Heidelberg sells Gallus
Heidelberg announced it will be selling its label press business, Gallus Group to Swiss company, benpac holding ag. With the sale, Heidelberg will be focusing on its core business of sheetfed printing.
In the future, Heidelberg and benpac will work together closely on the Gallus Labelfire digital label press. Heidelberg will continue supplying the digital printing unit (DPU) and consumables for this press.
“We are selling our narrow-web rotary and rotary flexographic printing activities to focus more closely on innovative solutions for the entire printed sheet value chain. We will be retaining our in-house digital expertise and, by collaborating with benpac on the Gallus Labelfire, we will also be making further progress with the digitization of conventional presses. At the same time, we will remain a major supplier on the growing label market with our sheetfed offset presses,” said Heidelberg CEO Rainer Hundsdörfer.
The transaction will see benpac assume ownership of all five Gallus Holding AG sites with a total of some 430 employees in Germany and Switzerland. With an agreed purchase price of some 120 million euros, Heidelberg is expecting the deal to generate earnings in the mid two-digit million-euro range.