Sarna Polymer Holding (CH-6060 Sarnen; www.sarna.com) has taken the first step in divesting its declining automotive business with the sale of its subsidiary Sarnamotive Switzerland (CH-6020 Emmenbrücke; www.sarnamotive.ch) to German private equity group Wafa Beteiligungsgesellschaft (D-95447 Bayreuth). Sarna intends to withdraw completely from this segment and sell all its operations in Europe and North America. This decision by the supervisory board had been expected, following an analysis of the company´s so-called dual strategy (see PIE 24, 2004). According to CEO Matti Paasila, some interested buyers have already come forward, and the process of selling the other companies will begin shortly.

In future, Sarna will concentrate on expanding its business with polymer seals for construction and civil engineering activities (Sarnafil) and will aim primarily at achieving strong organic growth. Income from the sale of the automotive division will be spent on acquisitions in products and systems that have synergies with Sarnafil. There are plans not only to expand geographically but also to extend the existing portfolio.

Sarnamotive Switzerland, with some 50 employees, generates annual turnover of around CHF 8m (EUR 5.2m). Wafa said it plans to continue operations at the Swiss site with all employees and also expand the company, which is specialised in the finishing of decorative polymer parts and the development of processes for galvanisation, coating and structuring of plastic surfaces.

Wafa has around 700 employees at its sites in Germany, the Czech Republic and Mexico, working in plastics injection moulding, surface finishing and high-grade decorative parts, along with planning, development and production of electronic and electrical systems, especially for the automotive industry. Sales of the equity group – one of its subsidiaries is automotive supplier Wafa Kunststofftechnik (D-86179 Augsburg; www.wafa.com) – are about CHF 100m (EUR 65m).