SYDNEY Feb 27 Private equity giant Carlyle
Group is expected to bid for Transpacific Industries
Group Ltd's New Zealand waste management business,
competing with state funds from both New Zealand and China in a
deal that could fetch about NZ$1 billion ($830 million), a
source close to the sale told Reuters.
Transpacific, a Brisbane-based recycling, waste management
and industrial services company, is selling its New Zealand arm
as part of a broader push to exit non-core businesses and focus
on its core Australian operations.
Deutsche Bank, which is running the New Zealand
sale for Transpacific, is expected to receive separate final
offers on Friday from Carlyle and a consortium involving New
Zealand infrastructure fund Infratil and state-run
insurance scheme, Accident Compensation Corporation.
A third bid is expected from the Beijing Municipal
Government's Beijing Capital Group, with a fourth offer expected
from another unidentified bidder. Investment firm KKR & Co
was previously interested, but withdrew from the sale
process, the source said.
Transpacific may still consider spinning its New Zealand
business off in a stock market listing if final bids are deemed
insufficient, the source added.
Local media reported the deal could fetch about NZ$1
billion, making it the biggest in New Zealand's waste management
At that price, it would also be New Zealand's biggest
takeover since Chinese appliance maker Haier Electronics Group
Co paid NZ$927 million in November 2012 for the 80
percent of Fisher & Paykel Appliances Ltd it did not own.
It would also dwarf Transpacific's sale of its commercial
vehicles business to United States-based Penske Automotive Group
for A$219 million in August.
Carlyle, Deutsche Bank and HSBC, which is advising
Beijing Capital on its bid, declined to comment. Infratil and
ACC did not immediately comment.