The Paris Commercial Court validated on Tuesday 1er February, the takeover bid for the last aluminum wheel factory in France, Alvance Wheels, in Diors in Indre, by the company EDS, whose shares are 100% owned by Emile di Serio, the group’s boss foundry Saint Jean Industries, according to the Ministry of Economy, Finance and Recovery.
The judgment of the Paris Commercial Court validating the takeover was rendered on Tuesday, after the lifting, at the end of the previous week, of the suspensive condition posed by the buyer, said an official from the Ministry of Industry.
In difficulty since the fall of the industrial empire of the British businessman Sanjeev Gupta, the factory will be called “Imperial Wheels” after its takeover by the company EDS. One hundred and sixty-six jobs will be retained, with a target of 400 employees by 2026, Bercy said in a press release.
The Minister of the Economy, Bruno Le Maire, and the Minister Delegate for Industry, Agnès Pannier-Runacher, welcomed “the validation of the project to take over the company EDS which will make it possible to perpetuate the industrial activity of Alvance Aluminum Wheels”.
Half of the employees made redundant “in the next few days”
The industrial project of the company EDS plans to continue the production of aluminum rims in Indre for the main French manufacturers, while developing new models of wheels thanks to a new technology, Cobawheels, brought by the buyer, they specify. .
In total, the State will provide 41 million euros (11 million in direct subsidies, 30 million euros in direct loans) and the Centre-Val de Loire regional council, 5 million, when the buyer offers 7 million euros, including 5 million in kind in the form of patents, according to the same source.
The Avenir Automobile fund, owned by Renault, Stellantis and the State, has also promised 7 million euros in long-term loans. In addition, Saint Jean Industries has received order commitments from manufacturers Renault and Stellantis for 2022 and 2023. The necessary authorization from the European Commission should take place “within three months”, said the office of Minister Agnès Pannier Runacher.
Half of the employees, who will not be taken over, will be made redundant “in the next few days”. Aid will be paid to them by an exceptional fund activated by Pôle emploi dedicated to layoffs in the automotive industry. In particular, they should benefit from a year’s net salary, and training and aid for mobility or business creation.