The American automotive supplier Key PlasticsLLC (European HQ: F-61130 Bellême; www.keyplastics.com) had to declare itself insolvent on 23 March 2000. One of the world´s biggest private investment companies, the Carlyle Group, is now acquiring all the battered company´s North American and European sites for around USD 190m. Carlyle has additionally been servicing all Key Plastics´ commitments since it declared itself insolvent.

Key Plastics develops and produces engineering plastics components and subsystems for the automotive industry. Applications are to be found in the vehicle interior, in the engine compartment and in exterior parts. The company has its main head office in Novi, Michigan. A loss of USD 67m was recorded in 1999, with sales of USD 550m. This was a result of both operative problems (particularly in the UK) and the burden of acquiring the Italian Foggini Group (see Plasteurope.com 09, 2000).

The Carlyle Group manages capital of more than USD 10bn. Over the past 18 months, more than USD 250m has been invested in companies from the automotive supplier branch. After building up portfolio companies in the shipbuilding and aviation sectors, the development of a strategic company of this type for the automotive sector would now seem to be in sight.