Deal Announcement 03/22: Retail & Consumer

The Deal

The PwC M&A team is pleased to announce the successful sale of Lechner Group (“Lechner”) to LIVOS Group (“LIVOS”).

Lechner is a leading producer of customized kitchen worktops and backwalls in the premium segment in Europe. The company is based in Rothenburg ob der Tauber (Bavaria) and operates an additional production site in Strömsnäbruk (Sweden). In 2021 Lechner generated net sales of about €86 million and employed approx. 600 people.

As a result of sharp raw material prices and logistics costs Lechner had to file for insolvency in November 2021. Attorney at law Dr. Hubert Ampferl (Dr. Beck und Partner) was appointed as (preliminary) insolvency administrator by the local court. The insolvency administrator immediately initiated an international M&A process that has been led by the Distressed M&A experts of PwC.

PwC also supported Lechner in developing thorough restructuring concept and business plan which was the basis for the successful sale. Despite the very ambitious timeline PwC has been able to keep a fierce competition between several interested investors until the signing of the transaction. LIVOS finally convinced with the most attractive offer.

The transaction was structured as a combination of asset and share deals and will be effective from 1st of March 2022. Nearly all of the 600 employees in Rothenburg o.d.T. and Strömsnäsbruk will be taken over.

PwC advised the insolvency administrator with its in-depth distressed M&A expertise and supported Lechner in the preparation of a thorough business plan and restructuring concept.

Lechner

Lechner is a leading producer of customized kitchen worktops and backwalls in the premium segment in Europe. The company based in Rothenburg ob der Tauber was founded in 1974 and has two production sites in Germany and Sweden. Lechner's full-service offering includes not only a wide range of materials (glass, ceramics, Dekton, natural stone, quartz stone, solid wood, compact, laminate and solid surface) but also covers every step of the process from measurement to installation.

LIVOS

LIVOS Gruppe (LIVOS) has been involved in the German SME sector for more than ten years. Starting with a clear focus on corporate real estate, combined transactions of real estate and operative business as well as separate transactions in both areas were realized. LIVOS has a long-term investment focus. LIVOS acts independently from banks and other anonymous capital collection agencies. LIVOS develops industrial sites together with the resident operating companies, giving the companies and the sites a long-term and sustainable perspective.

Dr. Beck und Partner

Attorney at law Dr. Hubert Ampferl is a partner of the law firm Dr. Beck & Partner GbR. As an insolvency administrator he specializes in the restructuring and reorganization of companies.

PwC

The global PricewaterhouseCoopers network is a worldwide association of independent auditing and consulting companies which together employ more than 295.000 employees in 156 countries. Our global network comprises over 1,600 M&A professionals all over the world, realising approx. 400 successful transactions per year. 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.

The transaction was led by Timo Klees (Partner) and Julia Jaumann (Manager) and was supported by Dominik Wolf (Associate). PwC`s restructuring team comprised of Bernd Förster (Director), Robert Schüller (Manager) and Bernhard Schmidt (Associate).