CDT Roundup: 10 Deals; 12 Firms; 59 Lawyers; $2.24B

Inflation worries, supply chain woes, uncertainty regarding the coronavirus pandemic and Russia’s war with Ukraine have dampened the optimism for carve-outs, a divestiture of all or part of a business line. But the underlying reasons for them are still there, i.e., some other company could do more with the business than its existing parent, which could do something else with the proceeds. The rise in private equity and special purpose acquisition companies, or SPACs — and their time-stamped hunt for merger partners — helped fuel an increase in carve-outs last year.

Kirkland & Ellis Dallas partner Mike Considine, who advised on Allegion plc’s purchase of the automatic doors business of Stanley Black & Decker last week (see below), said macro factors are still favoring carve-outs as strategic options for businesses, especially larger public companies.