GEA explores possible sale of compressor supplier GEA Bock
Düsseldorf/Frickenhausen, October 15, 2019 - Düsseldorf-based technology group GEA is exploring a possible sale of GEA Bock as part of the Group's continued focus on its strategic core markets - the food, chemical and pharmaceutical industries. As announced at the Capital Markets Day in September, GEA plans to divest selected activities of the future Farm Technologies and Refrigeration Technologies divisions in this connection. On this basis, the GEA Bock business, which is part of the Refrigeration Technologies division, will no longer be treated as a core business of the GEA Group. A sale is expected to take place in the course of 2020. Both employee representatives and employees have been informed about the intended sale.
GEA Bock is a leading supplier of open and semi-hermetic piston compressors in the lower and medium refrigeration capacity range for stationary and transport-related cooling applications. The company employs around 300 people worldwide and generated sales of around EUR 90 million in the 2018 fiscal year. Two-thirds of these employees work at the company's headquarters in Frickenhausen, Germany. The company has three additional locations: in the Czech Republic, India and China.
"GEA Bock as a reliable partner for its customers has a strong market position and is excellently positioned with its products. Since becoming part of the GEA Group, the business has developed very encouragingly and today generates significantly more sales than when it was acquired by GEA in 2011. However, the time has come to make important decisions for the future of this business and in the context of the new structure of the Group as a whole. Unfortunately, the synergies in the areas of portfolio, customers and development envisaged at the time of acquisition have not materialized. This makes it difficult to sustainably develop the GEA Bock business within the GEA Group. GEA is therefore convinced that GEA Bock has significantly better development potential outside the GEA Group structure and strategy," explains Stefan Klebert, CEO of GEA Group Aktiengesellschaft.
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GEA is one of the largest suppliers for the food processing industry and a wide range of other industries that generated consolidated revenues of approximately EUR 4.8 billion in 2018. The international technology group specializes in machinery, and plants as well as process technology and components. GEA provides sustainable energy solutions for sophisticated production processes in various end-user markets and offers a comprehensive service portfolio. The group generates around 70 percent of its revenue in the food and beverages sector that enjoys long-term sustainable growth. As of December 31, 2018, the company employed about 18,500 people worldwide. GEA is a market and technology leader in its business areas. The company is listed on the German MDAX (G1A, WKN 660 200), the STOXX(R) Europe 600 Index and selected MSCI Global Sustainability Indexes. Further information is available on the Internet at gea.com.
GEA Group Aktiengesellschaft
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