ContiTech in Talks to Sell Sealing Operations

Continental division ContiTech is in talks with private equity investor Orlando Management GmbH to sell its rubber sealing business ContiTech Profile to Orlando Management client Special Situations Venture Partners Fund, a spokesman for Orlando Management told the AFX news agency.

The spokesman said he expects a deal to be concluded in the third quarter. According to the website of the German Cartel Office, Special Situations has already applied for cartel approval of plans to buy ContiTech Profile. Sources close to the company said Special Situations has plans to merge ContiTech Profile with SaarGummi GmbH, a unit of SG Sealing Ltd.

The Orlando spokesman said SG Sealing is also a unit of Special Situations, an offshore private equity company based in Guernsey. ContiTech Profile, which makes rubber-based sealing systems for car body parts, last year posted revenues of 76 million euros.

A spokesman for ContiTech confirmed his company is in talks regarding the sale of ContiTech Profile and declined to give details. He said negotiations are expected to be concluded this month.