TRACC Legal Advises IQ Industrial Holding in Acquisition of WBN Waggonbau Niesky GmbH

The IQ Industrial Holding group of companies has acquired the former Deutsche Bahn subsidiary WBN Waggonbau Niesky GmbH, a manufacurer of railroad cars. The company based in Niesky, Saxony has about 200 staff members and, by supplying railroad car components for Deutsche Bahn and other railway companies, achieves annual sales of almost 50 million euros. As of the transaction, Waggonbau Niesky operates as a medium-sized company of its own. It retains the Niesky factory’s core staff.

TRACC LEGAL, based in Munich, acted as advisors for IQ. Dr. Thomas Lotz was the lead advisor and in charge of the M&A process and deal structuring. Dr. Thorsten Steinhaus assisted IQ with the negotiation of supply agreements with important customers. Attorney Georg Schumacher, TRACC Legal’s collaboration partner, provided support with all relevant aspects of labor law. An in-house team consisting of Dr. Martin Lamm and Kai Rabe advised Deutsche Bahn during negotiations.

The transaction structure was somewhat unconventional in that initially, an internal asset deal was carried out which involved transferring the operative business of WBN to a NewCo (“new WBN”) for the purpose of a capital increase by way of contribution in kind. Subsequently, the “new WBN” was sold to IQ ba way of a share deal.