Global law firm White & Case LLP, together with Czech investment banking boutique Genesia, has advised the owners of ČGS Holding – the Czech Republic-based rubber conglomerate with leading positions in agricultural and speciality tires as well as engineered polymer solutions – on its acquisition by Swedish industrial giant Trelleborg.
The total cash consideration amounts to approximately €1.16 billion (CZK 31.6 billion) on a cash and debt free basis.
With the acquisition of ČGS Holding and its subsidiary Mitas, Trelleborg is establishing itself as a global leader in agricultural tires and reinforcing its leading position in industrial tires. The acquisition of ČGS' other industrial polymer businesses will enhance Trelleborg's leading positions in several of its existing business areas.
"This is one of the most significant M&A transactions among private owners and strategic investors in CEE this year," said Prague-based White & Case partner Michal Smrek, who co-led the Firm's deal team. "The transaction confirms the strength and capabilities of White & Case as a trusted advisor to founder shareholders and other private owners of leading CEE businesses."
Prague based White & Case partner Damian Beaven, who co-led the deal team, said: "Over the past eight years, White & Case and Genesia have supported ČGS on acquisitions and greenfield investments in North America, Slovenia and Serbia. ČGS is another success story of a Czech business growing to become a global player, and from a White & Case perspective it's exciting to play an important role in that journey."
ČGS is a leading supplier of specialty tires and engineered polymer solutions. The company employs approximately 6,500 people, is headquartered in the Czech Republic and has 13 production sites of which 11 are located in Eastern Europe, one in the US and one in Mexico.
The group includes main subsidiaries Mitas, Rubena and Savatech. Mitas accounts for approximately two thirds of group sales and has strong mid-market specialty tires brands with a strong position in agricultural tires. The speciality tires offering is complemented by the Rubena and Savatech niche engineered polymer solutions businesses. Rubena and Savatech develop and manufacture a broad range of engineered polymer products, including polymer seals, polymer sealing profiles, speciality conveyor belts and products from engineered fabrics.
The White & Case team which advised on the transaction was co-led by partners Michal Smrek and Damian Beaven (Prague) and included partners Lennart Pettersson (Stockholm), Alena Naatz, Ivo Janda and Ales Zidek (all Prague) with the support from associates Jan Stejskal, Jakub Menčl, Magda Olyšarová and Jan Pařík (all Prague). The Genesia team was led by managing partner Jakub Dyba.
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