Pekao Investment Banking acted as the sole transaction advisor on the acquisition by Luma Automation (part of the Luma Holding capital group) of 100 percent of shares of the Hungarian manufacturer of metal components for the automotive and machine industry, Iron-Tech. The tasks of Pekao Investment Banking included transaction structuring, business and financial modeling as well as client support in obtaining financing from two international banks. The transaction was closed on February 18, 2021.
“Pekao Investment Banking is the leader of the Polish investment banking market, which means that it wants to set trends there. Undoubtedly, such a trend is the foreign expansion of Polish companies and the increasingly stronger integration of the Central and Eastern Europe region. This transaction is unique because it is cross-border, but also because it was completed in an extremely difficult epidemic period,” Maciej Jacenko, president of Pekao Investment Banking, said.
Luma Automation is a specialized Polish investment fund belonging to the Luma Holding group. The fund builds competencies in the industry of advanced metal production and processing technologies. The investment in the Hungarian market, which is important for this industry, strengthens the presence of the Luma Holding group in Central Europe and in the automotive industry itself.
Iron-Tech is a Hungarian company dealing in precision metalworking and mechanical engineering, focusing on clients from the automotive, railway, and machine industries. In 2020, Iron-Tech recorded, according to preliminary data, PLN 64 million in revenues, with PLN 17 million in EBITDA.