Highway Holdings Limited entered into a letter of intent with LeMALe Beteiligungs‑GmbH to acquire a 51% stake in Regent‑Feinbau Adermann GmbH, a German sheet‑metal manufacturer founded in 1949 that serves automotive, aerospace and industrial customers.
The transaction will be financed primarily with cash, supplemented by a smaller amount of Highway’s unregistered shares. The parties expect the deal to close by the end of March 2026, subject to customary due‑diligence and other closing conditions.
Regent‑Feinbau brings laser cutting, CNC press‑brake bending, advanced welding and full component assembly capabilities, all certified under IATF 16949, ISO 9001 and ISO 14001. Adding these capabilities to Highway’s Nissin Shenzhen division will give the company thick‑sheet cutting, bending and welding expertise that it currently lacks, positioning it to serve Tier 1 suppliers such as AMG Mercedes‑Benz and to tap the $660 billion Chinese automotive market while expanding its European OEM footprint.
Highway’s balance sheet is well‑positioned for the transaction, with approximately $5.3 million in cash, virtually no debt and a market capitalization around $10 million. The announcement has generated strong investor interest, reflecting confidence in the strategic fit and the company’s ability to execute the deal.
Chief Executive Officer Roland Kohl said the LOI “reinvigorates our OEM business after customer losses post‑COVID and marks the first step in a broader M&A strategy in Germany.” He added that the acquisition will strengthen Highway’s presence in both China and Europe and unlock new growth opportunities.
With the deal, Highway Holdings will broaden its product portfolio, deepen its relationships with Tier 1 automotive suppliers, and position itself to capture a larger share of the estimated €50 billion European sheet‑metal market while maintaining a strong financial foundation to pursue additional acquisitions.
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