Washington D.C. based Carlyle Group and affiliates of Louis M. Bacon have completed their acquisition of a majority stake in Traxys Group for an undisclosed sum. As part of the transaction, Traxys management has increased its investment stake in the company.
Carlyle was unavailable for comment on the transaction at press time.
Traxys Group is a physical metals and minerals commodity merchant, logistics and trading firm.
Carlyle, Louis Bacon and Traxys management acquired their stake from Pegasus Capital Advisors, Kelso & Company and Resource Capital Funds. Equity capital for Carlyle’s investment came from Carlyle’s U.S. Equity Opportunity Fund.
Earlier this month, Carlyle partnered with Dangote Industries an African business conglomerate, in a push to target energy-focused deals in sub-Saharan Africa. The Blackstone Group also announced a partnership with Dangote at the same time.
Dangote will co-invest alongside Carlyle’s International Energy Partners fund and Carlyle’s Sub Saharan African fund. Carlyle’s International Energy Partners, which came to market in May 2013, recently closed on $1.8 billion, PEI reported last week.
Carlyle and Dangote will invest across the oil and gas value chain, including exploration and production, refining and gas commercialisation, focusing on projects that improve local energy capacity, create jobs and contribute to a sustainable energy future in Africa, Carlyle said in a statement.
Carlyle and Dangote are also co-investing through Carlyle’s sub-Saharan fund, a $698 million vehicle that closed in April. That fund has made investments in ETG, a pan-African agricultural supply chain company, J&J, a southern African logistics company, and Traxys, PEI reported this month.
Morgan Stanley served as the financial advisor to Traxys.