Private equity firm The Gores Group has completed the acquisition of The Hay Group, one of the leading European manufacturers of high precision forged and machined components for engines, gearboxes and axles for the automotive, commercial vehicle and bearing industries. Terms of the transaction have not been disclosed.
Founded in 1925, The Hay Group has nearly 1,600 employees between its three German manufacturing operations sites. Part of the strategy under the new ownership will be to expand The Hay Group’s operations into Asia to meet the demands and requirements of its customers.
Fernando Goni, Managing Director of The Gores Group, says: "We are delighted to close this transaction. The Hay Group provides The Gores Group with a tremendous opportunity to expand upon our current automotive supplier industry holdings, particularly in the provision of strategic products to key German vehicle manufacturers and other tier I suppliers. We are delighted to continue to work with Prof Dr Gottschalk and his team in taking the company into the next phase of development."
Gottschalk (pictured), Chairman of The Hay Group and Managing Partner of the consulting firm AutoValue GmbH, says: "We are very proud to have succeeded in restoring Hay’s operating performance and look forward to transforming the company to an even higher level of performing. The strong capital base of The Gores Group will help us secure Hay’s future growth and expansion into Asia."
Goni, says: "The acquisition of The Hay Group confirms our already strong position in Europe, as reflected by our most recent investments in Mexx, Sagem Communications, Siemens Enterprise Communications and Vincotech."
