Kgel Fahrzeugwerke buys French trailer manufacturer

Feb. 1, 2004
On September 30, 2003, Kgel Fahrzeugwerke AG, Ulm, Germany, received acceptance from the Commercial Court in Coutances, France, to purchase the French

On September 30, 2003, Kögel Fahrzeugwerke AG, Ulm, Germany, received acceptance from the Commercial Court in Coutances, France, to purchase the French refrigerated trailer manufacturer Chéreau. An investment group consisting of Kögel and an external group was formed for the takeover. The investor is the Munich-based company SMB, Schoeller, Metternich and Brennecke. Kögel will take over the operative management from Chéreau.

By purchasing Chéreau, Kögel is one step nearer towards achieving significant expansion in Europe. Preliminary analysis revealed that the partnership between Kögel and Chéreau will create significant synergies at all levels. This applies especially to the wider product ranges and more expansive coverage. Pooling purchasing and inter-linking service networks both reduce and sustain lower costs and significantly improve market and customer proximity.

Board chairman of Kögel Fahrzeugwerke AG, Klemens Grosse-Vehne, succinctly explained the success: “Two national suppliers have merged to create a powerful European force.”

Chéreau is known in Europe as a most innovative refrigerated vehicle developer and manufacturer. Chéreau has the latest production plants that already satisfy the environmental standards that will apply from 2007. The company also is known for its flexibility in meeting both market and customer requirements.

The French refrigerated trailer manufacturer achieves more than 40% of its sales in Great Britain, Belgium, the Netherlands, Ireland, Spain, Italy, and Greece. This partnership has enhanced Kögel's market presence in western and southern Europe, while Chéreau is gaining significance in the central and Eastern European markets.

In 2002, Chéreau generated sales of euro 148 million ($175 million) with some 700 employees. In the same year, Kögel achieved sales of about euro 313 million ($370 million) with 1,905 employees. Kögel Fahrzeugwerke AG, Daimlerstrasse 14, D-89079 Ulm, Germany.