Recaro Automotive Rescued from Bankruptcy

The German company, which filed for bankruptcy in July, has been saved by an Italian parts manufacturer stepping in to ensure its survival

Recaro Automotive GmbH has been rescued from bankruptcy through an investment agreement with the Italian company Proma Group. The transition period for Proma to take over the German-based seat maker has already begun. Proma has pledged to retain several original employees to ensure a smooth transition and continued customer support.

Aftermarket seats from Recaro will be available again starting next month, coinciding with the transfer of OEM production to Italy, where the first new seats will be manufactured. The German company filed for bankruptcy in late July due to severe financial challenges and is believed to have contributed to the Ineos Grenadier production halt earlier this year.

“Our investment in Recaro Automotive will enhance our ability to deliver premium seating products while leveraging cutting-edge innovations in the automotive sector,” said Luca Pino, CEO of Proma Group.

Proma Group specializes in manufacturing a range of automotive components, including seat structures, body assemblies, and suspension beams. With a workforce of 5,000 employees across 25 factories on three continents, the company is a global player. Recaro’s operations in North America and Japan continue without disruption.

Recaro isn’t the only major name to face challenges in 2024. Wheel manufacturer BBS and enthusiast brand Hoonigan have also filed for bankruptcy this year. Hopefully, both companies will recover as smoothly as Recaro.

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  • Growing up with a father who was a mechanic I had an appreciation for cars and motorcycles from an early age. I shared my first bike with my brother that had little more than a 40cc engine but it opened up a world of excitement for me, I was hooked. As I grew older I progressed onto bigger bikes and...

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