The restructuring procedure for Neumayer Tekfor Group under the new "Act on further facilitating the reorganization of enterprises" that commenced in September 2012 with the obtaining of protective covers under insolvency law has been successfully concluded last Friday. Following the affirmation of the insolvency plans at the beginning of May, Offenburg Insolvency Court rescinded the insolvency proceedings on the assets of Neumayer Tekfor's four operative German companies. After the swift conclusion of the insolvency, the shares in the group were definitively transferred to Amtek Auto in the closing.
Amtek Auto had already announced in March of last year to take over Neumayer Tekfor (see our Press Release of March 13, 2013). The path to taking over the group was subsequently cleared by the creditors agreeing to the debt rescheduling and reorganization through insolvency plans.
Neumayer Tekfor has been one of the largest German cases of reorganization in the protective cover procedure to date. By rescinding the insolvency proceedings and closing the M&A transaction, now one of the most well-known German reorganization cases treated under the insolvency law reformed by the Act on further facilitating the reorganization of enterprises, came to a swift and successful conclusion. Heuking Kühn Lüer Wojtek led the global automotive suppliers as legal advisors and representatives reliably through the crisis.
Prof. Dr. Georg Streit, lead lawyer in the protective cover and insolvency plan proceedings, is relieved: "Eight and a half months after obtaining the protective covers in September 2012 and six months after opening the proceedings, Neumayer Tekfor Group left the insolvency proceedings and emerged with renewed strength from the reorganization situation on the side of an important strategic partner. The new insolvency law stood the test in excellent manner. Particularly satisfying is the preservation of all German jobs."
Counsel to Neumayer Tekfor Group:
Heuking Kühn Lüer Wojtek, Munich
Prof. Dr. Georg Streit (Lead and Lead Reorganization, Munich),
Dr. Mathias Schröder, LL.M. (Lead M&A, Munich),
Dr. Fabian Bürk, LL.M.,
Dr. Stephan Degen, both Reorganization.
In ten plants in Germany, Italy, the USA, Brazil and India, Neumayer Tekfor Group develops and manufactures pioneering solutions for transmissions, engines, drivelines and automotive special applications.
Amtek Auto last reported revenue of US-$1.3 billion. The family-owned company is listed at the Mumbai stock exchange. Amtek Auto will fully take over Neumayer Tekfor with 3,300 employees.