Terra Firma offloads 50% holding in German motorway service operator

The UK firm has retained an interest in Tank and Rast Holding rather than selling it outright, after striking a deal to sell 50 percent to the infrastructure division of Deutsche Bank for a reported €1.2 billion.

Terra Firma, the British private equity firm, has sold a 50 percent stake in Autobahn Tank and Rast Holding for approximately €1.2 billion to RREEF Infrastructure, a division of Deutsche Bank Asset Management.

In April, the firm was considering a sale of the whole business, according to Reuters news agency. However, in an announcement today the firm revealed it is not only retaining a 50 percent stake but is investing a further €400 million over the next five years with its new joint owning partner.

Terra Firma acquired the company in 2004 for €1.2 billion and has since invested €100 million to improve the business. As part of the adding-value drive, it has struck numerous deals with catering and fast food occupiers at the chain such as Burger King and McDonald’s.
The company operates a total of 390 motorway service stations and is a household name in Germany.

For its part, RREEF Infrastructure has been busy tying to beef up its investments.

In November last year it had some success by acquiring a stake in Britain’s Peel Ports group for €1.1 billion and followed that up a month later with an agreement to finance and operate an Austrian toll road. By March it had €2.5 billion of assets under management and tried to add to that by bidding, though ultimately failing, to buy UK waste management company Cory Environmental