I Squared Capital is selling a 25% interest in European transportation equipment leasing and services platform TIP Group to the Investment Management Corporation of Ontario (IMCO) and GCM Grosvenor.
I Squared, which acquired TIP in 2018, said it has entered into a definitive agreement to sell the minority interest in TIP, without disclosing any financial details.
Headquartered in Amsterdam, TIP is a trailer leasing and equipment services provider operating a fleet of approximately 90,000 trailers, trucks and specialised equipment across more than 130 service locations in 17 countries.
The firm provides leasing, rental, maintenance and repair, digital fleet solutions, and used equipment sales to 15,000 transportation and logistics customers in Europe.
Mohamed El Gazzar, senior partner at I Squared Capital, said: “TIP exemplifies I Squared’s platform-building investment strategy. Over the past eight years, we have partnered closely with management to transform the business through operational investment, strategic acquisitions and disciplined capital allocation, transforming the business into one of Europe’s leading transportation equipment platforms.
“We continue to see significant opportunities for TIP and look forward to partnering with IMCO and GCM Grosvenor to support the next phase of growth, while enabling TIP to continue delivering exceptional service to its customers and partners across Europe.”
Matthew Mendes, managing director, head of infrastructure, IMCO, said: “TIP is a leading European provider of asset leasing and maintenance services, operating critical transportation infrastructure that aligns with IMCO’s investment strategy focused on resilient businesses and stable cash flows.
“This investment reflects our continued focus on building a diversified infrastructure portfolio for our clients, while building on our partnerships with experienced global infrastructure investors and high-calibre management teams in sectors where we see long-term value.”
Ravi Parekh, managing director at GCM Grosvenor, said: “We are pleased to work with the TIP management team and I Squared to support TIP as it enters its next stage of growth. We believe TIP is well positioned to capitalise on its strong foundation and create long-term value.”
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