Anti-trust authorities clear Grammer AG’s acquisition of Toledo Molding & Die
Germany-based Grammer AG, a manufacturer of interior automotive components announced it has completed the acquisition of the U.S. automotive components supplier TMD Toledo Molding & Die Inc. The US$ 271 million deal includes a production facility in Celaya, Guanajuato.
The transaction has been cleared by the anti-trust authorities and all other regulatory bodies and all closing conditions have been fulfilled. The deal is part of Grammer’s strategy to expand its market position in North America by acquiring access to additional process and production expertise for interior components.
Based on Grammer’s global presence, TMD’s products will also be available outside of the USA in the future and therefore offer additional growth potential in Europe and also in China.
“The acquisition of TMD marks an important component of our long-term strategy. We have found an ideal partner with whom we can enhance our expertise, extend our product range and strengthen our presence in the world’s second largest automotive market,” said Grammer AG CEO Hartmut Müller in a statement. “TMD is the largest acquisition in Grammer’s history and an important milestone. Together with the closer collaboration with our strategic partner Ningbo Jifeng, this acquisition means that Grammer will be significantly strengthened in two major growth regions.”
With approximately 1,600 employees at 11 facilities in the United States and Mexico, TMD is one of the leading developers and process specialists for thermoplastic solutions in the Northern American automotive market. At the same time, it is equipped with its own tool engineering operations.
TMD primarily engineers and produces interior components for visible and non-visible applications for the automotive industry.
According to preliminary figures, TMD Group generated revenues of more than US$ 300 million in 2017.
The Celaya facility started operations in 2015 with a US$ 26 million investment. Located in the Amistad industrial park, the plant employs more than 300 workers that manufacture interior parts and air & fluid systems for General Motors, Ford, Nissan and Honda, among other original equipment manufacturers (OEMs). The site has a production capacity of more than 80 million parts per year.
Located in Amberg, Germany, Grammer AG specializes in the development and production of components and systems for automotive interiors as well as suspended driver and passenger seats for onroad and offroad vehicles.
The German manufacturer also owns two manufacturing plants in Mexico. Located in the states of Queretaro and Tlaxcala, the facilities build armrest and headrest for premium-segment automakers as well as center consoles.
According to the company, revenue from those two plants exceeded US$ 174 million in 2015, topping the previous year’s record by about 15%, while new-business orders also reached a record US$ 650 million.