Germany is the world's third largest producer of machinery. Mechanical and plant engineering is thus considered the leading export and innovation sector. The industry, which is strongly characterised by small and medium-sized enterprises, manufactures complex products for the entire economy and utilises technologically sophisticated preliminary products.
LAST UPDATE
01/10/2021
TYPE
Executive Summary
CONTRIBUTORS
Christian Saxenhammer
Current Developments
In recent years, the mechanical and plant engineering industry has devoted itself to digital challenges. The introduction of digital production processes offers promising prospects for industrial companies in the context of the Smart Factory and Industry 4.0.
Growth Rates
2020
-10.9%
2021
+3.4%
2022
+3.8%
Trends
Digital twins
Digital twins are the digital representation of physical objects and systems that can be used to optimise and link processes, improve production, and minimise failure rates.
Transactions
Our Sector Transactions
0
Highlight Transaction
RSA Cutting Systems GmbH x FMC Beteiligungs KG
Number of M&A transactions - DACH region, 2021 (as of August)
189
Significant Transactions
Leonardo S.p.A. X Hensoldt AG (2021)
BorgWarner Inc. X Akasol AG (2021)
The topic of Industry 4.0 has a significant influence on the structure and development of mechanical and plant engineering. The need for software expertise is continuously increasing - software-based services open up new, innovative business models. Materials of the future also enable completely new approaches to products and production processes. Materials and material combinations such as laser crystals or customisable plastics are being developed ever faster in the laboratories and brought to market.
Saxenhammer has in-depth technical and industry knowledge and can draw on a broad network of industry experts with many years of transaction experience.
"German mechanical and plant engineering is characterised by the hidden champions of the SME sector. From an investor's point of view, the demand for those companies that have specialised knowledge in a niche is continuously increasing, especially in Germany."
Christian Saxenhammer
Managing Partner
Mechanical and plant engineering reflects the entire range of performance capabilities of German industry and is one of the most innovative industrial sectors. The development of Industry 4.0 opens up optimisation potential along the entire value chain. In the future, new markets will emerge and turnover will be decisively determined by digitalisation, climate protection and the mobility revolution, among other things.
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