INTERNATIONAL STRATEGY - CASE STUDIES
DELFINGEN
Background
After establishing the company as the leading player in the US in its core automotive business, Delfingen wished to exploit opportunities for related product diversification and range extension.
Frenger's role
Frenger was mandated to research the US market and to identify companies manufacturing products to protect wiring harnesses outside of the automotive sector, in sectors such as aerospace, railways, electrical motors, etc. The objective was to determine if the technology and operations of these businesses were in fact strategically complementary and, if so, to execute the business extension for Delfingen by acquisition.
Conclusion
After an exhaustive review of the market that included numerous meetings with companies, two acquisitions were completed, one in Niagara Falls and one in Maryland. Together they formed a new division within Delfingen, enabling the group to extend its product range with new technology in braided sleeving production and coating and to diversify its customer base outside of the automotive sector. Since the acquisitions, these companies’ revenues have grown by 300%.
TOP
BACK
