(Reuters) – Australia’s CHAMP Private Equity sold industrial transport company LCR Group to rival buyout firm Archer Capital after a logistics business which had an option to buy LCR failed to bid, a source familiar with the deal told Reuters.
CHAMP sold LCR to Archer Capital for about A$200 million ($187.56 million) and the deal has been signed, said the source, who could not be identified because they were not authorized to comment.
The deal ends hopes of other possible exits including a sharemarket listing and a trade sale being considered by CHAMP, which bought a majority stake in the business in 2008.
In 2012, logistics company McAleese Ltd bought an option to buy LCR from CHAMP but it has been beset with problems since a fatal gasoline tanker-truck accident before its November 2013 listing led to cancelled contracts and earnings downgrades.
The company has since embarked on an asset-selling program to pay down debt it says is too high.
McAleese shares were trading up 2 cents at A$0.50 in a higher overall market on Thursday, about one-third the A$1.47 they were issued at in November.
CHAMP declined comment and Archer Capital and McAleese were not immediately available for comment.Get your FREE trial or subscribe now to Buyouts to find new deal opportunities, super-charge your fundraising efforts and track top managers.