The commercial law firm Orth Kluth advised the Chinese mechanical engineering group Jwell Machinery Co. Ltd. on the acquisition of the assets of the long-established Kautex Maschinenbau GmbH from Bonn out of insolvency proceedings.

The business operations including real estate, production facilities, various orders and various foreign companies were taken over by the investor.

With around 500 employees, the Kautex Maschinenbau Group, based in Bonn, is one of the world’s leading suppliers of extrusion blow molding technology. The company is active in the development, design, manufacture and assembly of plastic machines for container production. It had a second fully equipped production facility in Shunde, China, and operated various regional branches via subsidiaries, e.g. in the USA and Mexico.

The buyer, the family-owned company Jwell Machinery Co. Ltd. from Jiangsu with approx. 3,500 employees, is one of the leading extruder manufacturers in China, specializing in the supply of high-quality extrusion lines for various industries.

The Düsseldorf-based Orth Kluth team led by corporate/M&A partner Dr. Robert Orth provided legal advice to the investor throughout the acquisition process and is now dealing with the post-merger issues that will position the site for the future in the long term. Dr. Robert Orth comments: “We are delighted that we have succeeded in preserving the traditional site and securing many jobs in production and administration at the insolvent company in a new legal environment and with a new owner.”

Advising lawyers: Dr. Robert Orth (Partner – leading), Dr. Lars Karsten (Salary Partner), Nikola Lachmann (Associate), Dr. Shan Liu, LL.M. (Legal Consultant) all Corporate/M&A, Esther Herrnstadt and Thomas Krahwinkel (all Salary Partner, Employment Law), Natalie Ott (Salary Partner, Insolvency Law), Elisaveta Breckheimer (Salary Partner, IP/IT), all Düsseldorf.