Having pioneered continuously variable transmission (CVT) technology in the 1970s, Punch Powertrain now has an established position in the fast growing Chinese and Asian automotive markets. Punch Powertrain has also made significant investments in cutting-edge hybrid and electric powertrain technology. This positions the company to benefit from the increasing focus on fuel efficiency and emissions reduction in global automotive markets, especially in growing urban traffic.
Since Gimv’s investment in Punch Powertrain in 2010, turnover has almost increased fivefold. At the same time it expanded its customer base and broadened its products range.
Financing was only part of Gimv’s contribution to the company’s ride to success. We supported senior management of Punch Powertrain on several strategic initiatives, such as achieving customer and product diversification. For example: the technology agreement with DTI and its subsequent acquisition, developing different financing structures, working out strategic cooperation models with customers, developing the business plan and bringing the China-focused fund New Horizon Capital on board. These interactions took place when we thought that our opinion and experience could make a difference.
The sale of Punch Powertrain to the Chinese Yinyi group has been completed successfully In August 2016. For Punch Powertrain, Yinyi group is the right partner that will continue to give the company the opportunity to realize further growth and to diversify geographically, both within and outside Asia.
Read more about Punch Powertrain and our partnership in Gimv Insights, March 2016
November 2016, Punch Powertrain was awarded 'Deal of the Year' by GP Bullhound.