Sydney, Oct 3 - Private equity firm CCMP Capital Asia has quit an auction for Danone's Australian and New Zealand business, Frucor Beverages, which could be worth up to A$800 million ($620 million), the Australian Financial Review reported on Friday.
CCMP's withdrawal leaves its former consortium partner Pacific Equity Partners to pursue an offer on its own, the paper reported in an unsourced report.
Another consortium, comprising private equity group Kohlberg Kravis Roberts, Merrill Lynch Private Equity and the privately owned P&N Beverages is also losing interest, the paper said.
That could strengthen the hand of potential trade buyers, which include Australia's Coca-Cola Amatil, Japanese brewers Kirin and Asahi, Suntory's Cerebos Pacific and Asian soft drink bottlers Fraser & Neave and Serm Suk. A source familiar with the auction told Reuters last month that four or five parties had submitted indicative bids for the Frucor business, whose products include Mizone flavoured mineral water, Just Juice and the Pepsi franchise in New Zealand.
Most of the bids were from trade buyers, but some were backed by private equity, the source said.