peHUB Wire: Wednesday, July 1, 2009

* Part I: Global private equity deal volume for the first half of 2009 was $32.9 billion, which is the lowest opening six months for any year since 1997. Q2 volume was $15.1 billion, compared to $17.8 billion in Q1.

Overall, financial sponsors accounted for just 3.5% of announced transactions in the first half, which is the lowest such percentage since the first half of 2000.

We’re expecting to have lots of Q2 private equity and M&A charts within an hour or so, and will post them to the peHUB homepage.

* Part II: Five venture-backed companies went public in the second quarter of 2009, which is an infiniteimprovement from the prior two quarters’ grand total of zero. Moreover, the $720 million raised by those five companies was the highest quarterly tally since Q4 2007, when 31 VC-backed companies raised $3.04 billion.

Each of the five offerings was trading above its offering price, as of yesterday’s market open, with! an average increase of 22.35 percent. The quintet was: DigitalGlobe, SolarWinds, BridgePoint Education, MediData Solutions and OpenTable. Click here to get more info on each offering.

It’s worth noting that LogMeIn is not included in the tally, even though it priced last night (at the high end of its range). The reason is that the Thomson Reuters/NVCA methodology bases its IPO dates on the first day of trading, rather than on the date of pricing.

With LogMeIn through the window, there are now just 10 VC-backed companies in registration to go public. I’ve got to think that the quarter’s relative success would cause some other VC-backed companies to file S-1s in prep of autumn offerings, but I also would have thought that after OpenTable and MediData…

* Part III: Rosetta Stone was the only buyout-backed IPO in Q2, raising $112 million. There weren’t any buyout-bac! ked IPOs in Q1, and there have been just seven since the beginning of 2008.

* Part IV: Fifty-nine VC-backed companies were acquired in Q2, for a disclosed value of $2.6 billion. The deal number is similar to the prior two quarters, although the disclosed value is significantly higher. Medtronic’s $700 million acquisition of Corevalve was the quarter’s largest VC-backed M&A transaction. I’ve posted the full release at the bottom of this morning’s First Read.

Top Three

Small Bone Innovations has raised $108 million in Series D funding. New investors include Goldman Sachs, Khazanah Nasional Berhad, Malaysian Technology Development Corp. and The Family Office of Bahrain, and certain other substantial investors. Return backers include Trevi Health Ventures, NGN Capital, 3i Group, and TGap Ventures. SBI was formed in May 2004 by the principals of Viscogliosi Brothers LLC, to develop and acquire technologies in the small bone and joined sector.

The Blackstone Group, KKR and Capital International have submitted bids to buy a stake in India’s United Spirits, the world’s third-largest spirits maker, according to The Economic Times. The offers reportedly are for between $250 million and $300 million, which would give the winner around a 10% equity stake.

LogMeIn Inc., a Woburn, Mass.-based provider of user remote connectivity and support services, raised $106.7 million via its IPO. The company sold 6.67 million common shares at $16 per share (top of its range), which gave it an initial market cap of approximately $342 million. The company has begun trading on the Nasdaq under ticker symbol LOGM, while JPMorgan and Barclays Capital served as co-lead underwriters. LogMeIn had raised around $30 million in VC funding since 2004, from firms like Prism VentureWorks (23.79%), Polaris Venture Partners (20.99%), 3TS Capital Partn! ers (15.83%), Integral Capital Partners (8.91%) and Intel Capital (5.4 3%).

VC Deals

Catalyst Biosciences Inc., a South San Francisco-based developer of engineered proteases, has signed an exclusive worldwide collaboration agreement with Wyeth (NYSE: WYE), related to Factor VIIa products to treat hemophilia and other bleeding conditions. Under terms of the deal, Catalyst will receive a $21 million up-front payment, with the potential to earn over $500 million via research funding and milestone payments. Catalyst previously had raised around $83 million, frfom firms like Burrill & Co., Essex Woodlands Health Ventures, HealthCare Ventures, Johnson & Johnson Development Corp., Morgenthaler Ventures, Novartis BioVentures and Sofinnova Ventures.

SPG Holdings LLC, a Novato, Calif.-based providerof photovoltaic power systems and products, has raised $13 million in equity fu! nding from the Global Environment Fund and Robeco.

