Oetinger is a leading supplier of aluminum casting alloys from aluminum scrap. Particularly in the automotive industry, Oetinger Aluminium has established itself as a key supplier and is a fundamental part of the value chain in the foundry industry. Oetinger alloys can be found in almost all vehicles. In the heart of southern Germany, two plants with approx. 300 employees generate a turnover of approx. € 330m and produce approx. 180,000 t/year of aluminum casting alloys in solid and liquid form.
- Company Name
- Reason for Participation
Carve-out - Dispute between shareholders and bank with subsequent insolvency
- Date of Acquisition
Focus on margins and total cost of ownership
Sustainable growth through new customers and expansion of existing customer relationships
Cost optimization through significant reduction of personnel costs and increase in productivity
Value increasing measures
The two profitable plants were acquired in an asset deal from a larger group of companies. In the acquisition, two 3-year contracts were concluded with the two main OEMs which were contributing to more than 50% of total sales prior to closing to the transaction.
Other key value drivers were the significant reduction of personnel costs with regard to wages and salaries as well as a consistent realignment of the corporate philosophy from output to total cost of ownership principles and a clear focus on margins.
Additionally, both three-year contracts were extended for additional three years.
The operating result could be increased by approximately € 12m p.a. during the holding period.