DEEN
Geographical expansion and enlargement of service business
€78.1mn
Equity investment
€211mn
Revenue 2016
1,300
Employees 2016

KEY FACTS AT A GLANCE

  • Leading technology provider
  • Total output and earnings expected to be well above previous year’s level
  • Further regional growth
  • Focus on expanding the service and spare parts business
  • Diversity of models in the automotive industry a driver for growth

FRIMO GROUP GMBH

Investment by DBAG
DBAG FUND VI

€78.1MN

thereof DBAG

€14.8MN

MANAGEMENT-BUY-OUT
Shareholders:
DBAG FUND VI

76.3%

thereof DBAG

14.5%

other shareholders

23.7%

First invested

NOVEMBER 2016

REVENUES1 in €mn

 

181

 

2014

 

200

 

2015

 

211

 

2016
1The 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 2017

We invested in a very promising company with development potential that, as a provider of tooling and plants to the automotive industry, concurrently covers two of our core sectors.

JANNICK HUNECKE
MANAGING DIRECTOR

TOOLS AND PLANTS FOR THE AUTOMOTIVE INDUSTRY

Frimo is one of the world’s leading providers of tools and machinery used to manufacture plastic parts for different applications. Its customers are mainly automotive suppliers, but it also delivers its products directly to automotive OEMs. The group has a decentral structure and is a full-service supplier of tools, single machines and automated production lines. Frimo’s product portfolio covers almost the entire process chain of its customers.

As the technology required to manufacture car dashboards, door trims or arm rests, for example, has to be updated or at least adapted for almost every new car model due to changes in design, the company’s business is not determined by the number of produced vehicles, but rather by the number of new car models and production locations that build these models. The company benefits from the trend towards high-quality and individually designed vehicle interiors with which automotive manufacturers set themselves apart from the competition. Apart from the automotive industry (85 percent of revenues), Frimo also serves customers in the aviation and chemical industries.

POTENTIAL FOR DEVELOPMENT

Approaches 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 growing niche market and should benefit from its good technology base. DBAG will support the company with its own expertise and that of the DBAG network, for example in the areas of strategy and organisation. To this end, we can rely on our in-depth knowledge of business models in mechanical and plant engineering as well as global market structures, among others, gained from investing in 16 companies in this industry sector in the past 20 years.

2016 FINANCIAL YEAR

Thanks to the continued large number of different models in the automotive industry, Frimo recorded an excellent order intake. Total output and earnings are expected to be well up on the previous year’s level.

OUTLOOK AND OBJECTIVES

DBAG and DBAG Fund VI acquired a majority interest in the company in the fourth quarter of 2016. The focus in 2017 will first be on initiating measures to achieve the development potential agreed on with management at the start of the investment. The company expects demand to remain at a high level and therefore intends to increase its output and earnings.

Responsible team member

Jannick Hunecke
Jannick Hunecke

Managing Director

Jannick Hunecke
Name:
Jannick Hunecke
Investment focus:
Management buyouts
Telephone:
+49 69 95787-131
E-Mail:

Jannick Hunecke

Managing Director

Jannick Hunecke joined Deutsche Beteiligungs AG in 2001 and became a Managing Director in 2008.

He earned a degree in Economics from the University of Münster and took an assignment there as a research assistant before coming to Deutsche Beteiligungs AG.

Jannick Hunecke has more than 16 years of experience in the private-equity sector and on the advisory boards of the portfolio companies he supports. He has a wealth of knowledge in the sectors of industrial services, industrial components and mechanical and plant engineering. The most successful transactions DBAG entered into that he led are HT Engineering and MCE. He was also responsible for the development of Broetje-Automation.

Current portfolio companies

Silbitz Group GmbH Gienanth GmbH Frimo Group GmbH

Former portfolio companies

Jannick Hunecke

Managing Director

+49 69 95787-131
jannick.hunecke@dbag.de