Reorganisation & M&A

Client Challenge 

Our client, a Tier-1 automotive supplier with annual revenues of approximately €600 million, faced a highly challenging environment due to multiple industry crises. In 2019, the diesel crisis continued to weigh heavily on the automotive sector. Just one year later, the Covid-19 pandemic triggered a global economic crisis that persisted for an extended period. The resulting semiconductor shortage severely impacted production, forcing temporary shutdowns of entire plants.

At the same time, rising material and freight costs, followed by a sharp increase in energy prices as a result of the war in Ukraine, added further pressure. These overlapping crises complicated the reorganisation process, requiring the company to adapt production plans and capacities quickly while continuously reassessing underlying assumptions. Transparent information and flexible, entrepreneurial management were essential to successfully navigate these turbulent conditions.

Haselhorst Approach  

Haselhorst Associates supported the client by providing a CRO and accompanying team on the executive board to manage the comprehensive restructuring process. The approach combined strategic planning with hands-on operational management and focused on safeguarding the company’s short-term survival while laying the foundation for long-term viability.

Key elements of the approach included:

• Comprehensive status quo analysis to understand the company’s challenges and opportunities

• Drafting and finalisation of a reorganisation agreement

• Implementation and operational management of restructuring measures across locations

• Introduction of digitalisation initiatives to enhance efficiency and process transparency

• Initiation and execution of an M&A process to support strategic repositioning

Throughout the process, close coordination with management and continuous communication with all stakeholders were crucial to successful execution.

Results

The restructuring delivered sustainable improvements and strengthened the company’s long-term position:

• Professionalisation of existing structures and processes, improving efficiency and governance

• Lasting improvement in profitability, financing structure, and liquidity

• Safeguarding of the company’s strategic realignment and future viability

Through these measures, the client was able to respond flexibly to market developments while maintaining operational and financial stability.

About the Client

The client is a Tier-1 supplier in the automotive industry with an annual turnover of around €600 million. The company provides components and systems to leading automotive manufacturers and operates multiple production sites. The restructuring project lasted 36 months, with Dr Arno Haselhorst serving as the primary contact. Haselhorst Associates supported the client both strategically and operationally, including direct management involvement via the CRO role, ensuring short-term survival as well as long-term strategic positioning.