Highway Holdings Limited completed the purchase of a 51% stake in German‑based Regent‑Feinbau Adermann GmbH on February 28, 2026, for a total consideration of €662,000. The transaction was paid €612,000 in cash and €50,000 in Highway Holdings common shares, which are restricted from transfer until after March 31, 2027.
Regent‑Feinbau, founded in 1949, is a certified precision sheet‑metal and welded‑assembly manufacturer that serves automotive, commercial‑vehicle, aerospace and industrial customers. The company is known for laser‑cut, CNC‑bending, advanced welding, forming technology and component assembly, and it holds IATF 16949, ISO 9001 and ISO 14001 certifications. Over the past three years the business has been profitable, with average annual sales of approximately $2.7 million.
The acquisition aligns with Highway Holdings’ strategy to shift labor‑intensive operations to lower‑cost regions while expanding its high‑tech, automated facilities in Shenzhen. By adding Regent‑Feinbau’s advanced manufacturing capabilities and established relationships with leading German car makers and aerospace firms, Highway aims to broaden its product mix, increase margin potential and strengthen its position as a Tier‑1 supplier in European and aviation markets.
Highway’s recent financial performance underscores the strategic importance of the deal. In the third quarter of FY2026, the company reported a 40.5% decline in net revenue to $1.1 million and a net loss of $115,000, compared with a net income of $92,000 in the same quarter a year earlier. The loss of a major electric‑motor customer contributed to the revenue contraction, and the acquisition is part of a turnaround plan to diversify revenue streams and restore profitability.
Roland Kohl, chairman, president and CEO of Highway Holdings, expressed optimism about the acquisition, stating, "We are very happy to add Regent into our group of companies and expect Regent's CEO Matthias Bauer to contribute meaningfully as a new partner given his successful technical and entrepreneurial background." He also noted, "We are confident that Regent, under the continued leadership of Mr. Bauer, will accelerate our company's strategic transition into a much more diversified manufacturer, while helping to build value for shareholders." Matthias Bauer, Managing Director of Regent‑Feinbau, added, "Together with Highway Holdings, 2026 marks the starting point for building the next phase of Regent's growth. We are excited to join the Highway Holdings family and think it is the perfect fit."
The transaction is expected to accelerate Highway Holdings’ integration of high‑value engineering capabilities, enhance its competitive positioning in key markets, and support the company’s broader goal of becoming a diversified Tier‑1 supplier. The combination of Regent‑Feinbau’s precision manufacturing expertise and Highway’s global footprint is anticipated to create synergies that will improve operational efficiency and open new revenue opportunities in the automotive and aerospace sectors.
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