AEA Investors, TPC Said to Mull $2 Billion Exit From Dematic

  • Owners open to sale or IPO of Atlanta-based logistics group
  • Buyout firms bought Dematic from Triton Advisers in 2012

The owners of Dematic Corp. are considering an exit that could value the closely held U.S. logistics company at about $2 billion, people familiar with the matter said.

AEA Investors and Teachers Private Capital, the private equity arm of Ontario Teachers Pension Plan, have held early stage talks with banks about a possible sale or initial public offering of Dematic this year, said the people who asked not to be identified because the information is private. The buyout firms bought Dematic for an undisclosed sum from Triton Advisers in 2012. No final decision has been made, and the owners may choose not to proceed with an exit, the people said.

AEA has backed Dematic’s management team, led by President and Chief Executive Officer Ulf Henriksson, to grow the company, most recently with the purchase of warehouse software provider Reddwerks Corp. last December, according to the company’s website. AEA is open to both an outright sale or IPO of the Atlanta-based company, the people said.

A spokeswoman for TPC declined to comment. Spokesmen for AEA and Dematic didn’t respond to e-mail requests seeking comment.

Dematic, which can trace its origins back to Germany in 1819 as a manufacturer of steam-powered cranes, employs more than 5,000 people and has provided automated warehouse and handling systems to companies including Inc. and Wal-Mart Stores Inc.

Moody’s Investor Service changed its outlook on DH Services Luxembourg Sarl. -- Dematic’s holding company -- to positive from stable on Jan. 11. Moody’s estimates the company will have revenues of about $1.6 billion for the year ending September 2015.

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