Ventiva Inc., a Santa Clara, Calif.-based maker of tiny fans for the insides of consumer electronics, has raised $8 million in VC funding from DCM and Foundation Capital, according to VentureWire. The stealth-mode company does not yet have a working website.

Sense Networks Inc., a New York-based provider of real-time location analytics, has raised $6 million in Series B funding led by Intel Capital.

MojoPages, a Solana Beach, Calif.-based local search startup, has raised $5 million in Series A funding. Austin Ventures led the round, with venture partner Mike Dodd joining the MojoPages board of directors.

Vivacta, a UK-based developer of a blood-drop test for thyroid functionality, has raised $4.5 million in new VC funding. Return backers included AGF Private Equity, HBM Bioventures, Spark Ventures and Viking Technologies.

ProCertus BioPharm Inc., a Madison, Wisc.-based developer of drugs to treat the side effects of chemotherapy and radiotherapy on cancer patients, has raised $2.1 million in new VC funding. Return backers include Novartis Venture Fund and Venture Investors LLC.

iSend LLChas raised $2 million in Series A funding. Gray Ghost Ventures was joined by seed backers Village Ventures and NextLevel Venture Partners. The Watertown, Conn.-based company facilitates international electronic payments from the United! States to Mexico, Central and South America, and the Caribbean.

eCardio Diagnostics, a Texas-based provider of arrhythmia monitoring services, has raised an undisclosed amount of VC funding from Sequoia Capital. It is the company’s first institutional round of funding, since itsd 2004 founding.

Buyouts Deals

Black Canyon Capital has sponsored a recapitalization of JDC Healthcare, a Dallas-based dental practice management company. No financial terms were disclosed for the recap, which was done in partnership with company management.

J.F. Lehman & Co. has acquired Defense Venture Group, a Charlotte, N.C.-based maker of force protection products and armored vehicles. No financial terms were disclosed for the deal, which was done in partnership with DVG management. WoodRock & Co. served as financial advisor to DVG.

Sun Capital Partners has completed its acquisition of Mobile, Ala.-based tire retailerBig 10 Tire Stores Inc. out of bankruptcy.Sun Capital had acquired Big 10 back in 2006, and provid! ed DIP financing when the company went bankrupt earlier this year.

PE-Backed M&A

Amerijet International Inc., a Ft. Lauderdale, Fla.-based portfolio company of H.I.G. Capital, has acquired NationsExpress, a nationwide express trucking company based in Charlotte.

StrongMail Systems Inc., Redwood shores, Calif.-based provider of email delivery software, has acquired PopularMedia, a San Francisco-based provider of private-label viral marketing solutions for major brands. No financial terms were disclosed. StrongMail has raised around $28.5 million in VC funding, from firms like DAG Ventures, Evercore Partners, Globespan Capital Partners and Sequoia Capital. PopularMedia had raised around $18 million from DAG Ventures, Sequoia Capital and Steambo! at Ventures.

Tejas Research & Engineering LP, a Houston-basedprovider of design, engineering and testing services to the completions segment of the oilfield services market, has acquired Team Oil Tools, a Tulsa-based manufacturer of packers and down-hole completion tools. The deal was financed by Tejas sponsor Intervale Capital. No pricing terms were disclosed.

Misc. Deals

Ontex, a Belgian maker of diapers and wet wipes, said media reports that owner Candover was forcing a sale are untrue.

Firms & Funds

TGap Ventures has closed its second fund with $50 million in capital commitments, according to VentureWire. The Kalamazoo, Mich.-based firm focuses on early-stage opportunities in the Midwestern U.S.

Human Resources

Elie Dekel has joined Saban Capital Group as a Los Angeles-based managing director, with a focus on licensing, merchandising and IP opportunities. He previously was head of licensing and merchandising for 20th Century Fox.

Andrew Shea has joined GenNx360 Capital Partners as a managing partner. He previously was a principal with Allied Capital. GenNx360 focuses on underperforming industrial business-to-business companies with $250 million to $1 billion in revenue.

David Silverman and Matt Kane have joined Piper Jaffray as San Francisco-based managing directors in the firm’s technology media and telecom group, with a focus on software. Silverman previously was a partner with 3i Group, while Kane worked at Cowen & Co.