Deal Announcement 02/23: Automotive

The Deal

The PwC M&A team is pleased to announce the successful sale of the operations of Ibeo Automotive Systems GmbH (“Ibeo”) to MicroVision Inc. via an asset deal as part of a successful insolvency proceeding in self-administration.

Ibeo is a leading lidar hardware and software provider for autonomous driving (AD). MicroVision is a leader in MEMS-based solid-state automotive lidar and advanced driver-assistance systems (ADAS). The transaction brings together MicroVision’s best-in-class MAVIN™ hardware and Ibeo’s best-in-class perception software to be integrated into MicroVision’s perception ASIC, accelerating the path to a cost effective, true “one box solution” required by automotive OEMs for a roofline integrated product. In addition, this acquisition expands MicroVision’s multi-market strategy focusing on industrial, smart infrastructure, robotics, and commercial vehicle segments with Ibeo’s flash-based sensor. The combined company is expected to have revenue streams from existing and new product lines ranging from software, Ibeo’s flash-based lidar and MicroVision’s scanning lidar sensor, as well as other combinations of hardware with perception software solutions.

The PwC Distressed M&A team initiated a fast-track international M&A process. The team approached 100+ potential investors around the globe (mainly Europe, North America, Asia). The entire process from kick-off to signing took just 7 weeks. During the process several different transaction structures and investor concepts were evaluated in parallel, thus increasing the complexity further. However, this swift and condensed process allowed for a maximum competition and a significant increase from indicative offers to final purchase price. The asset purchase agreement was signed in December 2022 and closed in February 2023.

Ibeo 

Ibeo Automotive Systems (Ibeo) is one of the first companies worldwide to start developing LiDAR sensors for automotive applications i.e. for autonomous driving (AD) and other industries. Ibeo develops and provides both LiDAR sensor hardware and the related software. Ibeo has developed the first pure market ready solid state LiDAR product on the market (ibeoNEXT Gen1) and software application related to autonomous driving. Key highlights are its modular optics concept, small size, weight and serial production readiness. Ibeo’s sensors are today used by premium OEMs like Audi, Mercedes and Stellantis and software solutions used by BMW and VW. 

The company is headquartered in Hamburg, Germany and has 400+ employees – mainly engineers & software developers. In the course of the transaction the majority of the employees will be taken over by MicroVision.

Ibeo had to file for insolvency in September 2023 after a major shareholder withdrew its financial support and Ibeo faced imminent insolvency.

MicroVision

MicroVision (NASDAQ:MVIS) is a leader in MEMS-based solid-state automotive lidar integrating MEMS, lasers, optics, hardware, algorithms and machine learning software into its proprietary technology to address existing and emerging markets. The company's integrated approach uses its proprietary technology today to develop automotive lidar sensors and provide solutions for advanced driver-assisted systems (ADAS), leveraging its experience building augmented reality micro-display engines, interactive display modules and consumer lidar modules.

MicroVision is headquartered in Redmond (Washington), USA and has rd. 100 employees.

PwC

The global PricewaterhouseCoopers network is a worldwide association of independent auditing and consulting companies which together employ almost 328,000 people in 152 countries. Our global network comprises over 2,900 M&A professionals all over the world, realising approx. 400 successful transactions per year. We specialise in a wide range of independent M&A services including advice on acquisitions and disposals, mergers, public takeovers, privatisations as well as structured financing. Our Distressed M&A team led by Timo Klees (Partner) is market leading in Germany and has successfully advised on more than 70 transactions out of special situations and insolvency situations in recent years.

PwC M&A Germany acted as exclusive M&A advisor to the insolvency administration and Ibeo on this transaction. The transaction was led by Timo Klees (Partner Distressed M&A). The M&A-team included Marco Minnerup (Senior Manager), Tobias Petersen (Senior Manager), Maximilan Pfirrmann (Associate), David ten Doornkaat (Associate), and Jacob Kleinen (Intern).

The M&A team also worked closely together with our sector experts from Strategy& Christian Foltz (Partner) and Hartmut Güthner (Director).