Gallus strengthens its grip on roll fed carton converting

The Gallus Group, the market leader in narrow web roll fed printing technology, is to strengthen its involvement in the market for folding carton converting equipment.

The Gallus Group has now entered negotiations with the shareholders of BHS Druck- und Veredelungstechnik (BHS) to acquire its entire equity interest. Gallus acquired 30 per cent of the company’s shares in October 2005.

The planned takeover will go ahead subject to formal approval being granted by the anti trust authorities. It is expected that a decision will be reached within the next few weeks. Both parties have agreed not to disclose further information about the transaction.

The acquisition of BHS will allow Gallus to expand its current product portfolio into the folding carton market with wide web machines. In addition, the company will acquire high quality die cutting technology for roll fed solutions, thus enabling it to reach a broader customer base.

BHS is among the forerunners of infinitely variable drive systems in roll fed printing technology as well as flat bed die cutting machines for inline applications. The company has a turnover of 30 million euros and employs 120 people. Gallus is creating an integrated and autonomous business unit for this newly acquired folding carton business. The new business unit will complement the Heidelberg range of technology designed for folding carton applications.

Since 1999, the Gallus Group and Heidelberger Druckmaschinen AG have worked under a cooperation agreement. The Gallus Group employs 520, of which 300 are based in Switzerland. The Group is based in St. Gallen/Switzerland.