Recaro Files for Insolvency

Recaro Automotive GmbH, based in Kirchheim unter Teck, has filed for insolvency. This decision was driven by several financial challenges, including steep price increases over recent years and the loss of a significant contract. These issues, combined with legacy products and a dip in vehicle purchases in the region, have put a strain on the company.

What Led to This?

Recaro faced extreme price increases and lost a major contract, which severely impacted their finances. Additionally, older product lines and declining vehicle sales in the region hampered their ability to develop new products.

Current Status

On July 29, 2024, the Local Court of Esslingen approved preliminary self-administration for Recaro. Attorney Holger Blümle from Schultze & Braun has been appointed as the preliminary custodian, while Baker Tilly, an international consulting firm, is offering legal guidance.

Impact on Employees

Insolvency payments will ensure that employees continue to receive their wages and salaries. On Tuesday morning, a town hall meeting was held with employees, the trade union, the works council, and local politicians to discuss the situation. The company plans to keep full production going during the insolvency process to meet all current orders and respond to new customer inquiries.

Support and Future Plans

Shareholders have emphasised Recaro’s importance to the region and pledged their support for restructuring efforts. The insolvency proceedings are confined to Recaro Automotive GmbH and do not affect any other companies in the group.

Recaro aims to strengthen its local and global position through this process, under judicial supervision and with Baker Tilly’s support. By collaborating with employees, suppliers, and customers, and leveraging an insolvency plan under German law, Recaro expects to stabilise and regain solid ground in the near future.

Recaro’s Legacy

Recaro is known for its commitment to quality, innovation, safety, and comfort. With over sixty years of experience in high-quality German engineering, the company employs more than 200 people.

About Recaro’s Advisors

Baker Tilly, with 41,000 employees in 145 countries, offers a wide range of consulting services. Their auditors, lawyers, tax advisors, and management consultants work together to provide tailored solutions for their clients.

Schultze & Braun is an interdisciplinary firm of lawyers and tax advisors in Germany, with over 500 specialised staff across more than 30 locations in Europe.

Aston Martin Bulldog Returns Home

After 7,000 hours of restoration, the Aston Martin Bulldog is set to return to its owner in the United States. This special car, which has reached its 200mph speed goal, spent 1,664 days in the care of Classic Motor Cars Ltd (CMC) in Bridgnorth, Shropshire.

The Bulldog is now en route to Pebble Beach Concours d’Elegance in California, where it will compete in the wedge-shaped concept car and prototype class. Known as one of the most challenging and prestigious car concours events globally, Pebble Beach provides a fitting stage for the Bulldog’s return to America.

Originally produced in 1979, the Bulldog was designed by William Towns for Aston Martin. Despite its futuristic design and high aspirations, the car failed to meet its 200mph target during its initial era and was subsequently sold and very rarely seen.

In 2019, American businessman and car collector Philip Sarofim acquired the Bulldog and entrusted Richard Gauntlett with overseeing its restoration. CMC was chosen for the task, and the Bulldog arrived at their facility in early 2020. In November 2021, the car reached 162mph during a shakedown session at the Yeovilton Navy base in Somerset. By June 2023, it had surpassed its original goal, achieving a top speed of 205.4mph at Campbeltown, Scotland, driven by Aston Martin works driver Darren Turner.

Notably, the Bulldog is the only car to have been showcased on both the HMS Prince Of Wales and HMS Queen Elizabeth aircraft carriers, as part of charitable initiatives with the Royal Navy.

In addition to the Bulldog, CMC also worked on four unique prototype cars designed by William Towns – The Minimissa, Microdot, Tracer, and Hustler. These ‘puppies’ underwent a sympathetic restoration over 3,600 hours and have been part of CMC’s collection for over three years. They joined the Bulldog at Woburn Abbey in Bedfordshire in May 2024 to recreate a historic 1979 interview between William Towns and Thames TV.

Tim Griffin, the Managing Director of CMC, said: “We are proud and privileged to have restored Bulldog and it is a testament to the team in Bridgnorth that this was acknowledged with three major awards: RAC Restoration of the year, the Coppa d’Oro award at the Concorso D’Eleganza at Ville D’ Este and The Victor Gauntlett Trophy which was awarded to the team by the Aston Martin Owners Club.”

Phillip Sarofim, the owner of the car, said: “My business is all about finding entrepreneurs who are looking to change the world, and, for me, that is what concept car designers do – they prove that it’s not necessary to accept the past in order to look to the future. I am a great believer in the power of icons such as Bulldog to inspire the next generation to push the boundaries and shoot for the stars.”

David Barzilay, Communications Director with the firm, said: “The team will be watching results from Pebble Beach closely and hoping for another win. The story of Bulldog and its ‘puppies’ has been followed closely by enthusiasts and journalists all over the world, and both a documentary and a book are being produced.”

H & H Auction Results

H&H Classics successfully sold 86 per cent of the classic, collector, and performance cars at its latest auction on July 24th, making a total of more than £1.32 million.

The auction, held at the Pavilion Gardens in Buxton, saw a packed saleroom and high levels of participation through online platforms and phone bids. Over 900 individuals registered to bid, with offers coming from Australia, Malaysia, and the USA. Winning bids were placed from countries including France, Italy, Switzerland, and the Czech Republic, highlighting the global reach of H&H Classics.

James McWilliam, sales manager, H&H Classics said “We’re delighted with the results in our latest auction. They show that the market remains lively, not just in the UK, but around the world too. Having over 900 registered bidders and a very strong sales rate shows that enthusiasts are still buying cars with sensible estimates and careful sale curation. We’d like to thank everyone who entered a vehicle, bid on one of the lots, or simply attended and help us create a wonderful atmosphere on the day.”

The highest-selling car was a 1967 Mercedes-Benz 250SL, which sold for £139,500, exceeding its lower estimate by £40,000. This UK-market, fully-restored model with a 50-year ownership history drew significant interest.

A former UK press fleet Audi Quattro UR, freshly overhauled, also got lots of attention, selling for £56,250—more than £16,000 above its lower estimate.

An Aston Martin DB6 project sold for £76,500. The matching-numbers, manual gearbox car has significant restoration work completed, with more left for the new owner to personalise.

A 1967 Mercedes-Benz 230SL sold for £69,750, while a 1929 Lagonda 2-litre Tourer, with extensive history and previous long-term ownership, sold for £51,750, surpassing its £40,000 lower estimate.

The late David Lucas’s collection brought a range of British classics to the auction, all requiring restoration and offered at no-reserve. Highlights included a 1936 Armstrong-Siddeley 17hp Foursome Drophead Coupe for £8,550, a 1964 Triumph Herald 1200 Coupe for £6,975, and a 1975 Triumph 2000 MK2 Estate for £2,812.

For a complete list of auction results, visit www.handh.co.uk