Avedon Capital Partners’ Acquisition of Spindel- und Lagerungstechnik Fraureuth GmbH


Shearman & Sterling advised Muzinich & Co on the financing of the acquisition of Spindel- und Lagerungstechnik Fraureuth GmbH (SLF) by Avedon Capital Partners.

Avedon Capital Partners teams up with founders to acquire Spindel- und Lagerungstechnik Fraureuth GmbH, a niche manufacturer of specialized spindles and ball bearings located in Fraureuth, Germany. The transaction successfully closed on January 18th, 2019. The parties agreed not to disclose the purchase price or further details of the transaction.

As part of a succession solution, Avedon enters as a new shareholder whilst the four founders of SLF, Frank Schlegel, Siegfried Huster, Gerd Kahl and Heinz Peinl, retain a minority stake in the Company. In the course of this succession solution, the three founders, who are still active as managers, will gradually reduce their operational responsibilities over time. The founders and Avedon will support SLF’s growth plan by leveraging the combined expertise of the founders and Avedon’s experience as a successful growth capital investor in the precision ball bearings market.

As a hidden champion in the spindles and ball bearings technology segment, SLF delivers customized solutions for demanding customers active in industries such as mechanical engineering, food & beverage, motor manufacturing or pump manufacturing. SLF is headquartered in Fraureuth, a production site with a long history of specialized spindles and ball bearings manufacturing dating back more than 60 years. SLF was founded in 1993 following the bankruptcy of its predecessor company DKFL GmbH and is today regarded as a leading German manufacturer of specialized spindles and ball bearings. The success story of SLF is remarkable as the four founders grew the company from 29 employees in 1993 to a well- positioned, leading manufacturer of specialized spindles and ball bearings with an employee base consisting of 347 employees today and generating revenues of c.49m€ (2018).

Avedon together with the founders will support SLF in a collaborative approach towards new strategic goals, to further invest in its operations as well as to pursue new market opportunities. The ambition of both, the founders and Avedon, is to further strengthen SLF’s competitive positioning by focusing on attractive end-markets, growing its OEM customer base and fostering international growth.

Shearman & Sterling advised Muzinich & Co on the financing of the acquisition with a team including Winfried M. Carli (Picture), Matthias Weissinger and Sven Oppermann.

Involved fees earner: Winfried Carli – Shearman & Sterling; Sven Oppermann – Shearman & Sterling; Matthias Weissinger – Shearman & Sterling;

Law Firms: Shearman & Sterling;

Clients: Muzinich & Co Limited;