Bosch announces plans to sell its packaging machinery business which is based in Waiblingen to a newly incorporated entity managed by CVC Capital Partners (CVC).
Packaging
The company and its pharma and food units will remain intact.
CVC is a private equity and investment advisory firm which is based in Luxemburg and has 24 offices in Europe, Asia and the United States.
The agreement which will affect 6,100 associates across 15 countries was signed on 11 July 2019. Details of the agreement will not be disclosed, and the completion of the sale is expected later this year.
Alexander Dibelius, managing partner of CVC, said: “Bosch packaging technology is a strong company in an attractive market with long-term growth prospects.
“Packaging technology has an excellent reputation for quality and innovation, a broad product range, a global footprint, and experienced associates.
“Together with the management team, we will work to take the business forward in the years ahead, and to make it even more competitive.”
Stefan König, president of Bosch commented: “My colleagues and I in executive management regard this new partnership with CVC as a huge opportunity for our future success.
“Just under two years ago, we completely modified our strategy. It now includes working on a completely new range of smart and sustainable process and packaging technologies. This will allow us to offer our customers even more attractive product solutions and services in the future. Our customers and our associates will benefit from the progress we have made.”
Stefan Hartung, member of the board of management of Bosch and chairman of the supervisory board of Bosch packaging technology added: “With its experience in growing companies over the long term, its broad industrial expertise, and its viable strategy for taking the division forward, CVC was the right choice for us.
“The growth concept it has presented, as well as the investments it plans to make, are very promising. For packaging technology and all its associates, our aim was to find a reliable new owner with a long-term approach, under whose leadership the business can develop successfully. We have achieved just that.”
The news follows the announcement made by Bosch a year ago, where it stated it the company was looking for a buyer for its packaging business. This is because Bosch is focusing on giving more attention to mobility and connectivity over the internet of things. Additionally, Bosch is preparing for further digitalisation.
Bosch hopes this new partnership will result in significant growth for the packaging division.