Alfred Großsteinbeck Werkzeugfabrik GmbH & Co KG ("ALGRO") was founded in 1926 and specialised in the production of locks and fittings as well as hinges, pressed, stamped and drawn parts for the automotive and electrical industries.
The company achieved a turnover of 7 million euros in the 2020 financial year with 30 employees. As a result of the supply chain problems and price increases triggered by the Covid 19 pandemic, the company's turnover, earnings and liquidity have plummeted. In February 2022, the company's management filed an application for insolvency proceedings with the competent local court in Wuppertal.
The responsible provisional insolvency administrator, Dr Jens Schmidt of Runkel Rechtsanwälte, immediately initiated a M&A process. After a structured M&A process lasting just under three months, Dr. Franke GmbH & Co KG (hereinafter "Dr. Franke") was awarded the contract. The company will take over the business operations and the location in Remscheid with 30 employees as part of an asset deal.
Dr. Franke develops, produces and distributes technical and decorative stamped parts, deep-drawn parts, bent parts, flat springs, closures and plastic-coated metal parts made of steel / stainless steel, aluminium and brass. The value added includes the steps of stamping, deep drawing, fine blanking, welding, assembling, coating (subcontracting), lasering, CNC milling, design, toolmaking and prototype construction. Starting from the Solingen site, the company mainly supplies the automotive industry. In addition, the company also supplies customers from the cosmetics, sanitary and construction industries.
TMC Turnaround Management Consult GmbH accompanied the managing partner of Dr. Franke, Mr. Jörg Ramme, in the context of the purchase agreement negotiations through our partner Kai Peppmeier.