Australia's CHAMP sells transport firm LCR to Archer Capital
SYDNEY, July 3
SYDNEY, July 3 (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 authorised 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.
($1 = 1.0663 Australian Dollars) (Reporting By Byron Kaye; Editing by Eric Meijer)