Sale of Gallus Group to benpac fails

The sale of Gallus Group by Heidelberg has not been completed after Swiss corporation benpac holding failed to make the purchase price of EUR 120 million.

The sale of Gallus Group by Heidelberg has not been completed

The five sites and around 430 employees of the Gallus Group will remain with Heidelberg. Heidelberg will continue to handle sales and service for the Gallus portfolio. 

Heidelberg said it will now examine 'various options for the corporate future of Gallus'.

'Irrespective of the Gallus transaction,' said the company in a statement, 'Heidelberg is already benefiting considerably from the transformation program launched in the current financial year to further stabilize the company financially. 

'Since March 2020, net debt has been reduced by more than EUR 250 million from a peak of EUR 390 million, and liquidity has been improved by around EUR 450 million. As a result of the accelerated M&A program, Heidelberg will generate proceeds in the mid-double-digit million EUR range from the transactions completed in December 2020 alone.

'Heidelberg continues to expect to achieve its targets for the financial year 2020/21.'