Private equity firm Endless announces sale of BAI business in €52.9m deal

Endless LLP, the Leeds-based private equity house, has sold two of the remaining four divisions of a European an automotive supply firm for €52.9m.

Brabant Alucast International (BAI) is a specialist in the design, development and production of aluminium and magnesium components for the automotive industry.

Endless LLP sold its remaining divisions of BAI to NASDAQ-listed business, Shiloh Indistries Inc.

This follows the earlier sale by Endless of the BAI business in the Czech Republic in late 2016 to an MBO team.

In its first Fund IV deal headquartered outside the UK, Endless acquired BAI and its five operating sites in the Netherlands, Italy, Germany and the Czech Republic in January 2016.

The acquisition saved five factories across the continent from collapse and secured 1,200 jobs. Since then Endless has changed the management team which in turn has improved operating efficiencies and renegotiated loss-making contracts.

Endless also invested €17m into an equipment modernisation programme, allowing BAI to secure new contracts to supply BMW, JLR and Alfa Romeo.

The combined €140m-turnover business is now delivering profits and has seen a €20m improvement in EBITDA since the Endless acquisition.

Jamie Brundell, chief executive of BAI, said: “Our team members, products and technologies in Oss and Verres, combined with the improved customer relationships will be instrumental in supporting the continued expansion of Shiloh Industries globally.

“The enlarged business is very well placed to capitalise on rising demand for lighter weight metals to the global automotive industry.

“Manufacturers must reduce emissions and need metals like magnesium and aluminium to keep vehicle weights to a minimum.”

Francesco Santinon, partner and head of London office, and Matthew Jubb, investment director, led the Endless investment in BAI.

Mr Jubb added: “BAI is radically improved after two years in our ownership. We are very proud of the scale of this turnaround and the impact our investment has had at all five sites in creating factories for the future and protecting highly skilled local jobs.

“We believe the Oss and Verres factories have a bright outlook as part of Shiloh Industries.

“This successful investment demonstrates the growing capabilities of Endless and our ability to make a positive difference to businesses, communities and individuals.

“We continue to look for transformational investment opportunities in the UK and Europe, guided by our philosophy of maximising the positive impact our investments have on the economy and society.”