Hammonds LLP has advised its long-standing client Torotrak Plc on the acquisition of a 15% stake in the Danish company Rotrex.
As part of the deal the Leyland-based automotive transmission technology specialist will form a UK-based joint venture with the Danish company which is to be known as Rotrak Ltd.
Rotrak, which is a 50:50 joint venture, will exploit opportunities associated with the downsizing of engines, seen as a material and growing trend in the automotive sector.
Torotrak is the world leader in full toroidal traction-drive transmission technology for automotive, truck, bus, outdoor power equipment, agricultural and off-highway manufacturers (construction and materials handling vehicles).
Rotrex is a technology company based in Copenhagen, Denmark. In 2008 it developed its fully variable electrically driven supercharger for the automotive and transportation markets. The superchargers are designed to reflect the 10 year lifetime requirement of an automotive component, with its products having passed rigorous OEM durability tests.
Torotrak was advised on the joint venture by a team from Hammonds in Manchester led by the office's head and corporate partner Jane Haxby. The team also comprised corporate lawyer Rabia Ahmad, commercial partner Peter Donaldson and commercial associate Emma Ball.
The firm has been acting for Torotrak since 1998 when it de-merged from BTG Plc. Last year the firm advised the Lancashire company on its IP licensing deal with
the US truck manufacturer Allison. Previously the firm had acted for Torotrak in 2007 on a £6.7 million placing and open offer.
Jane Haxby commented: "The Rotrak joint venture is a strong strategic move for Torotrak in their quest to develop new commercial relationships with industry partners. This application of the technology is aimed at two key areas in the drive for clean vehicle technology, namely fuel efficiency and reduction of CO2 emissions. It is great to see Torotrak at the forefront of that drive."
For further information contact:
Kath Paddison, Communications Manager, Hammonds LLP, on 0161 830 5289 or email: firstname.lastname@example.org