ContactContact
Diversity of models and shorter life cycles as a driver for growth
€102.4mn
Equity investment
€160mn
TOTAL OUTPUT 2020 (preliminary)
1,124
Employees 2020

KEY FACTS AT A GLANCE

  • Diversity of models and shorter life cycles with higher quality requirements in the automotive industry as a driver for growth
  • Tense market environment due to geopolitical uncertainties and volatility in the automotive industry
  • Total output expected to be on the previous year’s level

FRIMO

Investment by DBAG
DBAG FUND VI

€102.4mn

DBAG's Interest

€19.5MN

MANAGEMENT BUYOUT

MAJORITY
INVESTMENT OF
DBAG FUND VI

First invested

NOVEMBER 2016

TOTAL OUTPUT1 in €mn

 

201

 

2018

 

203

 

2019

 

160

 

2020 (preliminary)
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 30 June 2021

90

per cent

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.

JANNICK HUNECKE
MEMBER OF THE BOARD OF MANAGEMENT

PROFILE

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.

FINANCIAL YEAR 2019

The automotive industry as Frimo’s key end market is facing some geopolitical uncertainties and hence higher volatility. In the wake of the exhaust gas scandal, for instance, numerous automobile manufacturers have postponed the production of new models or even completely suspended such plans. Given these developments, Frimo’s revenues are expected to remain on previous year’s level.

OUTLOOK AND OBJECTIVES

In response to the tense market situation, Frimo is pressing ahead with the operational improvements launched at the start of investment. In addition, further approaches to optimise the cost base and production processes were implemented with full effects expected to become effective in 2020 and thereafter.

Responsible team member

Jannick Hunecke
Jannick Hunecke

Member of the Board of Management

Jannick Hunecke
Ressorts:
Investment Business and Investment Process, Investment Team Development

Jannick Hunecke

Member of the Board of Management

Born in 1974, Member of the Board of Management since March 2021; appointed until end of February 2026.

Jannick Hunecke joined Deutsche Beteiligungs AG in 2001 and became a Managing Director in 2008. He has 20 years of experience in the private equity business in Germany’s mid-market sector.

Jannick Hunecke holds a degree in Business Administration from the University of Munster.

Jannick Hunecke

Member of the Board of Management