Successful acquisition of PWK Group - Deloitte Legal advises Winning Group on acquisition of automotive supplier
The Deloitte Legal team, led by Corporate/M&A partner Dirk Hänisch (Düsseldorf) and employment law partner Dr. Charlotte Sander (Hannover), has advised the Czech Winning Group a.s. on the acquisition of the business operations of the insolvent PWK Group. This is the third successful acquisition this year in which Deloitte has assisted.
Following a massive slump in sales caused by the global chip crisis, the PWK Group companies (Presswerk Krefeld GmbH & Co. KG and PWK IBEX GmbH) were forced to file for insolvency in self-administration in October 2021. The traditional company, whose history dates back to 1898, manufactures and designs components and special parts for the automotive industry with the production steps of cold forming and further processing at four locations (Krefeld, Schönbrunn, Zittau, and Gelenau) with around 500 employees.
The PWK Group succeeded in working out a sustainable solution for the continuation of the company and the preservation of the majority of jobs. It was possible to continue business operations on a provisional basis by concluding a continuation agreement with the customers. With the takeover of the necessary assets of the PWK Group companies by Winning Group a.s., the long-term continuation of the business is now assured. The takeover is still subject to the usual regulatory approvals.
The acquisition is part of Winning Group's strategy to build a diversified multi-technology component supplier in the automotive supply industry, offering its customers high-quality components in eMobility-ready market segments. The concept envisages the retention of the Krefeld site and of around 115 jobs at the Gelenau site. The plants in Zittau and Schönbrunn, however, will have to be closed.
Deloitte Legal regularly advises Winning Group on M&A transactions, most recently on the acquisition of automotive supplier Räuchle, which was completed in early May 2022, and the acquisition of automotive suppliers Linden GmbH and Sächsische Metall- und Kunststoffveredelungs GmbH (SMK), which was completed in early February 2022.
Advisor Winning Group:
Deloitte Legal: Dirk Hänisch (Lead, Corporate/M&A, Düsseldorf), Dr. Charlotte Sander (Co-Lead), Claus Wilker (both Labor Law, Hannover), Horst Heinzl (Corporate/M&A Düsseldorf), Katharina Zickermann (Competition, Hamburg)
About Winning Group:
Winning Group a.s. from Brno, Czech Republic, is an industrial group of companies focused on "old economy" markets with the goal of creating leading companies in the automotive and construction industries. Founded in 2016, the group has grown organically and through several acquisitions in recent years to a total turnover of group companies and joint ventures of 400 million euros and employs 1,900 dedicated people worldwide.