DEEN
Geographical expansion and enlargement of service business
€78.1mn
Equity investment
€237mn
Revenue 2017 (exp.)
1,300
Employees 2017

KEY FACTS AT A GLANCE

  • Diversity of models in the automotive industry as a driver for growth
  • A focus on further international growth, expansion of the service and spare parts business
  • Overall performance expected to be well above previous year’s value

FRIMO GROUP GMBH

Investment by DBAG
DBAG FUND VI

€78.1MN

DBAG's Interest

€14.8MN

MANAGEMENT BUYOUT
Shareholders:
DBAG FUND VI

76.3%

EQUITY SHARE BELONGING TO DBAG

14.5%

other shareholders

23.7%

First invested

NOVEMBER 2016

REVENUES1 in €mn

 

200

 

2015

 

211

 

2016

 

237

 

2017 (EXP.)
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 September 2017

12

percent

was the average annual increase in Frimo’s overall performance in the period from 2013 to 2016

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

PROFILE

Frimo is one of the world’s leading providers of tools and machinery used to manufacture plastic parts for car interiors, for example 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 (85 percent 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 growing niche market and benefits from its good technology base. Deutsche Beteiligungs AG will support the company in the areas of strategy and organisation, in particular. To this end, 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 16 companies in this industry sector in the past 20 years, among other experience.

FINANCIAL YEAR 2017

Thanks to the consistently large number of different models in the automotive industry, Frimo once again recorded an excellent order intake in the financial year 2017. As a result, overall performance and earnings are expected to exceed the prior-year values. Frimo took over B+R Steuerungstechnik GmbH in April 2017. As one of the most important customers of B+R to date, Frimo’s acquisition will provide it with key development resources in control technology for its own products.

OUTLOOK AND OBJECTIVES

The measures to realise the development potential agreed on with management at the start of the investment were initiated in the financial year 2017. The main challenge facing Frimo over the next few months will be expanding its production capacities in light of the sustained high order intake. The company has already initiated measures to tackle this issue. It will also be focusing on expanding its service and spare parts business.

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