ABC Technologies buying German auto parts molder Karl Etzel
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Etzel is a Tier 1 and Tier 2 supplier that manufactures interior and exterior parts for the German luxury auto market.
In a move that expands its footprint in Europe, Toronto-based automotive parts maker ABC Technologies Holdings Inc. is acquiring German Tier 1 and Tier 2 supplier Karl Etzel GmbH for approximately US$95 million.
Based in Muhlacker, Germany, Etzel was founded in 1976 and injection molds parts for the German luxury OEM market.
“Etzel’s expertise in injection molding plastics for OEM interiors and exteriors will grow ABC’s product suite in the European market as well as provide greater diversification to German-based global OEMs,” ABC officials said in a Jan. 21 news release.
For the period ended November 2021, Etzel generated approximately US$100 million in revenue.
“The acquisition of Etzel will provide ABC the opportunity to meaningfully expand our scale in Europe while entering the interior products space on the continent with a strong customer base of luxury OEMs. These OEMs have looked to Etzel to provide global solutions, which will be enabled with ABCs existing footprint,” said Todd Sheppelman, president and CEO of ABC Technologies. “Etzel’s management team has built a solid European foundation from which to grow with its existing customers, especially in North America, as well as giving ABC a base upon which to cross-sell its existing product suite.”
“Etzel and its employees are excited to join ABC Technologies, which will allow us to reach a new level of growth through a more global organization,” said Etzel’s president and CEO, Andreas Schürrle. “ABC’s leadership position in the injection molding and lightweighting market will enable Etzel to expand in North America, where our German OEM customers have significant manufacturing presence, but where we have thus far not been able to serve them. We see this as a great match for Etzel, ABC and our customers.”
The acquisition is expected to close in the first quarter of 2022.