Bosch Plans to Sell Packaging Business

After thoroughly considering its strategic options, Bosch has decided to look for a buyer for its packaging machinery business (PA), specifically the pharmaceuticals and food units of the Packaging Technology division.
 
With the Bosch Group needing to focus on the transformation ahead, it has not identified any sufficiently relevant synergy effects in terms of business or technology that might offer the division prospects for the future within Bosch. Therefore, Packaging technology is not part of the group’s core business. The company also operates in a competitive environment in which the players are small and medium-sized enterprises (SMEs), and who are therefore at a structural advantage.
 
Bosch is certain that its packaging technology operations need to be put on a different footing that will allow them to react more flexibly to the specific requirements of the packaging machinery market.
 
“This decision will allow Bosch to narrow its focus on issues of importance for its future, such as the transformation of the Bosch Group and its future digitalization strategy, including the internet of things, and to pool its resources accordingly,” says Dr. Stefan Hartung, the Bosch board of management member responsible for the Energy and Building Technology and Industrial Technology business sectors.
 
“My colleagues in PA executive management and I are confident of future business success. We will stay together as a strong and stable unit. Under new ownership as well, our tried and tested team will continue to provide our customers with excellent manufacturing solutions and services,” said Dr. Stefan König, chairman of the managing board of Robert Bosch Packaging Technology GmbH.
 
From a business perspective, the past two fiscal years were difficult for certain PA units. Under new management, however, the company has begun to realign, with some initial success. With its many technological USPs, the pharmaceuticals unit is developing encouragingly and growing. The food unit has strengthened its core areas and intends to further expand its market position.
 
PA currently employs some 6,100 associates in its global packaging technology operations. Its aim is for all its associates and locations to be retained by the eventual buyer.