Corporate news MAG announces ability to stand alone
Recent divestments helped make possible the new tack.
German machine tool supplier MAG said it has secured enough funding to eliminate the need for an investor, which means what is left of the company can operate autonomously.
The company said its financing plan has come into affect after the sales of Forest Liné and areas of the US portion of the group were approved in late July.
A new contract is said to erase the need for the trust structure in place since 2011, and the new contract runs until the end of 2015. “Thus, the group is no longer dependent on the involvement of a new investor,” the company said in a statement.
However, some assets may still be sold, according to the statement: “Existing offers of varying scope are now being re-evaluated from the new, independent position.”
Company consolidates units, shakes up management
The company said it had completed a merger of its divisions. Göppingen MAG IAS GmbH and MAG Modul Verzahntechnik GmbH, based in Chemnitz, merged with their parent company MAG Europe GmbH. This was renamed MAG IAS GmbH. The company said the new structure helps to further simplify processes and reduce administrative costs.
The company explained that as part of the imminent dissolution of the trust structure, changes to the composition of the MAG IAS GmbH supervisory board have also been made. Eckhard Cordes and Michael Keppel resigned from the board in late July. Rolf Bartke has taken over the chairmanship from Cordes. Reiner Beutel and Georg Weiberg were named to the board. Both have many years of extensive experience in the industries and relevant markets, MAG said.