European private equity firm Montagu Private Equity has announced plans to sell Stabilus, a German-based manufacturer of gas springs, to funds managed by Paine & Partners, a San Franci
European private equity firm Montagu Private Equity has announced plans to sell Stabilus, a German-based manufacturer of gas springs, to funds managed by Paine & Partners, a San Francisco- and New York-based private equity firm. The transaction, which is subject to antitrust approval, is expected to close in April; its terms have not been disclosed.
Stabilus, headquartered in Koblenz, develops, produces and distributes gas springs, hydraulic vibration dampers, hydraulic doorstays and automatic opening and closing systems for doors, trunk lids and tailgates.
The company employs some 3,300 employees people, including 1,600 in Germany, has production sites in 11 countries, and posted sales of just under EUR400m for the past financial year. Its customers include auto manufacturers and industrial enterprises such as manufacturers of agricultural machinery, household appliances and office furniture.
The Montagu funds acquired Stabilus from Demag Holding following a management buy-out in 2004. Since the acquisition by Montagu, Stabilus has repositioned its production network, with expanded production facilities and new factories.
‘During the past three-and-a-half years Montagu has been a valued partner to our significant international expansion and the achievement of our growth objectives,’ says Stabilus chief executive Udo Wendland.
‘We are excited to continue this successful trajectory with our new partners at Paine & Partners. We have a shared vision for how to further strengthen our global leading core business and target complementary new growth initiatives.’
Nico Helling, director of Montagu Private Equity in Germany, says: ‘Stabilus was a highly encouraging investment for the Montagu funds. We are convinced that the business will continue to see outstanding development under the stewardship of its future owners.’
Kevin Schwartz, a founding partner of Paine & Partners, says: ‘We are pleased to have become a partner to the Stabilus management and employee teams who, together with Montagu, have built a solid business foundation.
‘Stabilus has a well-established reputation and heritage in the manufacturing segments in which it operates and compelling future prospects. We look forward to helping Stabilus continue to grow and to create new opportunities for its business, its employees and customers worldwide.’
Headquartered in London with offices in Düsseldorf, Manchester, Paris and Stockholm, Montagu has concluded more than 400 private equity transactions since its establishment in 1968 and has been active in the German-speaking region of Europe since the early 1990s.
Montagu focuses on management buyouts involving companies operating in stable niche markets with a transaction volume ranging from EUR100m to EUR1bn, and has more than EUR3bn in funds and assets under management.
Paine & Partners provides equity capital for management buyouts, going private transactions, and company expansion and growth programmes, exclusively through friendly transactions developed in co-operation with a company’s management, board of directors and shareholders.
