Friday 15 December 2017

CarTrawler seals takeover deal with Phones4U owner

Cartrawler's website
Cartrawler's website
CarTrawler CEO Mike McGearty

A multi-million pound takeover of online car rental company CarTrawler by a leading private equity firm was announced today.

UK-based private equity firm BC Partners has agreed to buy a majority stake in the company.

Dublin-based CarTrawler provides online car rental distribution systems and connects customers to more than 1,200 suppliers across 30,000 pickup locations in 174 countries. It also operates online car rental sites under the Holiday Autos and Argus Car Hire brands.

The website was sold by private equity firm ECI which bought CarTrawler in 2011.

BC Partners will buy a majority stake in CarTrawler, while private equity firm Insight Venture Partners will take a minority stake. Management will also retain a shareholding in the company.

Reuters said banking sources said the deal would be backed with debt financing of around €150m or 5 to 5.25 times CarTrawler's earnings before interest, taxes, depreciation and amortisation of approximately €30m.

Debt is expected to be provided in the form of senior leveraged loans by Lloyds and RBC and will be syndicated to other lenders in the coming weeks, the sources added.

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