Specialist interior component supplier, Schenk Plastic Solutions, will be sold to the Indian supplier, Ashok Minda Group.
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Schenk is a medium-sized company based in Esslingen, whose main customer is Mercedes, which accounts for around 60% of the company’s business, according to Automobilwoche.
The company owns a patented process called ‘skinform’ which produces high value interior surfaces at a lower cost than previously possible.
The sale is due to complete by the end of August.
The Indian company hopes to use the company as a platform for expanding its business in Europe nd is its second acquisition here after an injection moulding plant in Pirna, Saxony, bought last year.
Schenk turned over EUR75m last year, making a loss of around EUR6m. Despite the loss the company is positioned to win more business from Mercedes, including head restraint covers on a number of models.
Schenk employs 330 people in Germany and 170 at a plant in the Czech Republic. Ashok Minda Group has 4,000 employees and an annual turnover of EUR345m.
