Platinum Equity Announces Pending Sale of AEES to PKC Group

The PKC Group today signed an agreement for the purchase of AEES companies from Platinum Equity. AEES is one of the leading North American wiring harness manufacturers for heavy- and medium-duty trucks and it also has a significant position in light vehicle wiring harnesses. In addition, AEES provides components and wires to other contract manufacturers. AEES’ customers include most major auto and truck makers and has operations in USA, Mexico, Brazil, and Ireland. In June of 2011, AEES employed 13,800 people worldwide.

During the past years, AEES and Platinum Equity successfully implemented a comprehensive program to enhance the company’s overall efficiency and competitiveness.

“Following two years of complex international restructuring AEES is now thriving as a profitable, growing business. Combining with PKC is a logical and exciting next step,” said Rob Joubran, partner at Platinum Equity. “We are proud of the role Platinum Equity has played in establishing AEES as a leader in North America and look forward to continuing on with the organization as a shareholder.”

“We are excited about this unique opportunity to acquire AEES, as it offers an ideal strategic fit for our business through a highly complementary geographic footprint and customer base,” states PKC Group President and CEO Harri Suutari. “By combining AEES, a major North American truck wiring harness manufacturer, with PKC, one of the leading wiring harness manufacturers for trucks in Europe and South America, we create a leading global truck wiring harness supplier. Following completion of the transaction, the combined entity supplies wiring harnesses to the six leading Western truck groups. With this acquisition, we also enter the automotive industry in North America and Brazil. Currently, PKC manufactures wiring harnesses also to light vehicles, buses, recreational vehicles as well as construction, forestry and agricultural equipment in Europe and South America, and has a small percentage of sales in North America. The acquisition hereby provides access to new customer segments and also offers PKC an opportunity to expand its product and service offering, e.g. via manufacturing of components and wires. The combined entity will employ about 22,000 employees.”

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