Deals of the day -- mergers and acquisitions

Tue Sep 3, 2013 4:05pm EDT

Sept 3 (Reuters) - The following bids, mergers, acquisitions and disposals were reported by 2000 GMT on Tuesday:

** German reinsurer Munich Re said it had agreed to buy a business that helps manage weather risks for the energy sector from reinsurer RenaissanceRe. The world's biggest reinsurer would pay a mid-two digit million dollar amount for the business, a Munich Re spokesman said.

** Citigroup Inc said it would sell a $4.3 billion private equity fund, known as Citi Venture Capital International, for an undisclosed price to investment firm Rohatyn Group. Rohatyn will have over $7 billion in assets under management after the deal, which is expected to close in the fourth quarter, the company said.

** Activist hedge fund Starboard Value LP said it is working with investors interested in paying "substantially" more for Smithfield Foods Inc than the price China's Shuanghui International Holdings Ltd had agreed to. The deal, struck in May and valued then at about $7.1 billion including debt, would be the biggest takeover of a U.S. company by a Chinese one.

** Jarden Corp, known for its Mr. Coffee products, agreed to buy candle maker Yankee Candle Co Inc for $1.75 billion after private equity owner Madison Dearborn Partners LLC failed to sell for a higher price earlier this year.

** Barclays Plc will sell its retail bank in the United Arab Emirates, highlighting the challenges foreign banks face in the Gulf competing against cash-rich local rivals who are finding it easier to meet stricter rules on risk.

** Verizon Communications Inc and Vodafone Group Plc agreed to a $1.55 billion breakup fee if their $130 billion deal falls apart. The company terminating the deal will have to pay the other party the fee within five days by wire transfer, Verizon said in a regulatory filing.

Verizon said it could expand internationally or buy more spectrum in coming years even while it pays down debt from its $130 billion purchase of Vodafone's 45 percent stake in Verizon Wireless. Chief Executive Officer Lowell McAdam also ruled out an expansion into Canada's wireless market.

** Two years after hitching its fate to Microsoft's Windows Phone software, a withered Nokia collapsed into the arms of the U.S. software giant, agreeing to sell its main handset business for 5.44 billion euros ($7.2 billion). Nokia, which will continue as a maker of networking equipment and holder of patents, was once the world's dominant handset manufacturer but was long since overtaken by Apple and Samsung in the highly competitive market for more powerful smartphones.

** Bank of America Corp launched an up to $1.5 billion sell-down in China Construction Bank Corp shares, offloading its remaining stake in China's second-biggest lender, according to a term sheet of the deal seen by Reuters.

** Rhoen-Klinikum shareholder B. Braun said it is seeking to raise its stake in the German hospital operator to 25 percent in a move that could cement opposition against a takeover of Rhoen by diversified healthcare group Fresenius .

** Central Pattana Pcl, Thailand's largest department store operator, plans to invest up to 15 billion baht ($468 million) to open 2-3 new stores in Southeast Asia in the next five years.

** France's Lafarge said it has agreed to sell its cement business in Honduras to Cementos Argos for 232 million euros ($306 million) as part of its efforts to cut debt.

** Chinese-Italian private equity fund Mandarin Capital has sold its 7.57 percent stake in packaging machinery company IMA at 18.6 euros per share, two traders told Reuters.

** China Molybdenum has cleared a key hurdle to taking control of Rio Tinto Northparkes copper mine, with Japan's Sumitomo Metal Mining and Sumitomo Corp deciding not to match the Chinese miner's $820 million bid. Rio Tinto agreed to sell its 80 percent stake in the Australian copper mine to China Molybdenum Luoyang Co Ltd in July, subject to Sumitomo Metal Mining Co Ltd and Sumitomo Corp, which own the remaining 20 percent, waiving their rights to match the bid.

** Spain's state-rescued lender Bankia said it had sold its property management arm to U.S. fund Cerberus at a price of between 40 million euros ($53 million) and 90 million euros depending on the execution of the unit's business plan.

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