Press release from the issuing company
Augsburg/Ulm – The European and non-European business of the insolvent BÖWE SYSTEC AG, in particular its Japanese business, is to continue under new ownership: yesterday the Swiss private equity firm Axentum Capital AG came to an agreement with the auditor Werner Schneider, acting as insolvency administrator, regarding a takeover of BÖWE SYSTEC GmbH. This company incorporates the German and other European activities of the Augsburg mailroom systems manufacturer as well as its non-European business (excluding the USA). Both parties have agreed not to disclose the purchase price.
“Having the signature at the bottom of the purchase contract and the notary certification means we have assured the continuation of essential parts of the insolvent BÖWE SYSTEC AG under a new structure,” said Werner Schneider, auditor and insolvency administrator from the law firm Schneider, Geiwitz & Partner in Neu-Ulm. This was made possible thanks to a quick approval from the relevant banks, which agreed to a release of collateral as a condition of the quick sale. Another important condition for the conclusion of the contract was the willingness of IG-Metall and the Works Council to come to a restructuring wage agreement which accommodates the necessary labour-cost requirements of the BÖWE NewCo. The complete financing of the transaction has been secured, which means that there are no contractual conditions to be met in this regard.
“By quickly reaching agreement with a reliable investor, we have managed to ensure that the company's operations can continue,” continued Schneider. This meant that the maximum number of jobs could be saved. Since filing for insolvency in May of this year, Schneider has been maintaining the operational business of BÖWE SYSTEC AG.
There is a works meeting planned for 1 September where the Swiss investor will present its strategy for BÖWE SYSTEC to the employees in Augsburg. Production is due to begin again at BÖWE SYSTEC, the leading supplier of complete solutions for processing large volumes of post, when the works holidays end on 01/09/2010.
Following a thorough legal examination of the transaction, the buyers do not anticipate any concerns from the cartel office regarding the acquisition of BÖWE SYSTEC AG.
The existing North American business of BÖWE SYSTEC AG is not included in the sale package for the time being. However, Axentum has been granted an option to acquire the shares of BÖWE BELL HOWELL (BBH), the North American subsidiary of BÖWE SYSTEC AG.
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