(Bloomberg) -- Banks are lining up around €1.5 billion ($1.6 billion) of debt financing to back a potential buyout of Austrian packaging firm Constantia Flexibles as owner Wendel SE kicks off a sale process.

French investment group Wendel is working with the US advisory firm Evercore Inc. on the process, after considering putting the company up for sale late last year, said people familiar with the matter, who asked not to be identified because the talks are private. Information memorandums have been sent out in the past couple of weeks.

A long roster of potential buyers are expected to study the business such as Apollo Global Management Inc., Bain Capital, Clayton Dubilier & Rice, Onex Corp and Lone Star, although it is still early in the process and any of these firms may decide not to bid, the people said. 

A representative for Wendel declined to comment. Spokespeople for Constantia and Evercore as well as the firms named as possible bidders didn’t immediately respond to a request for comment.

Lenders may be keen to be involved in a new buy-out financing, after mergers and acquisitions have been stuck at depressed levels since Russia’s invasion of Ukraine last year. With calmer market conditions prevailing in recent weeks, banks have renewed appetite for risk after clearing hung debt on their books from previous deals.

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Bankers are considering providing up to five times leverage to back a sale, which would equate to around €1.5 billion, based on Constantia Flexible’s earnings before interest, taxes, depreciation and amortization of around €290 million, the people said.

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