19. November 2020

Polytec Group: Divestment of the Industrial Division

The Polytec Group announced that it has signed a contract for the sale of its interest in its “Industrial Division”. The division constituted the company’s original business area and at locations in Bochum, Germany, and Marchtrenk, Austria, manufactures moulded polyurethane parts and coatings, as well as machinery for the processing of plastics for a diversity of applications.

According to the company, the Polytec Holding did no actively pursue the sale of the Industrial Division, even though in recent years a number of potential buyers made repeatedly approaches in order to express their interest in purchasing this relatively independently managed business unit. At the same time, the Polytec Holding had begun to increasingly focus on its strategy as an all-round supplier of plastics solutions for the automotive industry and complex modules for other branches. Polytec manufactures large batches of know-how intensive products made from injection moulded plastic and fibre composites, and will continue to do so via its Smart Plastic Applications product line, as this production is completely unconnected to the activities of the Industrial Division. Moreover, the approaching retirement of Ulrike Huemer and the lack of future-oriented synergies within the group mean that the moment for a sale is now opportune, said Polytec.

Peter Stinshoff, who together with Ulrike Huemer has been jointly responsible for the successful development of the Industrial Division since 1995, is to remain a core owner. In tandem with the participation of Invest Unternehmensbeteiligungs AG and RSAG Industriebeteiligungen GmbH & Co KG, in which Fred Duswald, the Chairperson of the Polytec Supervisory Board has an interest, and part-ownership by Ulrike Huemer, this will secure the bases for an optimum succession solution. Ulrike Huemer will also continue to support the company in a managerial function during a transitional period of one to two years.

Subject to authorisation by the antitrust authorities, the planned closing of the sale will probably occur at the beginning of December 2020. Polytec anticipates a one-off cash effect of approximately EUR 17 million and a result effect of around EUR 14 million.

Ulrike Huemer said: “For many years, Peter Stinshoff and I have enthusiastically managed, enlarged and guided the Industrial Division to success. Thanks to the solution that has now been found, I see the future of my life’s work as being in safe hands and the stage set for further growth. I can therefore gradually withdraw into retirement with complete peace of mind.”

Peter Stinshoff said: “I have come to know and appreciate Ulrike Huemer as a competent and highly dedicated businessperson. Accordingly, I am all the more delighted that the cornerstone for an excellent successor solution has now been laid. For my part, I am highly motivated and committed to continuing to help shape the fortunes of the Industrial Division.”

Andreas Szigmund, Invest Unternehmensbeteiligungs AG, said: “For Invest AG the carve-out of Polytec Industrial is a typical investment that in combination with the existing management will secure the future of a highly successful Polytec niche production area.”


The historical development of the Industrial Division
In 1986, Friedrich and Ulrike Huemer founded today’s Polytec Elastoform GmbH, which was then amalgamated with subsequent acquisitions to form the Industrial Division. The Division combines Polytec’s competences in low-pressure polyurethane processing and notable customers from a variety of industrial branches obtain high-quality, polyurethane wear parts from its plants in Marchtrenk, Austria and Bochum, Germany. In addition, clients around the world trust in the quality of special Polytec machinery for the processing of reactive plastics. The sound market position of the business unit also derives from its combined competences as both a machinery manufacturer and plastics processor. Following the purchase of the location in Hörsching, which in the meantime has been expanded to form group headquarters, from 1995 onwards Friedrich Huemer focused on Polytec’s strategic orientation as an automotive industry supplier and entrusted the Industrial Division to his wife Ulrike. In 2008, Peter Stinshoff, who was already the part-owner of Polytec Thelen, acquired 30 % of the stocks of the Industrial Division’s companies in a participation exchange, which took place for strategic reasons. Since then, he and Ulrike Huemer have managed the business area jointly with great commitment and have increased its sales volume to around EUR 25 million. In view of Polytec’s current core business, there are only limited organisational links between the Holding and the Division, which has thus been largely managed separately from automotive and serial production business.

URL: https://www.gupta-verlag.com/news/industry/24702/polytec-group-divestment-of-the-industrial-division