| NEW YORK
NEW YORK Nov 20 Private equity firm Bain
Capital LLC has ended advanced talks with auto parts supplier TI
Automotive Ltd over a possible buyout after failing to meet TI's
price expectations of close to $2 billion, according to people
familiar with the matter.
Bain's decision is a blow to TI Automotive's hedge fund
owners, who launched a new effort this summer to sell the
business after previous sale talks fell through in 2011.
Boston-based Bain sought to pay closer to $1.5 billion in
the late stage of the negotiations, lower than TI Automotive's
asking price, the people said. It remains unclear what
alternative the company will pursue.
The people asked not to be named because the matter is not
public. Bain and TI Automotive declined to comment.
TI Automotive was picked up by a consortium of funds led by
Oaktree Capital Group LLC and Duquesne Capital
Management LLC in a 2007 debt restructuring. Hedge fund veteran
Stanley Druckenmiller wound down Duquesne in 2010.
In late 2011, Bain was one of three private equity firms
that bid for TI Automotive, which makes fuel tanks as well as
braking and powertrain components for cars and trucks.
Carlyle Group LP and Pamplona Capital Management LLP
were the two other bidders in the previous sale process, which
was pulled amid deteriorating financing conditions, Reuters
reported at the time.
TI Automotive and U.S. rival Cooper-Standard Holdings Inc
are the world's two largest suppliers of systems that
control, sense and deliver fluids and vapors in vehicles.
TI Automotive has more than 20,000 employees at 130
locations worldwide, and supplies all of the world's major
automakers, according to its website.