The Carlyle Group is exiting its investment in auto parts supplier Diversified Machine Inc., selling the company to Platinum Equity, Reuters reported Friday. Terms of the deal were not released. Previous estimates put the value of Diversified Machine at more than $400 million, Reuters wrote.
(Reuters) – Private equity firm Carlyle Group said it sold auto parts supplier Diversified Machine Inc (DMI) to Platinum Equity for an undisclosed amount.
In August, sources told Reuters that the PE firm was seeking a buyer for DMI and that the business may fetch more than $400 million.
Carlyle had formed DMI by acquiring all assets of UniBoring out of bankruptcy in 2005, and renamed it Diversified Machine Inc — a precision machining company that makes chassis and components and modules for automakers and parts suppliers.
CEO of DMI, Bruce Swift, will continue in his role following the deal.
Platinum Equity is a firm that specializes in buying distressed assets.