Eric Prince, the founder of the private security firm formerly known as Blackwater International, has reached a deal to sell the company to a small group of investors with close ties to him, the New York Times reported Friday.
The Times said the sale came after the State Department threatened to stop awarding contracts to the company, now called Xie Services, as long as it was owned by Prince, a former Navy SEAL.
The company, once the best known security contractor in Iraq and Afghanistan, has come under pressure since Blackwater guards were accused of killing 17 civilians in Baghdad in 2007.
Prince put the company up for sale in June and moved his family to Abu Dhabi.
The Times said people involved in the negotiations said the sale was worth 200 million dollars, but Prince will receive payments into the future depending on the company's financial performance.
A lead investor is Jason De Yonker of Forte Capital Advisors, who helped Prince develop a business plan after he founded the company in 1997, and negotiated its first training contracts.
© AFP 2014