Our team has advised the shareholders of Automecanica S.A on the signing of a Share Purchase Agreement with the Turkish automotive and defence leader, Otokar Otomotiv ve Savunma Sanayii A.Ş. (“Otokar”).
The transaction, valued at approximately EUR 85 million, involves the acquisition of 96.77% of the share capital of Automecanica S.A., including its extensive manufacturing facility in Mediaș, Sibiu. Until completion of this transaction, Automecanica is the primary subcontractor and localisation partner for Otokar in connection with the RON 4.26 billion (EUR 820 million) contract to supply the Romanian Armed Forces with 1,059 units of light armoured tactical vehicles (ATBTU) in 12 different variants. Completion is subject to customary regulatory approvals, including merger control and FDI clearances, as well as approvals from other relevant authorities in the defence and national security sectors.
“Assisting the shareholders of Automecanica S.A. in this landmark transaction has been a privilege, as it represents a transformative shift for the Romanian industrial landscape. By integrating Automecanica’s tradition-rich Mediaș facility into Otokar’s global manufacturing network, this deal reflects the current rise in strategic transactions within the European defence industry. We are grateful to the Automecanica team for their trust in our guidance throughout this complex process. Their commitment to excellence has ensured that Romania remains a pivotal hub for NATO-standard defence production for decades to come."
Anca Albulescu
The team of bpv GRIGORESCU STEFANICA played a pivotal role throughout the transaction, providing comprehensive legal advice to the shareholders of Automecanica S.A. and working closely with senior advisor Vlad Nastase of Concilium Consulting to ensure the successful signing of the transaction. The entire mandate encompassed assisting the shareholders in the initial due diligence process, advising on the transaction structure, including the initial MoU and negotiating the transaction documents. The team continues to be involved in the ongoing stages of the transaction, supporting the company and the sellers in reaching timely completion.
The bpv GRIGORESCU STEFANICA team included Anca Albulescu (Partner and Head of Procurement and Defence practices), Cătălin Grigorescu (Managing Partner and Head of Transactions practice), and Laurențiu Lungu (Senior Associate, Real Estate and Defence), with extensive involvement of lawyers from corporate, merger control and FDI, employment, property and regulatory practices.
Automecanica S.A. is a Romanian joint-stock company headquartered in Mediaș, Sibiu, and a well-known brand on the international markets for automobiles, superstructures, containers, and chassis, with over 75 years of experience.
Otokar, a member of Koç Group, is Türkiye’s leading manufacturer of buses for public transportation, of light-weight trucks in the commercial vehicles segment, and of a variety of tactical wheeled and tracked armoured vehicles and turret systems for the defence industry.
This transaction further strengthens the firm’s corporate practice, adding to a solid track record of M&A mandates, such as:
- Autonom International on insurance & FDI regulatory approvals and the completion of its investment in Eazy Asigurari
- Zitec on the acquisition of Equilobe, a Romanian company specialised in the development of complex software solutions, as part of Zitec’s international expansion strategy.
- Motherson on the Romanian aspects of the transaction involving the acquisition of 100% of Nexans autoelectric’s global wiring harness business.
- cbs on the acquisition of Skyconsult’s SAP Business, marking its entry into the Romanian market.
- FOOTPRINTS AI on its latest investment by Catalyst Romania FUND II, to support the international expansion plans of Footprints’ AI-powered retail media platform.
- SARMIS Capital on the acquisition of Total Technologies to consolidate Smart ID’s position as a regional market leader.
