Brookfield Asset Management, the investment vehicle behind Canary Wharf, has launched a bid for transport giant Arriva.
It is understood that the German rail giant is seeking between £4bn-£4.5bn for Arriva, which was put up for sale by owner Deutsche Bahn in March in a bid to reduce its €20bn debt pile.
Brookfield is reported to be working with Goldman Sachs and I Squared Capital on the bid, the Sunday Telegraph reported.
Other bidders vying for Arriva, which operates the struggling Northern franchise as well as London Overground, include the Carlyle Group, French firm Keolis and Apollo Global Management.
A spokesperson for Deutsche Bahn said: “We have started a dual track process and explore the option of selling up to 100 per cent of the shares in Arriva to one or more investors, and the option of an IPO. The process started off well with many parties having expressed their interest. As the dual track process continues over the next months we do expect more substantiated feedback.”
Deutsche Bahn is expected to announce the winner bidder later in the autumn.
Deutsche Bahn bought Arriva for just £1.5bn in 2010, when the firm had revenues of £1.7bn.
A spokesperson for Carlyle declined to comment. Goldman Sachs declined to comment. The other bidders did not respond to requests for comment.