Warburg Is Said to Mull Possible $4 Billion Duravant Sale
(Bloomberg) -- Warburg Pincus, one of the world’s largest private equity firms, is considering options including a sale that could value food processing and packaging equipment company Duravant at more than $4 billion, according to people with knowledge of the matter.
The New York-based private equity firm has held preliminary talks with advisers about running an auction for Duravant later this year, said the people, who asked not to be identified because they weren’t authorized to speak publicly. The business is likely to draw interest from other equipment manufacturers and private equity firms, the people said.
A final decision on what course to pursue hasn’t been made and Warburg could choose to keep the business, they said.
Representatives for Warburg and Duravant, based in Downers Grove, Illinois, declined to comment.
Warburg agreed to buy Duravant from peer Odyssey Investment Partners for an undisclosed sum in June 2017. The company operates a portfolio of brands in the food processing, packaging and material handling sectors that includes Afoheat, FMH Conveyors and Marlen International.
Warburg has backed Duravant acquisitions including the poultry processing equipment maker FoodMate in April.
Warburg, which has about $60 billion in assets under management, also owns stakes in cybersecurity firm Infoblox and online classified business Cartrade, according to its website.
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