Dilsen-Stokkem/Hasselt, December 1, 2009.
LRM and Luc Thijs will be implementing a capital increase of 7,850,000 Euros in Alro Holdings. The group suffered heavily from the economic crisis in 2008 and 2009 and the new investment will restore the liquidity of the Alro group and strengthen its balance structure.
Alro Holdings consists of the trading companies Alro, WCA Alro, Alro Slovakia and Recitech. The group is mainly active in the field of coating and painting parts for the automotive and truck sector. Customers include Volvo Trucks, DAF, Audi, BMW, Skoda and Volkswagen. At present, the Alro group employs 770 people.
In 2008 and 2009, Alro suffered greatly from the worldwide economic crisis in the automotive and truck sector. As a result, Alro's turnover in 2009 is expected to be down by approximately 60%.
To restore liquidity and strengthen the balance structure, LRM and Luc Thijs are increasing the group capital with 2,500,000 and 5,350,000 Euros, respectively. LRM is also offering a subordinated loan to Alro Holdings of 7,500,000 Euros.
“Alro is an important supplier and we believe that because of its scale, state-of-the art production facility and continuous innovation, Alro has a future within the production economy in Limburg” stated Stijn Bijnens, General Manager of LRM. “A recovery of the sector will ensure the return of profitability”
Luc Thijs, delegated administrator of Alro Holdings confirmed: “I am very satisfied to be able to invest in the future of the Alro group in cooperation with LRM. It is a sign of trust for all stakeholders. Together with our employees, customers and suppliers, we can now work on expanding the group again. Our good reputation in the automotive and truck sector and other industries, the modern production facility and the expertise of our employees represent an excellent basis”
About ALRO
ALRO NV/WCA-ALRO NV/ALRO SLOVAKIA
These trading companies are specialized in coating both small and large metal and plastic parts. The trading companies are active in the automotive, truck, industrial and agricultural vehicle, electronics industries, amongst others.
RECITECH NV
Recitech N.V. is specialized in the disposal of waste resulting from production processes and the management of water treatment plants. They distinguish themselves in the field of monitoring, preparation and processing of process water needed for industrial paint shops.
Recitech NV is also active in the field of industrial cleaning, specifically chemical and thermal metal stripping and all appropriate follow-up treatments.
Recitech has its own fully-equipped and recognized analytical laboratory which can execute large-scale tests of all types of process waters and waste for other companies.
www.alro-group.be
About LRM
LRM is a profit-oriented investor, offering entrepreneurs a unique combination of risk capital and real estate. Oxygen for growth!
LRM is a generalist, but has developed specific competencies in ICT, Life Sciences and Cleantech. LRM's activities contribute to the economic development and general employment in the province of Limburg. It targets all sectors and companies, from starting companies to growing SMEs and larger businesses.
Access to LRM runs via five domains: ICT & Media, Life Sciences, Cleantech & Energy, SMEs and Large Businesses.
www.lrm.be