German gear wheel manufacturer Stelter Zahnradfabrik has circulated teasers as part of a sale process being ran by IMAP, three sources briefed on the situation said.
The business is being marketed off a prospective EUR 20m EBITDA, the sources said.
Stelter's products are used across a variety of industries. It makes drive wheels and chain wheels for crankshafts used in the automotive industry, while it supplies the energy sector with transmission units for wind energy and solar power systems, according to its website. The company also serves more general industrial applications, such as cement works, mining and conveyor technology. Customers include Siemens, Volkswagen and ZF Friedrichshafen.
Stelter booked EUR 63.1m revenues and EUR 7m operating profit in 2015, according to a company filing. Sales in the automotive sector increased by 22% and fell by 24% in the large gears production and by 19% in the industrial sector in the period. The crisis between Russia and Ukraine, which are among the countries where Stelter sells its products, as well as low oil prices had a negative impact on its 2015 performance.
Stelter did not respond to requests for comments. IMAP declined to comment.
by Joao Grando and Giovanni Amodeo in London