Mummert & Company exclusively advises on the acquisition of the automotive supplier ICT GmbH through DONGKOOK IND. CO., Korea

Mummert & Company, an independent corporate finance advisor based in Munich, exclusively advised the insolvency administrator of Innovative Components Technologies (ICT) GmbH, Lawyer Stephan Hoeltershinken, the insolvency administrator Hoeltershinken & Kollegen (Minden), on the sale within the scope of a restructuring.

From the press information of insolvency administrator Hoeltershinken & Kollegen:

The future of the automotive supplier Innovative Components Technologies GmbH is secured. Stephan Hoeltershinken, court-ordered insolvency administrator, informed today that the Korean group Dongkook Ind. Co. has signed a contract for the acquisition of the company as of 31 August 2013. The board and meeting of creditors have accepted the concept concordantly of the insolvency administrator in court-ordered meetings on the 29 July 2013 and agreed upon the sale of the company. “ICT has a new owner. The future of the company is ensured“, said Hoeltershinken in two employee meetings.

The new owner, which has been introduced to the work council already during the negotiations, will be introduced to the staff in the near future as well, said Hoeltershinken. The company will be active under the name KDK Automotive GmbH. The purchase price is highly confidential and will not be disclosed at this moment. Dongkook Ind. Co. is a group with worldwide activities cooperating with several automotive producers in Asia for years. Before the successful signing, there was a multiple-stage M&A process under the direction of lawyer Stephan Hoeltershinken with the goal of finding a suitable investor.

In cooperation with the internationally active corporate finance advisor Mummert & Company, 15 potential investors were identified. At the completion of the negotiations with Dongkook Ind. Co., which were carried out in Germany as well as in Korea, Hoeltershinken said: “Dongkook Ind. Co. was always the partner we wanted to collaborate with. Dongkook knows the industry and is able to value the high know-how of ICT correctly.” Scott Park, President & CEO of Dongkook Ind. Co., said: “The company is a very good addition to our portfolio, now we have access to the European market. It is great support for our growth goals. We are happy to work with the employees of the company, the clients and all business partners.”

The successful restructuring of the company was based on very close cooperation between customers, suppliers and business partners. “We wanted full transparency from the beginning and looked for the dialogue with all involved parties. This led to the highest possible confidence enabling the success of the restructuring”, said Hoeltershinken. “Based on this confidence, it was possible to continue the operating business permanently and win several new orders. No order was cancelled.” ICT works for various automotive manufacturers in Germany and Europe. Hoeltershinken informed regularly customers and suppliers within the board of creditors about the negotiations. “The customers are totally satisfied with the result of the negotiations, also due to the fact that they know the new owner from cooperation in Asia.”

Hoeltershinken also informed the employees at the locations Waechtersbach and Lennestadt that the secured future of the company, since application as of 10 July 2012, was carried out without job cutting. Even the abandonment of salary items or vacation regulations was not subject within the restructuring process, according to Hoeltershinken. The ICT locations Tachov (Czech Republic) and Borja (Spain) are not impacted by the insolvency and will be acquired by Dongkook Ind. Co. as well.

Dirk Liedtke, Managing Partner at Mummert & Company, added: “This transaction is noteworthy in all intents and purposes; on the one hand it is notable that a new South Korean company enters the German premium automotive market on the other hand this transaction shows that even in a difficult market environment as is in the plastic supplier industry, it is possible to solve an insolvency case with this size sustainably without huge impacts for the work force. We are very excited that Mummert & Company again got successfully involved in the environment of restructuring cases within the automotive sector.”

SHORT PROFILE MUMMERT & COMPANY CORPORATE FINANCE GMBH

Mummert & Company is a leading corporate finance advisor, with particular expertise in the sectors High-Tech, Industrial Technologies, Life Sciences, Energy and Services. With offices in Munich, Vienna, London and Princeton (USA), Mummert & Company provides advisory services for the purchase or sale of companies or shareholdings (mergers & acquisitions), for the raising of equity capital (venture capital, private equity or the capital markets) and debt capital, for restructurings, for valuations (fairness opinions) as well as for the privatization of government-owned enterprises.

Detailed information about Mummert & Company is available at
www.mummertcompany.com

SHORT PROFILE ICT GMBH

Innovative Components Technologies (ICT) GmbH is an innovative supplier for plastic components with locations in Germany, Spain, and Czech Republic. ICT manufactures single plastic components as well as complex devices. Based on its certified and audited processes, ICT supplies not only companies in the automotive sector – with the focus on the production of brackets, luggage compartment systems, door systems and other functional parts of the interior – but also producing companies of other industries. In the beginning of 2012, ICT resulted from the Key Plastics Group. The company has around 1,300 employees and sales of more than 200 million Euros per year.
www.ict-tech.eu

SHORT PROFILE DONGKOOK IND. CO. LTD.

Dongkook Ind Co Ltd, incorporated in 1955, has been active in automotive plastic parts industry in Korea and China. It belongs to KB International Group, where member companies are active, among others, in automotive air conditioning and engine cooling businesses, metal fabrication and specialized steel pipes. The Group's combined sales were about 1.5 billion Euros in 2012.
www.dongkook-ind.co.kr

SHORT PROFILE HOELTERSHINKEN & KOLLEGEN

The insolvency administrator Hoeltershinken & Kollegen is active at the locations Minden, Bielefeld, Schwerin, Hannover and Hameln. The chancellery has extensive experience in insolvency administration and restructuring of companies, and has been present in those areas for more than 15 years. Other core areas are company law, employment law, tax law, commercial and criminal law.
www.sh-inso.de

Silke Roth
Mummert & Company Corporate Finance GmbH
Prinzregentenstr. 48
80538 Munich
Tel. +49 (0)89 2323 7770
roth@mummertcompany.com

This release was published on openPR.