👀 Ones to watch: The MOST undervalued stocks to buy right nowSee Undervalued Stocks

Direct ChassisLink changes hands in $3.6 billion deal-sources

Published 12/15/2022, 03:06 PM
Updated 12/15/2022, 05:36 PM
© Reuters. FILE PHOTO: A chassis is pictured on the assembly line at the Innoson motor vehicle assembly in Nnewi, Nigeria August 20, 2016. Picture taken August 20, 2016. REUTERS/Afolabi Sotunde/File Photo
EQT
-
APO
-

NEW YORK (Reuters) - A consortium comprising a Singapore sovereign wealth fund, a Canadian pension fund and a British investment manager has acquired chassis lessor Direct ChassisLink from buyout firms Apollo Global Management (NYSE:APO) Inc and EQT (NYSE:EQT) Partners AB for about $3.6 billion, including debt, people familiar with the matter said on Thursday.

The deal's completion brings one of the largest chassis lessors in the United States under the control of Singapore's GIC, the infrastructure investment arm of Canada's OMERS and London-based investment firm Wren House.

The deal marks a win for Apollo, which acquired a majority stake in Charlotte, North Carolina-based Direct ChassisLink and logistics and digital supply chain solutions company Blume Global from EQT in 2019 for around $2.5 billion, including debt. EQT kept a 20% stake in both companies.

The latest transaction did not include Blume. Excluding Blume's remaining value, Apollo made two times the money it invested, according to a person familiar with the matter.

© Reuters. FILE PHOTO: A chassis is pictured on the assembly line at the Innoson motor vehicle assembly in Nnewi, Nigeria August 20, 2016. Picture taken August 20, 2016. REUTERS/Afolabi Sotunde/File Photo

Blume separately raised money from outside investors in 2021 at a valuation of $500 million.

Direct ChassisLink controls a fleet of over 151,000 marine and 100,000 domestic chassis. It has a workforce of around 410 employees and is active in the transportation of containers to and from ports, railyards and other locations.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.