Geveko divests the subsidiary Cleanosol Polska Spz.o.o.
The Board decided and informed in December 2011 that divestment of contracting businesses, among others the Polish company, which are incurring losses will be carried through in 2012.
Geveko acquired the Polish contracting company in 2007. The Polish market then was considered to be one of the highest growing markets within the road marking business with budgeted investments in several major road projects. Government financial problems in Poland and consequently stalled road construction has affected the road marking sector very negative. Losses in the subsidiary Cleanosol Polska 2009-2011 amount to over SKr 100 million. ‘Turnover in Cleanosol Polska represents approximately 2% of Group total turnover. Geveko has continually taken structural measures to adjust the cost base of the Polish subsidiary, but without the anticipated effect due to the difficult market situation.
After the decision to divest the Polish company Geveko has contacted potential buyers, however without a positive result. Geveko has decided not to contribute with additional funds, why Cleansol Polska has submitted application for reconstruction.
Göteborg, Sweden March 12, 2012
For further information:
Stefan Tilk, CEO and Managing Director
Phone: +46 31 172945, Mobile 0702 499 419