Germany’s GEA Group, one of the largest suppliers for the food processing industry, could sell its heat exchangers unit for around €1.2bn, with a number of private equity firms set to bid, according to Reuters.
In 2013, GEA generated consolidated revenues in excess of €4.3bn. GEA Heat Exchangers covers numerous application areas, from air conditioning systems to cooling towers, but has been deemed non-core by the company.
Bidders are set to include buyout firms KKR, EQT, Bain Capital, Apollo Global Management, Onex and Triton Partners, with a final deal expected to hit seven times the units operating earnings, the report said.
Meanwhile, private equity firms including Bain, CVC Capital Partners, Rhone Group, Triton, Onex and Astorg Partners are also reported to be bidding on Alstom’s heat exchanger division, with a sale expected to value the unit at up to €600m.
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