The 12-year-old company plans to increase investment in new technologies and move into fresh business sectors.
Tecosim's team of 80 engineers and physicists use powerful in-house computers to study and optimize the behavior of components under a variety of loading conditions.
The company works for Ford, DaimlerChrysler, Porsche and Opel. The suppliers Faurecia, Johnson Controls and Autoliv are also customers.
Last year Tecosim achieved sales of 8.1 million euros. Managing director Juergen Veith hopes to double that figure by 2006.
Tecosim is not afraid of low cost competition from Asia. Co-managing director Udo Jankowski said: "Low hourly wages alone do not count. Our customers want proximity, efficiency and high safety standards."
Tecosim's former principal shareholder RLE International, an engineering service provider from Cologne, has already reduced its stock to 25 percent from 55 percent a1:22 PM 8/16/04nd now plans to also sell the remaining shares.