MAX Automation decides to close iNDAT Robotics
MAX Automation is disposing of its persistently loss-making subsidiary iNDAT Robotics GmbH.
The company says that despite efforts to achieve a turnaround by both the management and employees, MAX Automation was not possible to generate sustainable positive earnings.
The corona pandemic and the automotive crisis have further intensified iNDAT's situation after it was already exposed to high price and competitive pressure inherent in its business model. In addition to the operating losses expected for 2021, MAX Automation SE has budgeted an amount of a similar magnitude for its liquidation, a press release reads.
Around 100 employees are affected by the closure of iNDAT Robotics GmbH. A reconciliation of interests as well as a social plan are being negotiated with the works council and are intended to mitigate the consequences of the job losses. Liquidation is to take place after the termination of customer projects.
"We deeply regret having to close iNDAT, in view of the losses in the past years and the lack of prospects for a turnaround, we unfortunately no longer see any possibility to continue the company, however. In the interest of the MAX Group, we must consistently divest ourselves of companies that hinder the growth of the other subsidiaries and endanger the Group. The goal is to generate attractive cash flows and to generate additional funds, through disposals of portfolio companies, for example, in order to achieve a regular dividend for our shareholders in the future. We are taking a very targeted approach to this," said Dr. Christian Diekmann, CEO/CFO of MAX Automation SE, in the press release.
