By Plasteurope.com staff

HDT Automotive Solutions (Livonia, Michigan, USA; www.hdt-auto.com) has announced its majority acquisition of the business of insolvent German supplier Veritas (Gelnhausen; www.veritas.ag) for an undisclosed sum. A binding purchase agreement was signed on 16 May and the transaction is expected to be completed in June, according to HDT. 

Veritas, which specialises in fluid, thermal, and seal management systems made of elastomers, plastics, and metal, complements the US company’s product range, the company added. The acquisition expands HDT’s expertise, previously focused primarily on steel and aluminium, to include rubber hoses and plastic pipes. The buyer is also strengthening its geographical presence, particularly in Europe – the deal includes Veritas headquarters in Gelnhausen, Germany, with its technical centre and production plant, and sites in Austria, Bosnia-Herzegovina, Hungary, and Mexico, with a total of 2,000 employees.

HDT currently has 10 production sites in the US, Canada, China, Hungary, Italy, Mexico, Poland, and the UK. On the customer side, the US company is primarily expanding its business relationships with German car manufacturers. 

Related: Job cuts at Veritas’s German plants / Insolvency proceedings begin

HDT was a hot candidate for the takeover of Veritas three years ago, but the transaction fell through shortly before the home stretch, after which insolvency administrator Jan Plathner began discussions about a takeover by Turkish investors.

— Translated by Somya Abrol