Operational improvement.
Increase sales and profitability.
Leichtmetall is the only independent supplier of alluminum hard-alloy billets in Europe and has an unrivalled reputation for high strength, precision and quality. Together with Leichtmetall's management, we have significantly increased efficiency and profitability, and reduced dependency on one main customer.
Hannover, Germany
61 employees
Acquisition in 2014
Aluminum hard-alloy billets
Seller: Norsk Hydro
Exit in 2024
Assessment.
Opportunity to etablish a major player, as a non-corporate entity able to serve the entire European market with aluminum hard-alloy billets
Well-invested foundry with high upside potential
Reduction of single customer dependency
Attractive market growth in aerospace
Established sales team
Significantly reduced dependency on one main customer by pursuing diversification into new customer segments and removing low margin products
Invested in material capex program to increase production efficiency
Created a new state-of-the-art laboratory
Added furnaces and control system
Focus.
Operational improvement
Repositioning
Cost optimization
Growth
Achievement.
Profitable growth.
Highlights from a targeted development strategy include:
Increased EBITDA margin from 4.1% to 19.5%
Reduced revenue share of single customer from >60% to <30%
