German private equity firm DBAG has backed the management buyout of Sero, which makes electronic components, by taking a majority state in the company.
The stake has been acquired from family members of the company’s founder Armin Schröder, who will leave the management of the company following the transaction.
Sero was founded in 1992 and now employs approximately 270 people. In 2017 it generated revenues of €79 million, of which around 80% came from the automotive industry where its printed circuit boards and electronic components are used in brake lights and motor sensors.
Its components are also used in high-performance microphones, heat meters and other industrial metrology products.
The investment by DBAG will be used to extend the company’s production capacity in order to take advantage of the growth in demand for electronic components used in cars, for example for automated driving and driver assistant systems.
Dr Rolf Scheffels, Member of the DBAG Board of Management, said: “With Sero, we are again investing in a previously owner-led company in one of our core sectors within a short period of time. We were particularly impressed with the company’s excellent processes and unwavering customer orientation.”
Armin Schröder, Founder of Sero, added: “Sero can continue to grow – I am sure that we have found the ideal partner in DBAG.”