| FRANKFURT/LONDON, March 10
FRANKFURT/LONDON, March 10 The private equity
arm of Dubai Holding has asked buyout groups to submit binding
bids for its German packaging group Mauser, after putting on
hold a larger auction which comprised two additional assets,
three sources familiar with the transaction told Reuters.
The sale of Mauser by Dubai International Capital (DIC)
would be one of the largest asset disposals by the emirate since
its debt crisis in 2009, when several of its state entities were
forced to restructure debt and seek more time for repayment.
"The Mauser sale is being continued as planned originally,"
one of the sources said. Two sources said an effort organised by
Evercore to sell a package of three DIC assets - British
engineering aerospace group Doncasters and German aluminium
manufacturer Almatis as well as Mauser - was no longer actively
Buyout firms Blackstone, Ardian, Clayton Dubilier &
Rice (CD&R), Pamplona, Apollo and Platinum have been allowed to
submit second-round offers for Mauser by an early April
deadline, the sources said.
The suitors are likely to value Mauser at about 7 times its
expected operating earnings of roughly 150 million euros, or 1.1
billion euros ($1.5 billion), in line with the valuation of U.S.
peer Greif, which trades at a multiple of 6.8 times and
is not bidding for Mauser.
Banks are working on debt packages for potential buyers of
around 6.5 times operating earnings or about 1 billion euros,
one of the sources said, adding the debt would be subject to a
minimum equity contribution.
Blackstone, Pamplona and Ardian declined comment, while DIC,
CD&R, Apollo and Platinum were not immediately available for
DIC bought Mauser from JPMorgan's buyout unit in
2007 in a deal which valued the firm at 850 million euros.
Founded in 1896 in a small town in southern Germany, the
company makes packaging equipment such as cans and drums for
transporting medical waste and other hazardous chemicals.