Recaro, a long-established manufacturer of all types of car seats based in southern Germany, has been taken over by an Italian investor.
Production will be moved to the Turin region and the German production site will be closed permanently, a spokeswoman said on Thursday. He added that 215 people are employed there, and only a small number of those jobs will be retained.
The buyer of Recaro Automotive GmbH is the Proma Group, an automotive supplier specializing in the production of seat structures, body assemblies and chassis suspensions. It has revenues of €1.1 billion ($911 million).
A spokesman for the insolvency administrator confirmed the buyer’s takeover, saying the contract had been signed.
Proma Group will retain several employees from Recaro’s original sales and engineering departments.
Alessandro Lieb, of the IG Metall union, said that Proma’s takeover meant that more than 170 people would lose their jobs.
Recaro Automotive GmbH recently had a turnover of almost 50 million euros. The company has been producing car seats for sports cars for decades and filed for bankruptcy a few months ago following the loss of a large order.
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