Takeover of SaarGummi Group by CQLT nearing completion
Saarbrücken. The sales process involving the beleaguered automotive supplier SaarGummi has reached an important milestone, according to reports by the two appointed insolvency administrators. With effect 28 April 2011, the participating banks approved the purchase agreement concluded between the insolvency administrators and the Chinese firm Chongqing Light Industry & Textile Holding Group Co. Ltd (CQLT). As a consequence, CQLT provided the stipulated security and made a substantial payment as an initial purchase price instalment.
Now that the essential underlying conditions have been met so as to permit the sale of SaarGummi to CQLT, the two insolvency administrators will discontinue sales discussions with other potential investors. The sale covers both SaarGummi Deutschland GmbH and the entire SaarGummi Group. In addition, as a result of the transaction, most of the jobs at the locations in Germany will be preserved, and the Group will be kept intact.
CQLT
Chongqing Light Industry & Textile Holding Group Co. Ltd is one of China’s largest state-owned companies, with revenues of approximately USD 1.9 billion and more than 24 locations worldwide. Its principal line of business is parts production for the industrial and automotive sectors. The company is headquartered in Chongqing, China. Since 2006, the Chinese market has been serviced through a joint venture between CQLT and SaarGummi.
SaarGummi Group
The SaarGummi Group is one of the world’s leading manufacturers of sealing sys-tems, primarily for automotive applications. The rubber-processing company is de-velopment partner and supplier for the automotive industry in Europe, North and South America, and Asia. The Group maintains production facilities in Germany, the Czech Republic, Slovakia, Spain, India, Brazil, China, and the US. Business consists mainly of the development and manufacture of body seals and the production of associated tools. The Group also manufactures mouldings, which are used in the hydraulics, safety equipment, and shoe industries. In addition, the Group supplies construction companies with sealing systems for windows, facades, and roofs. In 2010 SaarGummi employed around 4,400 staff worldwide at 23 companies with 12 production sites and generated revenues of roughly EUR 360 million, of which EUR 320 million is attributable to the automotive sector.
Press spokesman: Nico Krespach
Email: NKrespach@schubra.de, Phone: 07841/708-0
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Schultze & Braun Rechtsanwaltsgesellschaft für Insolvenzverwaltung mbH http://www.schubra.de, Email: mail@schubra.de |