Brambles Industries has said that it has reached agreement to sell its German equipment rental business Gardemann to a buyout group led by former Brambles managers with financing provided by Deutsche Bank.
The company set up to make the acquisition, Gardemann Access Holdings, will pay E24.65m for the company, which operates exclusively in the German market. Brambles will receive E18.73m of the consideration as cash. The remaining consideration of E5.92m will be retained in the buyout group as mezzanine funding, repayable by 2008. Brambles will also receive a 15 per cent carried interest in Gardemann Access Holdings.
Gardemann is the German market leader in powered access equipment rental, with 19 branches and 265 staff.
Brambles Industries said it had now completed its A$1.25bn (£440m) divestment strategy, initiated as a result of the DLN merger. The company also reported that the sale of Gardemann will generate a profit to Brambles of approximately E5m.