MUNICH, Germany — German investment firm Aurelius Equity Opportunities SE & Co. K.G. is buying GKN Wheels & Structures, a producer of off-highway wheels with manufacturing in the United Kingdom, Denmark and the U.S.
The transaction is conditional on receiving anti-trust approval. The parties expect the deal to be completed in November. Financial details were not disclosed.
London-based GKN Wheels generated sales in 2019 of $215 million, with over 900 employees.
In business since 1908, GKN Wheels designs, manufactures and supplies wheels for a variety of low-pressure applications, including agricultural, construction, industrial and mining industries.
In the U.S., the company produces wheels at its GKN Wheels Armstrong plant in Armstong, Iowa, and maintains a testing facility in Woodridge, Ill.
Munich-based Aurelius said it will support GKN Wheels & Structures in executing its divestment from parent Melrose Industries P.L.C., thus ensuring continuity in the company's day-to-day operations and helping to establish the business as a stand-alone entity under a new brand name.
In a statement, Aurelius pledged to work with GKN Wheels' existing management team to continue delivering the company's business plan, while also exploring the potential for further sector consolidation and "leveraging its operational expertise" to help optimize the company's activities.