Tools and plants for the automotive industry
KEY FACTS AT A GLANCE
DBAG FUND VI
TOTAL OUTPUT1 in €mn
|1||The company’s accounts are drawn up in accordance with the German Commercial Code (HGB); in view of the business model, total output provides a better picture of the company’s business activities within a year than revenues do.|
As of 31 March 2022
of the tools and equipment required are newly purchased by automotive suppliers before the start of production of parts for a new vehicle model
We are investing in a promising company with development potential that, as a supplier of tools and equipment for the automotive supply industry, covers two of our core sectors.
Frimo is one of the world’s leading providers of tools and machinery used to manufacture plastic parts for different applications, such as car dashboards, door trims and arm rests. Its customers are mainly automotive suppliers but it also delivers its products directly to automotive manufacturers. The group has a decentralised structure and is a full-service supplier of tools, machines and automated production lines. Frimo’s product portfolio covers almost the entire process chain of its customers.
As the technology required to manufacture interiors must be updated or adapted for almost every new car model due to changes in design, this means that Frimo’s business is not determined by the number of vehicles produced, but rather by the number of new car models. The company benefits from the trend towards high-quality and individually designed vehicle interiors, which allows automotive manufacturers to set themselves apart from the competition. Apart from the automotive industry (~90 per cent of its revenues), Frimo also serves customers in the aviation and chemical industries.
POTENTIAL FOR DEVELOPMENT
Key drivers for the company’s further development in the coming years are further regional expansion, especially in China, the US and Mexico, as well as growing the service and spare parts business and acquiring supplementary technologies and applications. Frimo operates in a niche market and benefits from its good technology base. DBAG will support the company in doing so with its own expertise and that of the DBAG network, for example in the areas of strategy and organisation. We can rely on our in-depth knowledge of business models in mechanical and plant engineering as well as in global market structures, which has been gained from investing in more than 20 companies in this industry sector in the past 25 years, among other experience.
Xueli Jin joined Deutsche Beteiligungs AG in 2014.
Xueli Jin has nine years of experience in the private-equity and M&A sector. Prior to joining DBAG, she worked for the private equity firm Riverside, where she was involved in executing acquisitions and divestments of mid-market investments and in supporting portfolio companies. She started her career at Morgan Stanley working in M&A.
Xueli Jin holds a degree in Business Administration from the University of Mannheim, and a Master of Science in Financial Economics from the University of Essex.