-RHJ abandons bid for Deutsche's BHF.
M2 EQUITYBITES-October 10, 2011--RHJ abandons bid for Deutsche's BHF(C)2011 M2 COMMUNICATIONS http://www.m2.com
10 October 2011 - Belgium-based private equity firm RHJ International (EBR:RHJI) has abandoned its offer for German lender Deutsche Bank's (ETR:DBK) unit BHF because it has found it hard to find a co-investor, Reuters reported on Sunday, citing two people with knowledge of the matter.
One of the people close to the matter said the German market regulator BaFin had told RHJ it thought the group could not fund the deal and should withdraw its application to acquire BHF.
In July, RHJ said it was in exclusive talks to buy BHF and would fund the deal with the support of co-investors. However, the costs of funding BHF after it is offloaded by Deutche bank have increased as a result of tension in the interbank lending market, which has discouraged potential partner for co-investor Kleinwort Benson.
Deutsche Bank and BaFin did not comment on the matter, while RHJ could not be reached for comment, Reuters said.
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|Publication:||M2 EquityBites (EQB)|
|Date:||Oct 10, 2011|
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