New On The Block

• Toymaker Funko’s (NASDAQ:FNKO) investor, Pleasant Lake Partners, has urged the company to explore strategic alternatives, including a potential sale. Following the disclosure, shares of Funko surged about 25 percent.

• PayPal has reportedly not opened sale negotiations with Stripe or any other suitor. PayPal has worked for months with bankers on preparations for an activist campaign or unwanted takeover bid. This outreach to bankers began under former CEO Alex Chriss, who left earlier this year. Enrique Lores, a veteran of HP Inc. (NYSE:HPQ), will take over as CEO next week. According to Bloomberg, Stripe considered acquiring all or parts of PayPal.

• Werewolf Therapeutics hired Piper Sandler to run a sale process. Earlier this month, the company announced layoffs amidst a “major restructuring,” reducing its workforce by 64 percent to cut operating costs, foreshadowing this week’s announcement.

• Caesars Entertainment (NASDAQ:CZR) is reportedly weighing takeover interest from multiple parties, including an approach tied to billionaire Tilman Fertitta, alongside internal discussions about a possible management-led buyout. That backdrop comes as the casino operator has been pointing to improving operating metrics, including $2.92 billion in quarterly revenue and a record $85 million adjusted EBITDA at Caesars Digital, as detailed in record digital profits.

Updates From The Block

• Netflix (NASDAQ:NFLX) lost its bidding war for Warner Bros. After WBD’s board officially labeled Paramount Skydance‘s (NASADQ: PSKY) offer a "superior proposal," $111 billion. Netflix co-CEOs Ted Sarandos and Greg Peters announced they would not match the higher price. Meanwhile, Senator Elizabeth Warren threw shade at the Trump administration for what she considered to be meddling in the deal.

• Kinderhook Industries has purchased Enhabit, a home health and hospice provider, for about $1.1 billion. Enhabit shareholders will receive $13.80 per share in cash, representing a 24.4 precent premium over the previous closing price. Enhabit will remain under its current name but will delist from the NYSE. The deal is expected to close in Q2 2026, pending approvals.
  
• Komar Industries has taken over Metro Compactor Service, BaleForce Recycling Equipment, and Chute Source, creating a unified North American platform offering a broad portfolio across waste and recycling operations.
  
• IT services and consulting firm Accenture (NYSE:CAN) bought two companies: Brazil-based Verum Partners and software firm Avanseus. Verum will support digital AI infrastructure projects in Latin America, while Avanseus expands Accenture’s cloud-native product offerings. Deal terms were undisclosed.
  
• GSK plc (NYSE:GSK) agreed to acquire Canada’s 35Pharma Inc. GSK will acquire 100 percent of the equity of 35Pharma for $950 million in cash. The deal includes investigational medicine HS235, currently in phase one trials for cardiopulmonary diseases.
  
• Adirondack Bancorp will merge with Arrow Financial Corporation in a transaction valued at $89.1 million. After closing (expected by Q2 2026), Arrow will serve upstate New York with 58 branches.
  
• Private equity firm Wynnchurch Capital signed an agreement to buy Acrosa Marine Products from Arcosa. Upon closing, Acrosa Marine will operate independently under Wynnchurch. Financial terms were not disclosed.
  
• Azuria Water Solutions, Inc. acquired Caliagua, Inc., a California-based engineering and construction company focused on water and wastewater infrastructure projects. Deal terms were not disclosed.
  
• Canada Pension Plan Investment Board (CPP Investments) and Equinix Inc. (NASDAQ:EQIX) announced a joint agreement to acquire atNorth, a leading Nordic data center operator, from Partners Group (OTC:PGPHF) for approximately $4 billion, subject to regulatory approvals and customary closing conditions. The partners outlined a provisional $4.2 billion (3.6 billion euros) financing package to fund the acquisition and future expansion.

Off The Block

• Sompo Holdings completed its $3.5 billion acquisition of Aspen Insurance Holdings by purchasing 100 percent of Aspen’s issued Class A ordinary shares. As a result, Aspen will be integrated into the Sompo Group, enhancing its global property and casualty program. Aspen's Class A ordinary shares will no longer trade on the NYSE, while its preference shares will remain listed. Mark Cloutier will transition to an advisory role following the transaction.
  
• Eagle Energy Metals Corp. has completed its merger with special purpose acquisition company, Spring Valley Acquisition Corp. II, the company announced. Following shareholder approval on February 23 and deal closing the next day, the combined entity will operate as Eagle Nuclear Energy Corp. The company focuses on uranium exploration in the U.S. and the development of proprietary Small Modular Reactor (SMR) technology. Eagle owns the largest measured uranium deposit in the country, located in southeastern Oregon.

Bankruptcy Block

• Houston-based natural gas compression services company Axip Energy has filed for Chapter 11 bankruptcy to facilitate a sales process for the company's assets and business operations. Axip entered into an asset purchase agreement with Service Compression LLC for the sale of all assets. he company has secured approximately $104.8 million in debtor-in-possession (DIP) financing, including $25.5 million in new funds from certain prepetition lenders. Pending court approval, this financing will allow Axip to maintain normal operations and meet daily obligations throughout the Chapter 11 process.
  
• Spirit Airlines has met with a bankruptcy judge to discuss a possible restructuring agreement with creditors, which would pave the way for the company to complete its bankruptcy process by early summer, the Wall Street Journal reported. Attorneys stated that the plan would allow the airline to emerge from Chapter 11 protection with improved finances and a trimmed-down fleet. The agreement has not been finalized as it must be approved by a bankruptcy judge.
  
• ESG Clean Energy filed for Chapter 11 bankruptcy last year, after a failed attempt at reorganization, the case transitioned to a Chapter 7 liquidation. It has been reported that 25 creditors are seeking approximately $32 million in losses. Now, the court is seeking value in the company’s assets to pay off debts. The initial bankruptcy filing reported between $10 million and $50 million in assets and between $1 million and 10 million in liabilities.
  
• Dine-in theatre and restaurant brand iPic Theaters filed for Chapter 11 bankruptcy as it seeks to reorganize its debts and business operations under court supervision. The company will continue operating with minimal business disruptions, but could not guarantee employment beyond the notice period.

Notes On The Block

• For more information on opportunities in the private equity space, check out my exclusive interview with David Altshuer at Cresta Fund Management. Altshuler spoke with Benzinga about the energy transition market and the areas of opportunity they see.

For the previous edition of Deal Dispatch, click here.

Image: Edited by Benzinga using Shutterstock

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