CVC Acquisition of Brambles Valued at $13.8 Billion

Issue 123

Brambles, one of Australia’s oldest companies, is in the early stages of selling the company to CVC Capital Partners in a takeover that could be valued as high as AU$20 billion.

Brambles, which was originally founded in 1875, provides services that range from transportation to logistics, also expanding into waste management and document management in the 1900s. The company has had a troublesome couple of years, however, with investors and activists putting pressure on the company to better implement environmentally friendly practices. This, along with supply chain shortages over the past few years has made Brambles a target for acquisitions throughout Australia. With the company’s continual underperformance, a takeover may be the best option for the shareholders, however, the company has stated that it is looking for other “strategic options” to maximize shareholder value.

Talks between Brambles and CVC are in the early stages and there has yet to be any formal bid.

Source: Financial Times