Private equity pioneer Onex Corp. is living the dream these days.
After spending the better part of two years hunkered down through what company executives recently described as a "sluggish" period for initial public offerings, Onex and its private equity peers have experienced a sea-change in market sentiment. Surging equity markets and robust takeover activity mean PE firms are now seeing opportunities to exit investments through either IPOs or the outright sale of businesses to rival companies.
It's the perfect dynamic for a PE company that wants to exit an investment, as sellers have the luxury of playing off public markets against strategic buyers, running what investment bankers call a "dual track process" for selling a business. Story
As prices rebound, mining sector remains cautious about repeating costly mistakes
Miners are doomed to repeat the mistakes of the past, as commodity prices rise and optimism seeps back into sector, financiers say.
Multi-billion-dollar purchases made at the top of the cycle ravaged corporate balance sheets and forced companies to sell their best mines to survive amid a cash crunch. As confidence now grows along with share prices and profits, mining companies are cautiously exploring ways to expand.
But with scars from the most-recent metal collapse still fresh, mining investors and lenders warned Tuesday that old habits die hard. Story
DAILY DEALS
Canadian pension fund manager Caisse de dépôt et placement du Québec is among suitors vying to buy a stake in Kotak Mahindra Bank Ltd. being sold by India's richest banker, people with knowledge of the matter said. Story
Brookfield Asset Management Inc. aid Tuesday that it would invest $2.5-billion (U.S.) in two renewable energy companies, helping to separate them from beleaguered Missouri-based solar company SunEdison Inc., which is in the process of restructuring. Story
ELSEWHERE IN FINANCE
UBS is considering following the example set by Barclays in refusing a possible settlement offer in the US mortgage bond mis-selling scandal. Story (Financial Times, subscription required)
A new power in sugar trading is buying unprecedented amounts of the sweetener on the U.S. futures exchange, creating confusion in one of the world's most volatile commodity markets. Story (WSJ, subscription required)
U.S. stocks have piled up $1.5-trillion in market value this year, but hedge funds are bracing for tough times ahead. Story (Bloomberg)
IN CASE YOU MISSED IT
Rachelle Younglai: Miners take more calculated M&A approach Story