive parts with 32 full and self-service sites across the US. Stellex acquired the company in 2018.

Upgrade to the premium version of the Wire to learn more on this deal.

In case you missed it

Earlier in the year, my colleague Michael Schoeckrounded up five PE focused deals targeting the OEM sector.

Premium subscribers have access to more, including the five OEM focused deals.

That’s it for today. You can always reach me at obey.m@pei.group for news tips.

MK Flynn will be back with the newsletter on Monday.

Have a nice weekend,

Obey

Read the full Wire commentary on PE Hub ...

Also of note (may require subscriptions)

Some limited partners are looking for ways to guarantee a share in additional profits generated through the “quick flip” of a continuation fund asset that they expected to be held longer, sources told Buyouts.

Constitution Capital Partners, founded in 2008 as a spinout of Standard Life Investments, is in the market with a seventh private equity fund of funds. (Buyouts)

The fitness and wellness sector has seen a notable uptick in interest in recent years as people look for personalised, digital and sustainable options for their wellness goals. The global wellness sector reached $5.6 trillion in revenue in 2022, according to a report by Global Wellness Institute. PE Hub Europe looks at six recent deals.

Amid the broadening supply of private wealth-focused evergreen vehicles, ICG and Dawson Partners are the latest managers to join the fold with funds focused on secondaries. (Secondaries Investor)

PE’s largest funds may have a performance issue: Research from Johns Hopkins Carey Business School suggests LPs considering large-cap PE funds may want to think twice. (Private Equity International)

The fundraising crunch has done little to dampen the enthusiasm for climate-focused venture funds. While the overall market is struggling, firms targeting climate solutions are finding plenty of LPs willing to open their wallets. (Venture Capital Journal)

Brookfield Asset Management has agreed the initial stages of the take-private of Paris-listed renewable energy developer Neoen, in providing the company with an enterprise value of €6.1 billion. (Infrastructure Investor)

Town Lane, the New York-based boutique real estate manager founded by former Blackstone executive Tyler Henritze, has completed the capital raise for its inaugural fund, Town Lane Real Estate Opportunities Fund I, PERE has learned.

Boyd Watterson Asset Management, a Cleveland-based real estate and fixed income manager, and London’s Amber Infrastructure Group have announced the merger of the two businesses to create a global alternative investment firm focused on the three asset classes. (Infrastructure Investor)

Private fund managers – and in particular, private credit fund managers – should find ways of showing regulators and the public how their industries work to combat the “unwarranted hostility” seeping into American politics, a top private equity lobbyist says. (Private Funds CFO)

They said it

“There’s actually a lack of supply of parts in the market and Fenix Parts is serving a very critical function and delivering parts at a huge discount.”

— Mike Blume, partner at Tail End Capital Partners, after his firm invested in a continuation fund managed by Stellex Capital Management to support the growth of Fenix Parts.