Categories: Cars

Recaro Automotive saved from bankruptcy by Proma Group


Recaro Automotive is a major supplier of car seats, particularly for performance applications. However, the German company ran into hard times earlier this year, including filing for bankruptcy protection in July.

Fast forward to today, and a new investor has stepped in and plans to take control of the company. As first reported by Piston Heads on Dec. 4, an Italian automotive supplier named Proma Group has signed an investment agreement with Recaro Automotive to take over the company and restart production by early next year.

As part of the transition period, Proma Group will retain several employees from the original sales and technology departments at Recaro Automotive’s headquarters in Kirchheim unter Teck, Germany. Recaro Automotive reportedly has 215 employees at the German site, which includes a plant.

Proma Group is also a major manufacturer of car seats and operates 26 plants spanning three continents, and the company is expected to move some of Recaro Automotive’s production to plants in Italy.

The Proma acquisition leaves Recaro’s North American and Japanese operations unaffected. Recaro’s other divisions, including those responsible for seats for aircraft, office, and gaming use, as well as baby seats, are also unaffected.

“Our investment in Recaro Automotive will strengthen our ability to deliver a premium seating product while embracing the most cutting-edge innovations in the automotive sector,” Luca Pino, Proma Group’s CEO, said in a statement.



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