The ambition of Belgian automotive manufacturer Punch Powertrain is to grow and expand internationally. That’s why the deal with the Yinyi Group is good news for the company based in Sint-Truiden. “Our Belgian R&D team is set to further expand from around 300 engineers to around 700 in the coming 5 years,” says CEO of Punch Powertrain, Cor van Otterloo.
Shareholders LRM, Gimv, Capricorn and New Horizon agreed to sell 100% of the shares in Punch Powertrain to the Yinyi Group for a consideration of 1 billion euro, the Belgian press reported.
Belgian R&D and operation teams will expand
CEO of Punch Powertrain, Cor van Otterloo , about this transaction: “In Yinyi Group we found the right partner to support us in the ambition to further grow and expand internationally.”
“To achieve this ambition, our Belgian R&D team is set to further expand from around 300 engineers to around 700 in the coming five years. The operations team will also expand accordingly. This will allow the company to continue to develop new cutting-edge technologies. On top of that, plant capacity will jump from 300,000 to over a million units per year, in both Belgium and China.”
Yinyi Group wants to be a tier-one automotive system supplier
In 2014 the Yinyi Group had a turnover of 7.6 billion euro. The group is active in a wide range of industries such as mining, real estate, semi-conductors, aluminium rims for cars and airbag inflators.
Yinyi Group Chairman Xiong explains: “The strong technology expertise and growth track record of Punch Powertrain combined with its Asian exposure make Punch Powertrain fit perfectly with Yinyi’s strategy to diversify its activities and become a tier-one automotive system supplier.”
Punch Powertrain to keep its name
Punch Powertrain will keep its name. There will be no changes to the company’s organisation, employees, management team or locations.
The press release says that the Yinyi Group fully supports Punch Powertrain’s business plan for the coming years. Both companies share the intention to become a global player.