Global automotive supplier of fuel filler tube assemblies divestiture of manufacturing division in Korea

Client description: Automotive supplier of fuel filler tube assemblies

Practice area: Mergers & acquisitions

Geographic scope: Korea, US, Canada, Germany, Switzerland, Japan

Industries involved: Automotive

Services applied: Mergers & Acquisitions, Sales & divestitures

Business challenge: Company had invested in a start-up manufacturing operation to supply fuel filler tubes to a leading global automotive OEM. Filler tubes were outside the company’s main core competencies and they sought a buyer or joint venture partner with the necessary manufacturing technology.

Methodologies: Geo Strategy Partners’ proprietary process for company sales involving the creation of a blind auction; researched the global market, identified a long-list of potential suitors, created a confidential information memorandum including financial pro forma.

The result: Negotiated a 60/40 joint venture with the buying company supplying needed technology, manufacturing knowhow, and capital.