Private equity firms look at Hochtief real estate arm, price could hit €1bn


Custom Building ProductsPrivate equity players including Brookfield and Morgan Stanley’s real estate arm are reportedly interested in buying the real estate unit of German builder Hochtief in a deal which could reach €1bn.

Patron Capital is also in the running for Aurelis according to Reuters, which cited three people familiar with the matter.

Private equity firm Grove – which was founded by billionaire George Soros – owns 50 per cent of the business.

Hochtief bought Aurelis for €1.6bn in 2007, but is now looking to sell the asset to help cuts its overall debt.

Bids have come in for 50 per cent and 100 per cent of the company, although Reuters’ sources said it was not clear if the interested parties named had submitted bids.

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