World market leader and still in economic trouble: The Polar Group, to which Dienst Verpackungstechnik GmbH also belongs, has placed itself under a court-supervised protective shield. The machine manufacturer is suffering from supply bottlenecks for cutting and packaging machines.
It was not good news that the management of the Hofheim-based Polar Group delivered to its 380 employees on Monday afternoon. The mechanical engineering company has placed itself under the so-called protective shield. This special procedure under German insolvency law combines provisional self-administration with the aim of presenting an insolvency plan at an early stage in order to facilitate the reorganisation of companies.
The Polar Group includes Adolf Mohr Maschinenfabrik GmbH & Co. KG, Polar-Mohr Maschinenvertriebsgesellschaft mbH & Co. KG and the 1988 founded Dienst Verpackungstechnik GmbH. Under the protective shield, operational management and responsibility will remain with these three companies.
In its core business of print finishing, Polar Mohr Market leader for decades for cutting machines, around 80 per cent of which are exported.
World market leader also in a packaging sector
"We have been able to grow in the packaging technology sector with a focus on the food industry, in which we have been active since 2011, and have become the global market leader in packaging machines for frozen pizzas. Group turnover increased last year and also in the first half of 2022. Supply bottlenecks for control systems and other components have now significantly reduced production volumes, as we are unable to deliver almost finished machines to customers. In addition, customers are holding back on new orders because we can no longer schedule deliveries",
The company emphasises that it can continue to operate undisturbed under the protective shield. Frankfurt lawyer Dr Robert Schiebe has been appointed as the Polar Group's general representative to support the restructuring.
He said: „We will continue to work undisturbed with all 380 employees, fulfil all our obligations and continue our existing customer relationships. Salaries will be covered by the employment agency until the end of October“
The Group still has enough breathing space and is not insolvent. The early step under the protective umbrella enables a quick and sustainable restructuring.
The lawyer was confident that the company could be reorganised in the coming months and that all jobs could be saved.
Source: Polar Group