(Reuters) - Canadian pension funds Caisse de depot et placement du Québec and PSP Investments said on Friday they have bought minority stakes in Fives, an industrial engineering group based in France.
Reuters had reported earlier this month that buyout group Ardian had received binding bids for its stake in Fives and that the Canadian pension fund and private equity firm TowerBrook had both handed in offers for the minority stake.
The bids valued the French engineering group at about 1.5 billion euros ($1.78 billion), according to the Reuters report.
Ardian will remain a part of the company’s new shareholding structure as a minority co-investor, according to the statement.
The buyout group had bought its 45 percent stake in the company, which is majority-owned by its management, from investor Charterhouse in 2012.
Fives, which has annual sales of 1.8 billion euros, designs and supplies machines and ready-to-work factories for the metals, automotive, aerospace, logistics and energy industries.
Financial details of the investments were not disclosed.
Reporting by Kanishka Singh in Bengaluru; Editing by Anil D'Silva