Noerr advises Commerzbank on funding for acquisition of SOBEK Group by DEUTZ AG in the defence sector

A team from Noerr under the remit of Alexander Schilling, Nikolai Warneke and Martina Buller has once again advised Commerzbank Aktiengesellschaft on acquisition financing for DEUTZ AG. The credit facility is to be used to acquire the entire SOBEK Group GmbH, a company developing high-precision electrical drivetrains with three facilities in Germany.

The acquisition will allow DEUTZ to enter a new growth market in the defence sector. SOBEK’s drivetrains are used in unmanned aviation systems such as military drones, for example. In the civilian sector, its customer industries mainly include motorsports, medical technology and robotics. DEUTZ is acquiring 100% of the shares in SOBEK from the current owner and managing director.

Financing for the acquisition is secured by credit lines. DEUTZ is also considering raising extra funding for the transaction through a capital increase from authorised capital excluding subscription rights equivalent to no more than 10% of the current share capital under suitable market conditions.

Our team also advised Commerzbank on acquisition financing for DEUTZ AG last year. The purpose of the credit facility was to acquire distribution and service activities from Rolls-Royce’s Power Systems division.

COMMERZBANK Aktiengesellschaft is the leading bank for the German SME sector and a partner of some 24,000 corporate customer associations in Germany. Headquartered in Cologne, the publicly listed DEUTZ AG is one of the world’s leading manufacturers of innovative drivetrains and achieved a turnover of around €1.8 billion in 2024.

Advisors to Commerzbank Aktiengesellschaft: Noerr Partnerschaftsgesellschaft mbB

Alexander Schilling (partner), Nikolai Warneke (partner), Martina Buller (associated partner), Jonas Strubel (associate, all Banking & Finance, Frankfurt)