PTF Group acquires Hitega Präzisionsmechanik GmbH

Reinraum in Stollberg / Cleanroom in Stollberg

- Next milestone reached in PTF’s ongoing growth strategy
- Complementary customer and product offering
- Second acquisition since Silver Investment Partners’ initial investment

PTF Holding GmbH (PTF), a leading medium sized manufacturer of complex CNC mechanical high-tech precision parts and assemblies, has acquired Hitega Präzisionsmechanik GmbH (Hitega) with the support of its majority owner Silver Investment Partners (SIP). Hitega is a manufacturer of smaller series of high precision CNC milled and turned parts and assemblies.

In future, Hitega will be run as an independent company under the umbrella of PTF Holding, also comprising PTF Pfüller GmbH & Co. KG, Pfueller Precision Technology (Suzhou) Co., Ltd., PTF German Precision Technology Inc. and Heinz Kehl & Sohn GmbH. The PTF Group expects sales of over EUR 25 million in 2014 following the acquisition. Total Group employees will increase to 246 with further recruitment planned. Anton Hauner, the current owner of Hitega, will continue to support the company as a Technical Director for a transitional period. The acquisition of Hitega is financed by PTF and SIP from internal funds as well as bank debt. The parties have agreed to not disclose the purchase price.

“Hitega and PTF fit together perfectly due to their complementary product ranges. Hitega’s focus on prototypes and small series, their state-of-the-art production facility and a customer portfolio covering promising sectors will enable us to develop new markets together”, says Oliver F. Zintl, Managing Director of the PTF Group. “Our merger creates the basis to move ahead with our growth plans. We are now in a position to offer our customers a complete range from prototypes to high volume series as well as from the design and construction phase across all mechanical areas up to the production of complex assemblies. The term ‘system supplier’ will now take on a whole new meaning for us!”

“I am absolutely delighted that we have found such excellent and successful partners for Hitega in PTF and SIP. Our future co-operation, particularly within sales, will open up completely new possibilities. Together with SIP, we will be able to position Hitega for a secure and long-term future”, says Anton Hauner, former Managing Director of Hitega.

“This transaction represents a further milestone in the buy-and-build strategy for our portfolio company PTF. We have succeeded over the last three years to develop the PTF Group further and lay the foundations for future growth”, says Philipp Amereller, Managing Partner at Silver Investment Partners. “The combination with Hitega represents the next logical step in this process as we combine the complementary product portfolios and customer bases of both companies. In particular, Hitega’s very good position within promising sectors such as the semiconductor, medical technology and aerospace industries will contribute to the future development of the PTF Group.”

Innovate high tech company with established customer relations

Hitega was founded in 1990 and is specialized in the production of prototypes and small series of ultra precise CNC milled and turned parts. The company manufactures microscopically burr-free parts from a diverse range of challenging metals and synthetic materials. An ultra modern machine park and highly engineered and optimized production processes enable the company to develop and manufacture precision mechanical parts and assemblies for the semiconductor, medical technology, aerospace and measurement control industries. In recent years the company has developed well with a number of large customers. With the assistance of a joint, professional sales force it is anticipated that new customers will be won and cross-selling potential will be harnessed. In addition, the company already has a very modern assembly facility and specialist expertise, which can be developed further together.

PTF continues growth path with the support of SIP

With the acquisition of Hitega, the PTF Group has taken the next step in its successful ongoing growth strategy supported by its majority owner SIP. Since their initial investment in February 2011, sales have increased by over 60 percent. Furthermore, the number of employees has increased from 130 to 190, including the workforce in its production facility in Suzhou, China. PTF has a broad customer base in attractive high-tech industries some of which are characterized by significant growth such as medical technology, laser technology as well as the semiconductor industry and anticipated growth, in particular in technologically demanding industries with a corresponding higher share of value added. In order to strengthen and further expand the technological leadership, approximately 10 percent of sales are reinvested annually in manufacturing facilities. The production facility in Stollberg/Saxony will be expanded by another 50 percent, with building work commencing in early 2014 and completion anticipated at the end of 2014. After the acquisition and completion of the building work, the Group will have a combined production area of more than 10,000 sq. meters. 

The acquisition of Hitega represents the fifth successfully completed acquisition by SIP. The focus of SIP is on the long-term support of its portfolio companies and it aims to act in an entrepreneurial spirit and to support medium-sized companies with above average growth prospects. The focus is on companies with sales between EUR 5 million and EUR 100 million in Germany, Austria and Switzerland. In the process, the portfolio companies benefit from the knowledge, network and long-term orientation of the investor. SIP deliberately refrains from using classical fund structures with limited investment terms. Instead SIP finance transactions from their own funds of the founding partners and a pool of private investors. SIP was advised on this transaction by Ernst & Young (finance) and King & Wood Mallesons (legal and taxes). Hitega was advised by Dissmann Orth (legal and taxes).