Gleiss Lutz advises Rheinmetall on sale of large-bore piston business
As part of its strategic realignment, the Düsseldorf-based Rheinmetall Group is selling its large-bore piston production activities to the Swedish Koncentra Verkstads AB (KVAB) group of companies. Rheinmetall and KVAB signed a corresponding agreement on 24 October 2022.
The share purchase agreement covers Rheinmetall's large-bore pistons business with three production plants in Germany, the United States and China, as well as the steel pistons line of its small-bore pistons plant in Marinette, Wisconsin, USA. The closing of the contract is still subject to the usual regulatory reservations and is targeted for 31 December 2022. The sale of Rheinmetall's large-bore pistons business is part of the Group's reorientation which commenced in 2021 and aims, among other things, to reduce its earlier business in products relating to internal combustion engines.
KVAB is a manufacturing group headquartered in Gothenburg, Sweden. Its companies have locations in Sweden, Finland, Estonia, France, the Czech Republic and China. KVAB has been familiar with the international large bore engine market for several years and is active in this market itself. It plans to make a long-term commitment to the large-bore pistons market.
The following team of Gleiss Lutz lawyers, led by Dr. Thomas Menke und Dr. Alexander Schwarz (both partners, M&A, Düsseldorf), advised Rheinmetall on this transaction: Dr. Reimund von der Höh, Dr. Fabian Mumme and Kai Zimutta (all M&A, Düsseldorf), Dr. Matthias Karl (partner), Dr. Philipp Pichler (counsel, both Merger Control, Stuttgart,) Dr. Jacob von Andreae (partner), Aylin Hoffs, Matthias Hahn, Vivien Etzkorn (all Public Law, Düsseldorf), Dr. Steffen Krieger (partner, Employment, Düsseldorf), Dr. Jens Günther (partner), Dr. Matthias Böglmüller (both Pensions, Munich), Dr. Adrian Bingel (partner), Oliver Wolf, Teresa Link (all Corporate and Capital Markets, Stuttgart), Dr. Ocka Stumm (partner), Dr. Dominik Monz, (all Tax, Frankfurt), Dr. Alexander Molle (partner), Jan Hinrichs (both IP/IT, Berlin), Konrad Discher (counsel), Maximilian Leisenheimer (both Real Estate, Frankfurt).