Volkswagen has agreed to sell its diesel engine unit Everllence to Bain Capital in a deal generating proceeds of about €7.4 billion ($8.4 billion), beating out other private equity firms including one that had joined forces with Volkswagen's top shareholders. The leveraged buyout deal is expected to be one of European industry's biggest carve-outs this year. Volkswagen has been seeking to free up cash at a time of deep cuts across the group's automotive operations. A leveraged buyout is a deal in which a company is acquired largely with borrowed money. "Leaner structures and processes will give Everllence the opportunity to achieve further growth in attractive markets such as data centers, the energy sector and shipping. At the same time, it will allow us to focus even more strongly on our core business," said Volkswagen CEO Oliver Blume.