The Gallus Group, of St. Gallen, Switzerland, a manufacturer of narrow web presses, has taken a step to strengthen its involvement in the market for folding carton converting equipment by seeking to acquire a wide web machinery manufacturer. Gallus says it has entered into negotiations with the shareholders of BHS Druck- und Veredelungstechnik (BHS) to acquire its entire equity interest. Gallus acquired 30 percent of the company’s shares in 2005.
The planned takeover will go ahead subject to formal approval being granted by anti-trust authorities. Gallus says it expects a decision within the next few weeks.
The acquisition of BHS, based in Weiden, Germany, will allow Gallus to expand into the folding carton market with wide web machines. In addition, the company will acquire diecutting technology for rollfed systems.
BHS’ equipment incorporates infinitely variable drive systems in rollfed printing technology, as well as in flatbed diecutting machines for inline applications. The company has a turnover of €30 million and employs 120 people. Gallus is creating an integrated and autonomous business unit for the folding carton business. The business unit will complement the Heidelberg range of technology designed for folding carton applications.
Since 1999, the Gallus Group and Heidelberger Druckmaschinen AG have worked under a cooperation agreement. The Gallus Group employs 520 people, of which 300 are based in Switzerland.
Gallus acquires folding carton equipment company
Published October 24, 2006
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