Atar Capital Announces Solero Technologies Signs Agreement to Acquire Kendrion’s Automotive Business

Atar Capital, a Los Angeles-based global private investment firm, announced today that Solero Technologies has signed an agreement with Kendrion (KENDR.AS) to acquire Kendrion’s automotive business in Europe and the United States. Solero Technologies will effectuate the transaction with support from Atar Capital.

The transaction is expected to close in Q3 2024, subject to customary conditions. The transaction has an enterprise value of roughly USD 70 million (EUR 65 million). The revenue associated with the divestment is around USD 225.5 million (EUR 210 million), with TTM EBITDA of approximately USD 24.1 million (EUR 22.5 million) and represents approximately 80% of Kendrion’s automotive business.

Solero Technologies is a leading global supplier of transmission solenoids, engine solenoids, stop-start accumulators, and hydraulic control modules with recent development and launches of active suspension and electrification components. It has served the automotive industry for more than 50 years with a reputation for its quality, precision, and safety. Kendrion’s automotive business designs, manufactures, and delivers intelligent actuators that help advance the global push towards electrification and sustainable energy.

“With a commitment to shaping the future of mobility that prioritizes both people and the environment, the acquisition of Kendrion’s automotive business will further expand Atar’s purpose-driven portfolio into the automotive industry,” said Cyrus Nikou, founder of Atar Capital. “We’re confident this solidifies Solero’s leadership position in the space and we look forward to collaborating with the Kendrion team on the transition.”

“Kendrion’s automotive product portfolio is complementary and well aligned with Solero Technologies’ inorganic growth strategy,” said Dr. Donald James, CEO of Solero Technologies. “The combined company will be well-positioned for capitalizing on global opportunities that support the industry transformation to electrification and sustainability.”

To learn more about Solero Technologies, please visit the company’s website here.

About Atar Capital

Atar Capital is a global private investment firm that acquires a wide range of lower middle market businesses exhibiting opportunities for growth, revitalization and significant value creation. Atar Capital’s principals have collectively completed 90 private equity transactions across 18 countries worldwide.

Atar Capital’s combination of operational expertise, industry knowledge and investment experience provide a unique edge in creating value and working as a true partner with its portfolio companies. The firm assists in activities ranging from growing the business to improving operations and financial performance, leveraging all available resources and talent within Atar’s leadership team, as well as its bench of seasoned senior advisors with deep sector and functional expertise. For more information, please visit www.atarcapital.com.

About Solero Technologies

Solero Technologies is a leading global supplier of transmission solenoids, engine solenoids, stop-start accumulators, and hydraulic control modules with recent development and launches of active suspension and electrification components. The company’s capabilities include advanced design, prototyping, development, and manufacturing excellence combined with a strong intellectual property portfolio across all product categories. Solero Technologies has built an acclaimed reputation for developing and delivering high quality solenoid products to automotive OEMs, the aftermarket and other industrial sectors. The company's industry-leading solenoid products are critical to the optimal performance of vehicles today and tomorrow. Today, the company operates from its manufacturing facility in Water Valley, Mississippi, along with related sales and engineering operations in Detroit. Visit www.solerotechnologies.com for more information.

About Kendrion N.V.

Kendrion designs, manufactures, and delivers intelligent actuators that help advance the global push towards electrification and sustainable energy. Today, these compact and connected actuators are used in wind power, robots, factory automation, electric vehicles, energy distribution and industrial heating processes, supporting the company’s OEM customers around the world in transitioning to safer and cleaner forms of energy.

As a technology pioneer and innovator, building on a foundation of over one hundred years of experience, Kendrion is driven by a desire to explore creative solutions for the engineering challenges of tomorrow. The company takes broad responsibility for how they source, manufacture, and conduct business. Sustainable business practices are integrated in the company’s processes and embedded in their culture. Rooted in Germany, headquartered in the Netherlands, and listed on the Amsterdam stock exchange, the company’s footprint extends across Europe to the Americas and Asia.

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