The consortium that won the bid to acquire Thyssenkrupp’s elevators division wants to spend billions of euros on expanding the business, a manager at one of three partners said in remarks published on Sunday.

“The is no shortage of money for a global expansion,” Ranjan Sen, managing partner with private equity firm Advent told the Handelsblatt business daily. “This could by all means amount to single-digit billions.”

Thyssenkrupp (TKAG.DE) said on Thursday it had agreed to sell its elevators division to a consortium of Advent, Cinven and Germany’s RAG foundation for 17.2 billion euros ($18.96 billion).

Thyssenkrupp said it would reinvest about 1.25 billion euros to take a stake in the unit.

By far the German conglomerate’s most profitable business, Thyssenkrupp Elevator is the world’s fourth-largest lift manufacturer behind United Technologies Corp’s (UTX.N) Otis, Switzerland’s Schindler (SCHP.S) and Finnish rival Kone (KNEBV.HE).

 

Source: Reuters

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