July 9, 2004
Consider European buyers in your succession plan (www.canplastics.com )
An inteational mergers and acquisitions expert says European automotive suppliers have a definite interest right now in buying North American plastic processing companies. “To sell your business without involving European bidders might mean you're missing out on a premium price,” was Jean-René Hartpence, a partner with Canec Inteational Ltd. “If a strategic decision has been made to sell your company, this is the time to do it.”
Hartpence says European Tier 2 suppliers have a strong incentive to locate in North America to serve transplant automotive assembly plants. Plus, the Euro has been strong recently. He also notes that owners who may be reluctant to sell to a financial sector buyer can feel more confident that a European buyer is less likely to restructure or consolidate the newly-acquired company.
Based in Paris and Toronto, Canec Inteational advises corporations on transatlantic joint ventures and acquiring or selling businesses.
Originally published in Canadian Plastics.