HSTEC sold to CHIRON Group
Tuttlingen/ Munich — The shareholders of HSTEC d.d. in Zadar/Croatia, system partner for innovative spindle drive technology for CNC machine tools, for fixtures as well as for spindle services and repair, have sold 90% of their company shares to the CHIRON Group. The company, headquartered in Tuttlingen, Germany, specializes in CNC-controlled vertical milling and mill-turn machining centers as well as turnkey and automation solutions. Proventis Partners and InterCapital were the exclusive advisors to HSTEC on this transaction.
The shareholders of HSTEC, which was founded in 1997, had decided to sell their shares as part of succession planning. With the CHIRON Group, an ideal strategic investor could be found for the company, which can accompany HSTEC in its further growth with a worldwide sales network and high technical competence in machine tool construction. With today’s acquisition of 90 percent of the Croatian HSTEC, the CHIRON Group, headquartered in Tuttlingen, Germany, is consistently pursuing its global growth strategy.
The name HSTEC stands for High Speed Technique, for system competence in the development, design and manufacture of high-speed motor spindles for demanding machining operations. Clamping devices for machine tools and automation solutions complete the portfolio. In addition, HSTEC is a leader in spindle services and repair for its own products and other manufacturers’ spindles.
With this acquisition, the CHIRON Group expands its capacities and strengthens three areas of expertise: the holistic development, production and assembly of the key components motor spindles and turning spindles for the Group’s machining centers. Turnkey projects can be even better designed according to customer specifications with HSTEC’s workholding fixtures. In addition, the CHIRON Group supplements its services worldwide with the area of repair, overhaul and optimization of all motor spindles in existing machines.
With the future CHIRON Croatia, the CHIRON Group is present in Eastern Europe with another company of its own, can serve customers in the region even better and will successively develop the location in Zadar. The more than 100 employees, 25 of them in engineering alone, increase the number of Group employees worldwide to around 1,900.
The previous CEO, Mladen Šarlija, will serve as Managing Director of CHIRON Croatia in the future. HSTEC’s agencies in Germany, the USA and China will remain in place, as will the representative offices of Balluff, Bosch Rexroth, Hofmann and Mitutoyo for the Croatian market.
HSTEC will be continued as a brand and will join the CHIRON Group brand network: CHIRON, STAMA, FACTORY5, CMS, GREIDENWEIS, HSTEC.
The role of Proventis Partners
Proventis Partners, together with InterCapital as exclusive M&A advisor, comprehensively supported HSTEC in all phases of the preparation and implementation of the transaction in the DACH region. In addition to the implementation of a structured sales process, the consulting services included the identification and approach of potential investors as well as support in the due diligence and negotiation of the transaction. This transaction enabled Proventis Partners to once again demonstrate its expertise in the automation, services in production and digital solutions segment. The transaction was led by Dr. Axel Deich (Associate Partner, Munich) at Proventis Partners.
The role of InterCapital
InterCapital, together with Proventis Partners, acted as exclusive M&A advisor to HSTEC, providing comprehensive support in all phases of the preparation and implementation of the transaction. In addition to the implementation of a structured sales process, the consulting services included the preparation of marketing and transaction documents, identification and approaching of potential investors as well as support in the due diligence and negotiation of the transaction. The transaction team at InterCapital consisted of Andrej Erjavec, Filip Džanko and Petra Mucić.
HSTEC is a system partner for innovative spindle drive technology for CNC machine tools, for fixtures and for spindle services and repair. The name HSTEC stands for High Speed Technique, for system competence in the development, design and manufacture of high-speed motor spindles for demanding machining operations. Clamping devices for machine tools and automation solutions complete the portfolio. In addition, HSTEC is a leader in spindle services and repair for its own products and other manufacturers’ spindles.
HSTEC employs over 100 people, 25 of whom work in engineering alone. The company has agencies in Germany, USA and China and is the representative of Balluff, Bosch Rexroth, Hofmann and Mitutoyo for the Croatian market. www.hstec.hr
About the CHIRON Group
The CHIRON Group, headquartered in Tuttlingen, Germany, is a specialist for CNC-controlled vertical milling and milling-turning machining centers as well as turnkey and automation solutions. Comprehensive services, digital solutions and products for additive manufacturing complete the portfolio. The Group has a global presence with production and development sites, sales and service branches, and commercial agencies. Around two thirds of the machines and solutions sold are exported. Key user industries are the automotive industry, mechanical engineering, medical and precision engineering, aerospace and tool manufacturing.
The CHIRON Group carries the brands CHIRON, STAMA and FACTORY5 for new machines, GREIDENWEIS for automation, CMS for machine overhauls and HSTEC for motor spindles and fixtures. The machining centers from CHIRON stand for the highest dynamics and precision. STAMA focuses on stability and complete machining, while FACTORY5 focuses on high-speed machining of micro-engineered components. GREIDENWEIS is a system partner for individual, integrated automation solutions, CMS offers completely overhauled machines of the group. HSTEC specializes in the manufacturing and repair of high speed motor spindles and fixtures. Products and solutions for additive manufacturing complement the core competencies of the CHIRON Group.
Further information about the CHIRON Group can be found at https://chiron-group.com/de.
About Proventis Partners
Proventis Partners is a partner-led M&A advisory firm whose clients include a majority of mid-sized family businesses, corporate subsidiaries and private equity funds. With more than 30 M&A advisors, Proventis Partners is one of the largest independent M&A consultancies in the German-speaking region and looks back on more than 20 years of M&A experience and well over 300 completed transactions. The M&A consultants with offices in Düsseldorf, Hamburg, Munich and Zurich are active in the sectors Industrials & Chemicals, Business Services, Consumer & Retail, TMT, HealthCare and Energy & Sustainability. Exclusive membership in Mergers Alliance — an international partnership of leading M&A specialists — enables Proventis Partners to assist clients in 30 countries in key markets worldwide. The members of the Mergers Alliance, with its more than 200 M&A professionals, provide Proventis Partners and thus its clients with unique access to local markets in Europe, North America, Latin America, Asia and Africa. With 116 successfully completed transactions totaling approximately $4.5 billion in 2021, Mergers Alliance is one of the world’s most successful financial advisors in transactions up to $500 million. www.proventis.com
InterCapital is the leading independent advisor for the support, structuring and execution of M&A and capital markets transactions in the SEE region. InterCapital supports a wide range of international and domestic corporate and institutional clients with strategic and financial advice and smooth transaction execution. Their expertise is based on their comprehensive understanding of the regional markets, their specific industry knowledge and their experience from numerous corporate finance projects in which they have been involved. https://inter.capital/