Prepared for the future with joint forces: ELECTROSTAR/starmix and Producteers conclude strategic partnership
Stuttgart/Ebersbach, 02. 09. 2020 – ELECTROSTAR/starmix and Producteers have agreed on a strategic partnership to ensure profitable growth in a highly contested market and competitive environment. The partnership will launch jointly developed innovative products for the professional cleaning market. The focus is on quality and short time-to-market. The combined expertise of both companies offers existing and new customers a broader portfolio of products and development services. In addition, research and development (R&D) will be expanded and further synergies and economies of scale will be exploited based on the many years of experience of both partners.
In order to better meet customer requirements, ELECTROSTAR/starmix and the Producteers Group have decided to enter into a strategic partnership in combination with an exchange of minority shares. The cooperation combines the strengths of both companies to create a new impulse for the entire market. ELECTROSTAR/starmix, for its part, brings financial resources, a broad distribution network and a wide range of high-quality Made in Germany products, together with strong local logistics and the high level of awareness of the starmix brand. The Producteers Group's distinctive expertise in the R&D area and its competence in OEM- and ODM production at its location in China perfectly complements the partnership to become an innovative and capable driving force on the market.
The aim of the partnership is to offer new and existing customers a broader range of ODM and OEM products from the two companies' factories and product development offices in Shanghai, China, and Ebersbach, Germany, to gain speed in development and innovation and to serve lower price segments. Thanks to the partnership, the starmix brand will also increase its number of competitive products for the cleaning market in order to sustainably continue the strong growth of the last decade.
For ELECTROSTAR/starmix, the partnership is a further step within the framework of the 2021 corporate strategy defined in 2018, which includes profitable growth, best-in-class products, optimization of value creation and internal processes (operational excellence), and a healthy corporate culture with a focus on customers. ELECTROSTAR plans to achieve sales of 50 million euros with concrete measures for its 100-year anniversary in 2021.
High-volume product series and high-end products
The new strategic partnership can better meet the demand for high-volume product series from Shanghai as well as high-end products or smaller quantities from Ebersbach, to name just a few advantages of the cooperation. There will be no changes to the existing customer contracts and contacts.
With the exchange of minority shares in this phase, the control and management of both companies will remain unchanged. Within the framework of the partnership, the owners of Producteers, Anne Mette Solvang and Holger Krogsgaard, will in the future also partly work at the new, state-of-the-art ELECTROSTAR facility in Ebersbach.
About the ELECTROSTAR/starmix
ELECTROSTAR/starmix – a piece of German industrial history that continues with great success in the 21st century. The diligent Swabian company began manufacturing vacuum cleaners in 1921 and four years later invented the warm-air hand dryer. starmix gained an international standing during the economic boom: the universal starmix food processor was a bestseller found in any good household. Today ELECTROSTAR GmbH, which was acquired by Algo in 2007, represents innovative technology, exceptional quality and uncompromising customer focus. Under the starmix brand the company develops, produces and sells a wide range of high-performance vacuum cleaners to global trade, commerce and industry. The starmix sanitary branch manufactures modern warm-air and high-speed hand dryers, as well as hairdryers, and sells these worldwide. Since the acquisition of Haaga Kehrsysteme GmbH in 2012, the product range has also included innovative sweepers. The company employs around 150 personnel at its locations in Reichenbach/Fils and Kirchheim unter Teck. Both brands, starmix and Haaga, generated a turnover of around 40 million euro in 2017.
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