Tesla Acquires German Tech Firm Manz Assets Amid Insolvency

Tesla Automation GmbH, a subsidiary of Tesla Inc. TSLA, has reached an agreement to purchase assets from the German technology company Manz AG.

According to the press release issued on Tuesday, the deal involves acquiring Manz's Reutlingen facility along with over 300 employees working there. Tesla Automation plans to manage this new location moving forward.

The transaction is awaiting clearance from the German Federal Cartel Office under antitrust regulations, and the purchase price has not been revealed.

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Manz AG has initiated insolvency proceedings following a ruling by the Local Court of Stuttgart on 24 February 2025. As part of the insolvency process, the company will cease operations and liquidate its assets. Job losses will affect approximately 100 employees.

Those not moving to Tesla Automation will be provided opportunities through a transfer company to help ease the transition.

"We are gaining qualified employees with a high level of expertise in high-tech mechanical engineering. The Reutlingen site is an ideal complement to the continued successful implementation of our global automation projects in the Tesla Group. We are very pleased to be realizing future innovations there," said Managing Director at Tesla Automation, Lothar Thommes.

Manz AG had announced earlier, in January 2025, that it would seek to sell all of its business units. In addition to the Reutlingen site, various subsidiaries are part of the ongoing sales process.

Although the asset sale is underway, it is anticipated that the proceeds will not fully satisfy the claims of non-subordinated creditors, and no payments will be made to subordinated creditors, including shareholders.

Manz AG specializes in creating production solutions for lithium-ion batteries and electronic components, serving industries such as automotive and e-mobility, electronics, energy, and battery manufacturing.

Employing approximately 1,200 people, the Manz Group operates production facilities in Germany, Slovakia, Italy, mainland China, and Taiwan, with additional sales and service offices in the USA and India.

Tesla reported fourth-quarter revenue of $25.71 billion, up 2% year-over-year. Automotive revenue totaled $19.8 billion in the fourth quarter, down 8% year-over-year.

Price Action: TSLA shares are trading lower by 9.74% at $298.05 at the last check Tuesday.

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