Newsletter Edition 63
Mar 27, 2025
Deutsche Bank Weighs $200M Loan to Support Blackstone’s TMA Bid
Deutsche Bank is gauging investor interest in a potential $200 million loan to help finance Blackstone’s bid for Trans Maldivian Airways (TMA), Bloomberg reports, citing sources familiar with the matter.
The loan, which may carry an interest rate of 10% or lower, is still in early negotiations, and Blackstone has yet to finalize financing arrangements. Sources suggest that Blackstone’s bid for TMA is valued at under $500 million.
TMA, the world’s largest seaplane operator, has long been a target for private equity investors. Carlyle Group, alongside King Street Capital Management and Davidson Kempner Capital Management, took majority ownership in 2021 after a debt restructuring. Before that, Bain Capital and Tempus Group acquired the firm from Blackstone, which had originally taken control in 2013 following its merger of TMA with Maldivian Air Taxi.
With Maldivian tourism rebounding post-pandemic, TMA has expanded its operations. As of November 2023, the company operated 65 DHC-6 Twin Otters, including 13 resort-branded aircraft, and conducted over 400 daily flights.
Private Equity Consortium Acquires Boston Celtics in Record $6.1 Billion Deal
A private equity-backed group, led by Bill Chisholm of STG Partners, has struck a $6.1 billion deal to acquire the Boston Celtics, marking the largest private equity-led takeover of a sports franchise and setting a new record for NBA team valuations, according to Bloomberg.
The deal surpasses the $4 billion purchase of the Phoenix Suns in 2022 and the $6.05 billion sale of the Washington Commanders in 2023. Sixth Street, a major private equity firm, contributed over $1 billion, alongside Bruce A. Beal Jr. of Related Companies and Celtics investor Rob Hale.
Current team governor Wyc Grousbeck will remain in his role until 2028 before transitioning control to the new ownership group. Chisholm, a lifelong Celtics fan, views the acquisition as both a business and personal investment. STG Partners, traditionally focused on software and tech, is expanding into sports assets as institutional capital increasingly flows into the industry.
The former ownership group, led by Grousbeck and Bain Capital’s Stephen Pagliuca, originally purchased the team for $360 million in 2002. Pagliuca, who submitted a rival bid, criticized the selection, arguing his debt-free offer would have given the team more financial flexibility.
Despite recent success, the Celtics face financial challenges, including high player payroll costs and the lack of ownership of TD Garden, which is leased from Delaware North.
BDT & MSD Partners, JP Morgan Chase, and Jordan Park Group advised the Celtics, while Goldman Sachs represented the Chisholm-led group.
Dollar Tree Sells Family Dollar to Private Equity Firms for $1 Billion
Dollar Tree has reached an agreement to sell its struggling Family Dollar business to a private equity consortium led by Brigade Capital Management and Macellum Capital Management for approximately $1 billion. The sale marks the end of a nearly year-long search for a buyer, according to Reuters.
Acquired by Dollar Tree in 2015 for $9 billion, Family Dollar has faced mounting challenges in competing with retail giants such as Walmart, Amazon, Shein, and Temu. Despite efforts to revamp stores and introduce multi-price points, sales continued to decline, particularly in discretionary categories like home décor and apparel, as inflation weighed on consumer spending.
Evercore analyst Michael Montani described the deal as "addition by subtraction," emphasizing that Family Dollar had been a drag on Dollar Tree’s sales, margins, and management focus.
Following the announcement, Dollar Tree shares rose as much as 6% in pre-market trading. However, the company warned of rising costs, citing a projected $20 million monthly impact from new tariffs introduced by former President Donald Trump on imports from Canada, China, and Mexico.
For the quarter ending February 1, Dollar Tree reported net sales of $5 billion, slightly up from $4.96 billion the previous year, excluding Family Dollar. The retailer projects 2025 net sales from continuing operations to be between $18.5 billion and $19.1 billion.
https://www.ft.com/content/d6590563-0077-43f8-80a6-9ae305158772