Turunc and Cleary Gottlieb Steen & Hamilton have advised worldwide automotive supplier Valeo on the sale of its passive hydraulic actuation division to Raicam, executed to obtain regulatory clearance for Valeo's planned takeover of German clutch manufacturer FTE. Italy's Studio Legale Gullo & Associati advised the buyers.
Financing for the deal was provided by Mediocredito Italiano (a member of the Intesa Sanpaolo group).
In 2016, Valeo announced its takeover of FTE Automotive for EUR 819 million, but the European Commission expressed doubts on the deal, leading to the company's decision to make the deal with Raicam. In 2017 the company's passive hydraulic actuation division reportedly achieved revenues of EUR 70 million, with a EUR 7.7 million EBITDA. It has about 400 employees, including patents and production sites in Mondovi (Italy), Gemlik (Turkey), and Nanjing (China).
Raicam is based in Manoppello, Italy, and produces and manufactures brake pads, drum brake pads, and brake shoes for Oem, Oes, and after market for cars, commercial vehicles, and trucks. Production is carried out in three factories in Italy and two others in England and India. According to a Raicam press release, "by integrating the division acquired in its organization, [the company] will have the capabilities and the resources to manufacture the entire clutch and actuation system, to provide customers with a faster and integrated service and to facilitate the industrialization of the active hydraulic actuators, developing innovative products and systems that can contribute to the reduction of C02 emissions in the automotive industry."
The Turunc team consisted of Partner Kerem Turunc and attorneys Nilay Enkur, Grace Maral Burnett, Beste Yildizili, and Gozde Kiran.
The Cleary team consisted of Partner Matteo Montanaro, Associate Federico Cenzi Venezze, and Trainee Pietro Meineri.