J&T Group acquires 92% share in one of the largest central European bus manufacturers, SOR Libchavy spol. s r.o., from a its founders
- Automotive, bus manufacturing
- Target company
- 8 private individual shareholders
- SOR Libchavy spol. s r.o
- J&T Group
- Our role
- Advisory to sellers
- Transaction size
SOR Libchavy (SOR), founded in 1991 by a group of managers with long-term experience in the bus manufacturing sector, is one of the leading central European manufacturers of buses for urban, long-distance and tourist transport. All vehicles meet the requirements of the EU’s environmental standards and have been successfully exported to many European countries. Customers can choose from classical diesel engines, CNG-powered, electric or hybrid motors. Annual production is in the upper hundreds of buses.
The industrial investments of J&T Group, one of the largest Czech financial groups consolidated within EP Industry sub-holding, focus mainly on power engineering, automotive, transport infrastructure and waste management. The acquisition of SOR was J&T Group’s first investment in the automotive sector. Given existing synergies with other companies in the portfolio, the group was able to offer SOR access to new customers, mainly from the public sector, and at the same time secure SOR’s future as an independent development and manufacturing automotive company. This resonated strongly with the wish of SOR’s founders, who preferred an investor offering independent growth for SOR over its integration into a large foreign automotive conglomerate.
A partner of Merger Vision originated the transaction for selling managers and led the team providing M&A advisory throughout the international sales process with financial and strategic investors participating.
Eight co-founders of SOR Libchavy, spol. s r.o. did not have direct experience with company sale. The advisory team led by Mr Mareš contacted us at the moment when our company needed to make a strategic decision on its further development. One of the options was its sale to a strong financial investor. Our advisor recommended preparing a valuation of the company and analysis of potential buyers before initiation of the sale process. Based on this analysis, the shareholders decided to initiate a sale process targeted at a predefined group of investors. The team led by Mr Mareš had our complete trust and played a crucial role in the sale process.