Carlyle Invests €14 Million in Fennel Technologies AG

London – Global private equity firm The Carlyle Group has today agreed to invest €14 million for a share of the equity of Fennel Technologies AG, a leading supplier of metal and plastic components for the automotive sector. The transaction is being made through the Carlyle Europe Venture Partners fund.

The venture capital investment will be used to fund working capital and two acquisitions for Fennel Technologies, Heinze-Technik which makes injection moulding tools and DGTH which manufactures die cast zinc components.

Fennel Technologies AG is based in Loehne, Germany. It is establishing itself as a high-growth key supplier to the automotive industry, designing and producing high quality metal and plastic parts and assemblies for car interiors. The company has 230 employees and after the acquisitions will have three operational divisions covering the manufacture of tools, plastic parts and metal parts.

The company was founded by Bernd Fennel in August 2002 and plans to generate around €30 million in 2003 of sales to leading car manufacturers and suppliers.

“We are very pleased to be investing in Fennel Technologies, and look forward to building on our partnership with the management team. With this cash injection, and through continuing to develop the highest quality products, Fennel can maintain and significantly grow its leading market position,” said Dominik Winau, director, The Carlyle Group. The Carlyle Group has extensive experience in the automotive sector, particularly in Germany, with investments in automotive companies including Honsel International Technologies, Edscha AG, and Beru Group.

“This is a great example of the deals we are now doing within Carlyle Europe Venture Partners. The company has strong growth, solid sales figures, and an experienced management team,” said Wolfgang Hanrieder, managing director, The Carlyle Group.

“Our vision is to broaden the scope of our products, and through these acquisitions we can consolidate our position as a reliable source of a range of high-quality metal and plastic components and assemblies. We are delighted to have The Carlyle Group as a partner, especially because of its in-depth knowledge of the automotive industry and global footprint,” said Hartmut Wachs, CEO, Fennel Technologies AG.

This is the third investment in Germany by Carlyle Europe Venture Partners, and the first into the automotive sector.

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