Italy-based Landi Renzo, an international producer of CNG and LPG fuel systems and related components for motor vehicles, has purchased 70% of Emmegas S.R.L., which has also been producing automotive alternative fuel solutions components for twenty years with markets in Asia and America.
“Thanks to this partnership we are hoping to diversify our offer in some strategic markets, thus enhancing the Group’s global presence and taking advantage of growth opportunities in market segments in which the Group is currently only partially present,” said the Chief Executive Officer Claudio Carnevale.
During 2012 Emmegas achieved sales of around EUR 3.2 million (USD 4.1 million) and a negative EBITDA of about EUR 164 thousand (USD 212,000).
The total outlay for 70% of the Emmegas shares was EUR 475 thousand (USD 615,000) and was paid using the Group’s financial funds. The transaction also envisages a put and call option for the remaining 30% shareholder equity which cannot be executed earlier than the next three years.
(Source: Landi Renzo)