D’Ieteren announced it has signed a definitive agreement with Clayton, Dubilier & Rice (CD&R) regarding a partnership investment in Belron, parent company of Safelite AutoGlass. Under the agreement, CD&R will acquire 40-percent ownership interest in the Belron group, and D’Ieteren will retain the remaining 60-percent ownership interest.
Founded in 1978, CD&R is a worldwide private equity investment firm based in New York City and specializes in buyouts, acquisitions and growth capital financings of mature and underperforming companies. The company was established by Joe Rice, Martin Dubilier, Gene Clayton and Bill Welsh and has invested in 33 businesses—34 once the investment in Belron has been finalized—since 2005 across several industries.
The firm invests in sectors relating to consumer and retail markets, healthcare, industrials and business services. Some of these investments include Hertz, Univar, NCI Building Systems, BCA and David’s Bridal.
The proposed transaction would value Belron at $3.5 billion USD (EUR 3 billion) (enterprise value) which, after deduction of debt-like items (including a dividend payment of $533.4 million USD), translates into an equity value of about $1.8 million USD (EUR 1,550 million). The transaction remains subject to the approval of the relevant regulatory and competition authorities.