14.02.2019

Luther advises Chinese automotive parts supplier Beiqi Haihua on the acquisition of majority stake in German lightweight components supplier IFC Composite GmbH

The Chinese automotive parts supplier Beiqi Haihua Automobile Parts Co., Ltd., based in Shandong Province, has acquired 75% of the shares in IFC Composite GmbH. With the acquisition of IFC Composite GmbH, Beiqi Haihua is now positioning itself in the growing lightweight components segment in the Chinese and European market. Luther provided legal support for the Chinese buyer in the transaction and assisted with a successful closing.

Background

14 February 2019

The Chinese automotive parts supplier Beiqi Haihua Automobile Parts Co., Ltd., based in Shandong Province, has acquired 75% of the shares in IFC Composite GmbH. With the acquisition of IFC Composite GmbH, Beiqi Haihua is now positioning itself in the growing lightweight components segment in the Chinese and European market. Luther provided legal support for the Chinese buyer in the transaction and assisted with a successful closing.

Shandong Beiqi Haihua Automobile Parts Co., Ltd. ("Beiqi Haihua") is listed in China and, as part of the Chinese BAIC Group, mainly produces steel springs for well-known national and international automobile manufacturers. As one of the largest automobile manufacturers in the People's Republic of China, the state-owned BAIC Group is Daimler AG's most important cooperation partner in China.

IFC Composite GmbH produces and sells drive shafts, stabilizers and clutch joint plates as well as proved lightweight leaf springs made of glass and carbon fiber reinforced plastics (GRP and CFRP) at its Haldensleben facility (Saxony-Anhalt). The target company belongs to IFA Holding GmbH, one of the world's largest automotive suppliers of drive technology for the manufacture of longitudinal shafts.

Luther provided Beiqi Haihua with legal and tax support during the transaction with an interdisciplinary team. The acquisition was signed last summer and was closed in January 2019 - just before the Chinese new year.

The project was led by Luther’s Sino-German transaction team, which advises on Chinese investments in Germany across office locations. Together with the Luther office in Shanghai, the firm's China team has also been supporting German and European companies in their business activities in China for more than a decade and has advised on numerous acquisitions and joint ventures between German and Chinese partners.


For Beiqi Haihua:

Luther, Corporate / M&A: Thomas Weidlich, LL.M. (lead partner), Philipp Dietz, Miao Lin, Katja Neumüller, Dr. Shen Yuan

Luther, Banking, Finance & Capital Markets: Christoph Schauenburg

Luther, Tax: Nicole Fröhlich, Ramona Hubracht

Luther, IP / IT: Dr. Detlef Mäder, Katharina Preuss

Luther, Real Estate: Ingo Erberich, Daniel Schillberg

Luther, Labour law: Nadine Ceruti

Luther, Commercial: Volker Steimle, Martin Schröder

Author
Philipp Dietz, LL.M. (Edinburgh)

Philipp Dietz, LL.M. (Edinburgh)
Partner
Cologne
philipp.dietz@luther-lawfirm.com
+49 221 9937 14224

Ingo Erberich

Ingo Erberich
Partner
Cologne
ingo.erberich@luther-lawfirm.com
+49 221 9937 25721

Nicole Fröhlich

Nicole Fröhlich
Partner
Frankfurt a.M.
nicole.froehlich@luther-lawfirm.com
+49 69 27229 24830

Dr Detlef Mäder

Dr Detlef Mäder
Partner
Cologne, Dusseldorf
detlef.maeder@luther-lawfirm.com
+49 221 9937 25711

Christoph Schauenburg, LL.M. (London)

Christoph Schauenburg, LL.M. (London)
Partner
Frankfurt a.M.
christoph.schauenburg@luther-lawfirm.com
+49 69 27229 24675

Volker Steimle

Volker Steimle
Partner
Cologne
volker.steimle@luther-lawfirm.com
+49 221 9937 24820

Thomas Weidlich, LL.M. (Hull)

Thomas Weidlich, LL.M. (Hull)
Partner
Cologne
thomas.weidlich@luther-lawfirm.com
+49 221 9937 16280

Nadine Ceruti

Nadine Ceruti
Counsel
Frankfurt a.M.
nadine.ceruti@luther-lawfirm.com
+49 69 27229 24795

Ramona Hubracht, LL.M. Taxation

Ramona Hubracht, LL.M. Taxation
Counsel
Frankfurt a.M.
ramona.hubracht@luther-lawfirm.com
+49 69 27229 24660

Dr SHEN Yuan / 沈媛 博士 LL.M. (CUPL/Köln)

Dr SHEN Yuan / 沈媛 博士 LL.M. (CUPL/Köln)
Counsel
Cologne
yuan.shen@luther-lawfirm.com
+49 221 9937 25075

Miao Lin, J.D. (University of Kansas)

Miao Lin, J.D. (University of Kansas)
Of Counsel
Frankfurt a.M.
miao.lin@luther-lawfirm.com
+49 69 27229 24678

Katja Neumüller

Katja Neumüller
Senior Associate
Cologne
katja.neumueller@luther-lawfirm.com
+49 221 9937 25039

Dr Katharina Preuss

Dr Katharina Preuss
Senior Associate
Cologne
katharina.preuss@luther-lawfirm.com
+49 221 9937 12810