Acquisition of drone specialist Deutz enters the defense business with the purchase of the Sobek Group

Source: dpa 1 min Reading Time

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The Sobek Group, a specialist in drone propulsion systems, is set to be acquired by Deutz.

The engine manufacturer Deutz has wanted to enter the defense business for some time. Now the planned purchase of the Sobek Group, a specialist in drone propulsion systems, is becoming a reality. (symbolic image).(Image: S. Valinsky)
The engine manufacturer Deutz has wanted to enter the defense business for some time. Now the planned purchase of the Sobek Group, a specialist in drone propulsion systems, is becoming a reality. (symbolic image).
(Image: S. Valinsky)

Sobek is said to give Deutz direct access to the rapidly growing defense market. In this way, Deutz wants to create the basis for strategically developing the defense market beyond the use of classic drives. In any case, this is not entirely new, as Deutz decision-makers have recently repeatedly announced that the expansion of the defense business is part of the strategy to become less dependent on the cyclical business with combustion engines. Of course, the purchase price is again not being disclosed.

Sobek takeover by Deutz coming soon

The Deutz Group merely announced that the financing of the takeover is secured by credit lines. The company is also considering a capital increase from authorized capital, excluding subscription rights, amounting to no more than 10 percent of the share capital. Sobek reportedly has around 70 employees and expects turnover in the low to mid 2-digit million range in 2025. The margin—measured in terms of earnings before interest and taxes (EBIT)—will be a significant 2-digit figure, as emphasized. The transaction is expected to be completed in the near future. Sobek operates from three locations in Baden-Württemberg and Hesse and is active in several specialized fields of application. These include motorsport, aerospace and medical technology. Among other things, the company supplies several top Formula 1 and Formula E teams with high-performance pumps based on its electric motors and control electronics.

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