Three major private equity firms are competing to purchase a key division from German automaker Volkswagen, according to a Wednesday report from The Financial Times.
The companies vying for the acquisition include Blackstone, EQT, and CVC, all of whom have submitted proposals for Volkswagen’s Everllence unit, sources with knowledge of the negotiations told the publication.
Everllence specializes in manufacturing marine engines and heat pump systems. Potential buyers are placing the division’s worth somewhere between 5 billion and 6 billion euros, which translates to approximately $5.92 billion to $7.1 billion in U.S. currency.
Reuters has not been able to independently confirm these details at this time.
The bidding process represents a significant corporate transaction as Volkswagen appears to be divesting from certain business segments outside its core automotive operations.
