DEUTZ AG Acquires SOBEK to Expand into Defense and Drone Market

DEUTZ AG has announced the acquisition of SOBEK Group GmbH, a German manufacturer specializing in high-performance electric drives. This strategic move will allow DEUTZ to diversify beyond its traditional market, tapping into the growing sectors of defense and drones. SOBEK's expertise in electric motors and control electronics spans applications such as motor sports and aerospace, with a notable emphasis on drones due to current geopolitical shifts.

The acquisition aligns with DEUTZ's Dual+ strategy, aimed at reducing reliance on internal combustion engines while enhancing its footprint in defense. DEUTZ's CEO, Dr. Sebastian C. Schulte, highlights the significance of drones in modern warfare and anticipates increased demand. SOBEK's advanced technology ensures high energy efficiency, catering to the specific needs of leading European drone manufacturers.

Completion of the transaction is imminent, with financing secured through credit lines. Should market conditions be favorable, DEUTZ may opt for a capital increase. This acquisition is expected to bolster DEUTZ's transition from a component manufacturer to a comprehensive system provider.