Bosch is planning to sell its packaging machinery business. In an exclusive statement, Dr Stefan König, Chairman of the Board of Management of Robert Bosch Packaging Technology GmbH, explains the current situation.
pj: At the beginning of June 2018, stable business development was reported for Robert Bosch Packaging Technology GmbH (PA) and a positive sales trend was forecast, at least for the pharmaceutical sector. What were the main reasons for this decision?
Dr Stefan König: Following an intensive and thorough review of all strategic options, Bosch has decided to seek a buyer for its packaging technology (PA) business. This concerns the pharma and food areas of the Packaging Technology division. In view of the Bosch Group's focus on the necessary transformation, no sufficiently relevant business and technological synergies have emerged within Bosch, and thus no prospects for the future of the division at Bosch. Packaging technology is not part of the Group's core business. In addition, the Bosch Group pursues a strategy of positioning itself competitively. As a result, the Bosch Group is continuously adapting its business areas - and this decision is part of that.
pj: Is it yet clear whether the Pharma and Food divisions will remain in their current form?
Dr Stefan König: We are one of the largest companies in our industry and are clearly on the right track. We will remain together as a strong, stable division and provide our customers with outstanding production solutions and services as a proven team - even under a new owner.
pj: Do you see the change as an opportunity (also for a reorientation)?
Dr Stefan König: Bosch Packaging Technology has always been a largely independent division of the Bosch Group and will be able to position itself even more specifically for the needs of the industry in the future. Our customers will benefit from this.
The Bosch Group is convinced that the Packaging Technology division needs a different set-up in order to be able to respond more flexibly to the specific requirements of the market for special machine construction. A powerful buyer is being sought for the sustainable strengthening of the division with pharmaceuticals and food. The ideas for a long-term orientation must also be presented.
There are different types of potential buyers and correspondingly different options. The Bosch Group expects a buyer to clear concept for the further development of the business: This could be, for example, access to additional regional markets - or a corporate structure and processes that are even better orientated towards special machine construction. We are convinced that a buyer with a clear industrial concept can strengthen the business in the long term.
pj: What is the time frame for the separation?
Dr Stefan König: The preparations for the sale are only just beginning and will be very structured and organised. As a rule, such a Process 1.5 to two years. Speculation about possible buyers does not help. We ask for your understanding.
pj: How will the divisions present themselves at the trade fairs?
Dr Stefan König: We will be presenting at the upcoming trade fairs as planned. In Germany, for example, we will be focussing on the iba and Fachpack trade fairs and the Visual Inspection Forum in Berlin in the second half of the year, while the Healthcare Packaging Expo trade fair and Pack Expo International in the USA in October will be important for us internationally.
pj: Should developments continue as planned?
Dr Stefan König: Yes, we will continue with the planned investments and further expand the business as planned.
pj: Will there be consequences for customers worldwide?
Dr Stefan König: Our customers, suppliers and partners as well as the media and politicians were informed on the same day. This early communication makes it possible to involve all parties in the further sales process and prevent possible rumours and mistrust.
Of course, we at Bosch Packaging Technology will continue our business with vigour and passion. The product and service portfolio remains the same, as do the contacts for our customers. We will continue to be a reliable partner for our customers and will of course honour all existing business agreements with our customers. They can rely on the same care in terms of delivery reliability and the usual high quality.
The Bosch Group will ensure an orderly, smooth transition process to an acquirer. It is the declared intention to only consider an acquirer who will guarantee the existing agreements with our customers even after the transition.
Dr König, thank you for your statement!
(The interview was conducted by Brigitte Bähr.)
