Logistics company Brambles Ltd. (BXB.AU) said Tuesday it would sell its North American recycled whitewood pallets business to a Colorado-based private equity firm in a deal valued at US$115 million including debt.
Brambles said in August that it was looking to divest its CHEP Recycled unit, which provides a network of pallet management services in the U.S. and Canada. It supplies and recycles over 90 million pallets annually.
The deal with Grey Mountain Partners is subject to standard regulatory approval but is expected to be completed within 45 days.
CHEP Recycled manages 161 plants and total pallet management sites, of which 73 service the CHEP Recycled business. Those 73 sites will be transferred to Grey Mountain. The remaining sites, which service the CHEP USA pooled pallets business, will be retained by Brambles.
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(END) Dow Jones Newswires
January 08, 2018 18:10 ET (23:10 GMT)