Spanish plastics and metal auto components producer Grupo Cosmos has stepped in to rescue the insolvent German car part injection moulder Muffler Plastic GmbH.
Navarra, Spain-based Cosmos, which has nine plants across Spain and in the Czech Republic, acquired the plant and assets of Muffler-Plastic at Pfullendorf, Germany, for an undisclosed sum at the start of 2016. It is expected to retain the firm's remaining 45-strong workforce.
Muffler Plastic, formed 30 years ago to produce plastic parts for the office supplies sector, specialized in large volume injection molded components for the automotive industry since 1988. It now has 15,500 square meters of molding capacity and warehousing at its Pfullendorf site.
In July 2014, family owned Muffler is reported to have been forced to file for insolvency when bank credit was withdrawn after the failure of a tool supplier. The molder faced an economic loss along with high tool pre-financing costs.
The court appointed insolvency administrator Matthäus Rösch managed to stabilize the German business which continued operating, initially with 65 employees. In talks with Muffler's leading automotive customers Audi and VW, he sought to attract potential new investors while maintaining customer parts supply.
Rösch announced the sale of the Muffler Plastic holding company to Grupo Cosmos, which was the strongest bidder to take it over, along with a long term supply agreement with the main customer.
The Spanish buyer, formed in 1995, has grown through the addition of a number of plants mainly in northern and central Spain. The group now employs more than 400 at its businesses.
These offer technology from plastics injection molding and painting to metal stamping and roll forming and assembly. The group operates 36 injection molding machines with clamping force ranging from 35 to 1,700 tonnes among them six machines of 125 tonnes at its Czech plant.
Grupo Cosmos clients include VW, SEAT, Audi, Skoda and Nissan as well as several tier one auto component suppliers such as Faurecia, Peguform and Maier.