“Executed before Christmas”

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After the 299 Michelin employees at Vannes on November 5it's the turn of 350 employees of the Caudan Foundry (Morbihan) to learn that the closure of their factory December 20, 2024. New blow for the industry in southern Brittany.

Failed negotiations

Heir to the Forges d’Hennebont, created in 1860the Fonderie de Bretagne is located in Caudan Since 1965. It produces chassis parts, engine parts and gearbox parts. The end of the company is (almost) recorded.

La Fonderie de Bretagne, which employs 350 people in Caudan, announced Friday December 20 l’failure of negotiations with a view to its takeover by the Private Assets fund, accusing Renault of having refused to validate the terms of the draft agreement.

The Fonderie de Bretagne (FDB) is “coldly executed by Renault Group on Christmas Eve”, writes the company in a press release.

This unfair decision condemns the feasibility of the Fonderie de Bretagne takeover project and will cause the closure of the company in the very short term.

How important is Renault in this company?

In 2022, Renault sold FDB to German investment fund Callista Private Equity. But it remained its main customer, representing 95% of its turnover in 2024.

The Fonderie de Bretagne, whose employees produce cast iron parts for suspensions and exhaustsbegan negotiations in July with the German investment fund Private Assets for its takeover, while the factory is in serious deficit.

The Private Assets fund, already owner of a group of foundries in Germany and Spain, Procast Guss, has already committed to bringing 11,000 tonnes of production to the workload plan, according to FDB management.

“There was still 2.9 million euros missing and especially the visibility on the volumes ordered by Renault from FDB for the years 2025, 2026 et 2027 to finalize an agreement”, indicated the Fonderie de Bretagne in its press release, stressing that it “is essential […] that the decline in orders from Renault be controlled.”

Management criticizes Renault

According to the press release, Renault Group refused Private Assets' latest proposal “because it has already planned to relocate production from Fonderie de Bretagne and that he prefers sacrifice 350 jobs in France rather than reconsidering its strategy.”

The general management of Fonderie de Bretagne expressed “its deep disgust and anger at the cold cynicism of Renault, which waited for the political crisis and Christmas Eve to definitively confirm its refusal to make the slightest concession”, in the press release.

Several players helping the company

The State and local authorities were committed to financially supporting FDB to the tune of 16 million euros in addition to the 2.5 million euros from France 2030according to the office of the Ministry of Industry.

“Despite this, Renault now refuses to provide sufficient visibility on the market share of their orders allocated to FDB. However, this visibility is necessary to enable any industrial recovery project,” indicated the same source.

“Renault must now face its responsibilities and assume the consequences of the decisions that will be taken,” added the entourage of the resigning Minister of Industry Marc Ferracci.

Contacted, the Renault group could not be reached immediately.

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