Frauenthal sold its automotive division to SteelCo, a portfolio company of RCP

Transaction

Sell side

Undisclosed

Role

Adviser to Frauenthal on the sale of its automotive division to SteelCo

Sector

Automotive

Region

Sweden
Germany

We have advised Frauenthal Holding AG (Frauenthal) on the sale of its automotive division to SteelCo GmbH (SteelCo), a portfolio company of RCP Group GmbH (RCP).

Listed on the Vienna Stock Exchange, Frauenthal is a diversified industrial group with operations across Europe. The group is organised into two divisions, Frauenthal Automotive and Frauenthal Handel, and generated revenues of €1,014.3m in 2024. Frauenthal Automotive comprises the Frauenthal Gnotec and Frauenthal Airtank businesses, specialising in the manufacture of metal-pressed and welded components as well as compressed air tanks for the automotive industry. The division operates six production sites across Sweden, Germany, Slovakia, and the Czech Republic, as well as one site in China and the US. In 2024, Frauenthal Automotive generated revenues of €207.3m with approximately 1,000 employees. Revenues for the first half of 2025 amounted to €110.6m.

SteelCo is an investment platform of RCP, a Munich-based, family-owned investment firm specialising in special situations and transformation investments, in particular complex carve-out transactions. SteelCo focuses on investments in metal processing companies serving the automotive industry and other industrial sectors. Through its STEELCO.TECH platform, the group offers capabilities in stamping, pressing, deep drawing, forming and welding, as well as related engineering and industrialisation services. SteelCo holds participations in companies with production facilities in Germany, Hungary, and Belgium and supplies leading OEMs and Tier 1 suppliers across multiple industrial applications. On a pro forma basis, following the transaction, SteelCo is expected to generate annualised revenues of approximately €345m.

This transaction enables Frauenthal to sharpen its strategic focus on its remaining business activities while ensuring continuity and long-term development prospects for Frauenthal Automotive under a new industrial owner. For SteelCo, the acquisition represents a further step in expanding and diversifying its industrial platform in metal processing, creating opportunities for operational synergies, efficiency improvements, and sustainable growth.

This transaction marks the 13th completed M&A transaction by Clearwater’s automotive team in 2025.

After a thorough review of various options, we are convinced that SteelCo is ideally positioned to fully realise the long-term potential of Frauenthal Automotive while ensuring continuity. As a metal processing company active in the automotive industry, the increased scale opens up a wide range of synergies and market opportunities. We are grateful to Clearwater for conducting a clearly structured, competitive, and seamless international sales process. Their project management expertise, sector experience, and global buyer access were essential to achieving this result in a very challenging market environment.
Erika Hochrieser, Member of the Management Board, Frauenthal

With the acquisition of Frauenthal Automotive, we are expanding and diversifying our industrial base in metal processing. Together with our STEELCO.TECH platform, we see significant growth, efficiency, and synergy potential - particularly due to overlapping technology portfolios and a complementary customer and supplier base. Our initial focus is on a smooth transition, ensuring continuity for customers and employees, followed by the gradual and structured realisation of growth opportunities.
Daniel Karsch, Investment Manager, RCP

It was a pleasure and an honour for us to support Frauenthal in this complex transaction, which is significant for the further strategic direction of the group. We are convinced that, given the strong strategic fit, the former Frauenthal automotive division, together with SteelCo, will further expand its already strong position in the field of metal forming for top-tier customers in the automotive and commercial vehicle industries.
Tobias Schätzmüller, Managing Partner, Clearwater