Livingstone’s Industrial sector team has advised GESCO AG on its acquisition of 100% of the shares in Sommer & Strassburger GmbH Co. KG. Founded in 1973, Sommer & Strassburger designs and manufactures processing equipment with a focus on the pharmaceutical, food, water technology, and chemical industries.
The Company is positioned as a leading-edge fabricator of process tanks, filter housings and membrane housings through its AseptraLine, FiltraLine and MembraLine brands. In June 2018, the company also unveiled the ResiLine product line, an innovative corrosion-resistant membrane housing made of polymer-coated stainless steel for transporting substances with, e.g. a high salt or chlorine content.
GESCO AG is a German industrial group made up of market and technology leading companies in the capital goods industry, focused on production process, resource, healthcare, infrastructure, and mobility technology. GESCO AG is listed on the Prime Standard market, offering private and institutional investors access to a portfolio of hidden champions among Germany’s industrial SMEs.
Sommer & Strassburger owner Michael Hilpp will remain active in the company as its managing director. With roughly 125 employees, Sommer & Strassburger generates sales of nearly $23mm and, after joining the GESCO Group, the company will become part of the Production Process Technology segment. The acquisition is subject to formal approval by antitrust authorities.
Jochen Hense, Partner at Livingstone Düsseldorf, said: “We are very happy to have successfully advised GESCO AG on yet another transaction. As one of Germany’s hidden industrial champions and a niche market leader, Sommer and Strassburger fit in perfectly with GESCO’s portfolio subsidiaries.”
Michael Hilpp commented: “I have transferred my company into an industrial group to secure its success and continued existence. As an owner focusing on the long-term, GESCO will guarantee my succession and back me actively with its industrial expertise in the next stages of growth. My company will maintain its independence while also benefiting from the support of GESCO AG and the dialogue with the other members of the Group – an ideal constellation in my opinion.”
Christoph Borges, Head of Acquisitions at GESCO, added: “We have worked with the Livingstone team successfully on previous transactions and they have proved invaluable during this process. Their sector knowledge and deep transaction expertise were instrumental in identifying and approaching the target and helping us to efficiently execute a successful transaction.”
Ralph Rumberg, Spokesman of the Executive Board at GESCO AG said: “Over the past 20 years Sommer & Strassburger has systematically evolved from a contract manufacturer to an innovative supplier with its own product range. The company serves demanding customers in attractive markets with high-quality technology. All told, it is a real “hidden champion” that is an excellent match for GESCO Group. We look forward to integrating Sommer & Strassburger rapidly and working with Mr. Hilpp to actively drive the company’s further development.”