The German Livingstone sector team ‘Distressed M&A’ is pleased to announce the successful sale of Stahl- and Plastic-Flanschen Handelsgesellschaft Lorenz GmbH & Co. KG.
The business operates as the newly founded STAHL + PLASTIC FLANGES WITTE GMBH. Founded in 1961 by Eugen Lorenz, Stahl- and Plastic specializes in the wholesale distribution of flanges, pipes, fittings, alloyed and unalloyed steels and related objects. In the production and processing of flanges, turned parts and similar items, the company is mainly supported by the LOMA Steel fittings Vertriebs GmbH & Co. KG. In 2014 the Company generated sales of approximately EUR 14 million.
On 5 July 2016, Stahl- and Plastic-Flanschen Handelsgesellschaft Lorenz GmbH & Co. KG. filed for insolvency proceedings. With the approval of the preliminary insolvency administrator Dr. Marc d’Avoine, Livingstone was mandated by mid-July to initiate a structured M&A process with the aim of identifying an investor.
In due course, Livingstone addressed selected potential investors personally. Finally, the creditors’ committee decided to accept the bid of STAHL + PLASTIC FLANSCHEN WITTE GMBH. Claudia Witte, CEO of STAHL + PLASTIC FLANSCHEN WITTE GMBH has been advised by lawyer Dr. Christoph Bode from Hochhäusler Duwe & Partner Rechtsanwälte / Steuerberater PartG MBB, Oldenburg.
“We are pleased about the successful negotiations and the quick process in which we could find a good solution for all parties,” said lawyer Dr. Christoph Bode. Claudia Witte added: “We are happy to strengthen our Group with the acquisition of Stahl- and Plastic-Flanschen Handelsgesellschaft Lorenz GmbH & Co.KG. In addition to a well-known and reputable company, we were able to gain new valuable employees.”
Dr. Marc d’Avoine, insolvency administrator, said: “Within just 12 weeks, we managed to develop a restructuring solution. We are happy to have found a strong partner who will not only keep the workforce, but also strive to develop the company in the long term.”
Dr. André Schröer, Partner at Livingstone Düsseldorf, commented: “We are very pleased that we could win an experienced buyer for Stahl- and Plastic-Flanschen Handelsgesellschaft Lorenz GmbH & Co. KG. Especially in the light of the continued challenging market conditions in the sector of engineered products and their suppliers, we assume that there will be more upcoming restructuring cases in the next few months.”