Blackstone Inc and Japanese industrial equipment maker Yanmar Holdings Co are exploring potential bids for a majority stake in Volkswagen AG’s heavy diesel engine business, Everllence SE, according to a report by Bloomberg citing unnamed people familiar with the matter.
Brookfield Asset Management has also been reviewing the unit, which produces ship engines and power-plant turbines, while Turkish energy firm Karpowership, a major client, could participate either directly or alongside private equity partners. EQT AB and CVC Capital Partners have previously expressed interest in the division.
The Volkswagen subsidiary could be valued at €5bn–€6bn, with first-round bids expected by 12 February. Everllence generated €337m in EBIT on €4.3bn in revenues in 2024. Deliberations remain preliminary, and no decision to submit offers has been confirmed.
