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Kone Eyes TK Elevator in Mega Deal
17 Mar
Summary
- Kone Oyj is in talks to acquire TK Elevator.
- TK Elevator owners seek up to 25 billion euros.
- Market volatility makes owners favor sale over IPO.
Finnish lift manufacturer Kone Oyj is engaged in discussions to acquire TK Elevator, a company that had been preparing for its own public listing. Owners of TK Elevator are reportedly seeking a valuation that could reach as high as 25 billion euros, including outstanding debt, for the potential transaction.
Kone is aiming to finalize an agreement in the near future, potentially within the coming weeks. Alongside these sale negotiations, TK Elevator's owners, Advent International and Cinven, are continuing preparations for a possible initial public offering. However, recent instability in equity markets has made them more receptive to a direct sale.
This potential sale comes after reports last year that TK Elevator's owners were considering the United States as a venue for an initial public offering. At that time, the business was expected to be valued at over 20 billion euros. Representatives from Cinven, Advent, and TK Elevator have declined to comment on the ongoing reports, while Kone has not yet responded.
