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Clayton, Dubilier & Rice Sells BCA in £1.2 Billion Transaction

Thursday, March 26, 2015
New York and London

Clayton, Dubilier & Rice today announced the sale of BCA, Europe’s largest used vehicle marketplace, to Haversham Holdings, the publicly listed investment vehicle, in a transaction valued at approximately £1.2 billion. Shareholders of BCA, which include CD&R funds, will receive £701 million in cash and £104 million in stock. The transaction is expected to close in early April.

Under CD&R ownership, BCA diversified its business by adding a vehicle buying unit through the acquisition of, expanding in continental Europe and Brazil, and launching a range of new value-added service offerings. In addition, it has invested meaningfully in its technology and digital platforms to better serve its customers and adapt to the changing behaviour of the market. The result was an increase in EBITDA of approximately 85% under CD&R’s ownership.

CD&R Partner David A. Novak said, “We have been delighted with our investment in BCA. The operating improvements and growth initiatives implemented with management under our ownership have transformed BCA from a traditional used vehicle physical auction business into a multi-channel marketplace. They have provided BCA with a strong foundation for continued growth and a rewarding future. We are confident that the talented group of managers at the company, under the leadership of Avril Palmer-Baunack and the Haversham team, will continue to drive strong performance in the future.”

HSBC Bank plc, J.P. Morgan Limited, Rothschild and UBS Limited acted as financial advisors and Clifford Chance LLP and Debevoise & Plimpton LLP acted as legal advisors to CD&R in connection with the transaction. Ernst & Young LLP acted as accounting advisor.