SAARBRUECKEN, Germany (Aug. 24)—RAG Saarberg A.G. has struck a deal to sell its wholly owned SaarGummi GmbH unit to a private equity group advised by Munich, Germany-based Orlando Management GmbH.
Details of the purchase price were not revealed. The sale of the Buschfeld, Germany-based rubber profiles producer is expected to be completed by Aug 31.
SaarGummi—which makes elastomer-based profiles and molded rubber components for the automotive and other sectors—had sales of nearly $320 million last year with 4,000 employees at plants in Europe, Asia and the U.S.
Expressing satisfaction at the speed of the agreement, Michael Karrenbauer, a member of the RAG Saarberg board, explained that the deal meets RAG's aim of focusing on its energy division. Pointing out that Orlando Management's strategy is to participate only in healthy enterprises, Henrik Fastrich, acting partner with Orlando, said SaarGummi is a good fit with this strategy.