Worlds Top Two Conrod Manufacturers Merge

Pankl Group, the world’s leading motorsports conrod supplier, acquired 100% of the shares of the world’s second largest motorsports conrod supplier Carrillo via its 70% subsidiary CP Pistons. Carrillo, which is based in San Clemente, California, specialises in the development and production of steel-based connecting rods (engine components) and achieved with 65 employees revenues of USD 10.7m in 2007. Main customers of this US-company, which has a high profile in the international motorsports business, are the GrandAM and NASCAR teams. In regards of the purchase price confidentiality has been agreed. The new Pankl-subsidiary is fully consolidated from 1/7/2008.

In 1963, Fred Carrillo founded the company. In 2001, it was acquired by the PMI Group (Performance Motorsport Inc.), which is part of the global US-group Dover Corporation.

"Carrillo has an excellent position in the US market and is the best known conrod brand in US motorsports. Pankl customers can in future choose between “Pankl” and “Carrillo” conrods. This acquisition allows us to develop and produce conrods at different price points satisfying different technological requirements. The integration of Carrillo into the Pankl Group will lead to a number of synergies, such as the use of the global Pankl distribution network or the use of the Austrian based R&D facilities. Other synergies will result from the fact that CP Piston and Carrillo are located very closely to each other, both in geographic terms but also regarding their products and customers. Last but not least it was also our intention to establish another production facility in the US. The acquisition of Carrillo is our largest in the motor racing engine components division.

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