Neschen disposes of US business

Neschen Group disposed of the main assets of its US subsidiary to a US buyer on October 01, 2013. This includes the production plants in Elkridge and Wisconsin, the SEAL brand name and the media and laminator business in the USA. The buyer and conditions of sale have not been disclosed. Neschen AG had acquired major parts of the US business from their competitor Hunt Corporation (USA) in 2001. This included the SEAL brand name and several sales and production locations throughout the world. The US subsidiaries most recently contributed around 20 percent to the group’s turnover.

The sale of the US subsidiaries means that their annual losses of 1.5 – 2.0 million euros will no longer have to be covered by the parent companies Neschen AG and Neschen Benelux. The funds thus made available are to be invested in Neschen AG’s core business. However, the sale was not just aimed at rectifying funding shortfalls. Neschen AG also concluded a cooperation agreement with the buyer for the future supply of laminators under the brand name SEAL.