Ad-hoc | 15 December 2011 17:33
HOCHDORF Holding AG / Key word(s): Joint Venture/Strategic Company Decision
15.12.2011 17:33
Release of an ad hoc announcement pursuant to Art. 53 KR
---------------------------------------------------------------------------
HOCHDORF Group set to produce medical nutrition products with a new sales
company called HOCHDORF Nutrimedical Ltd. launched for this purpose. The
company also agreed its strategy for the period up to 2015.
The HOCHDORF Group is one of the leading foodstuffs companies in
Switzerland. The company develops, produces and markets products in milk
derivatives, infant formula and infant foods, as well as cereal-based
specialities. The group is now extending its product range to include foods
for medical purposes. It is launching the sales company HOCHDORF
Nutrimedical Ltd. as a joint venture to this end.
Experienced Managing Director
HOCHDORF Nutrimedical Ltd. will be led by Managing Director and minority
shareholder Sander Ketelaar (46). Mr Ketelaar is a Dutch national and
graduate in medicine and business who has worked in various food companies
in the area of medical nutrition. Sander Ketelaar's experience in
international sales and development provides him with the necessary
know-how to break into the new market successfully. 'The HOCHDORF Group has
an excellent reputation for producing high-quality foodstuffs and is
recognised as a reliable partner. For this reason, and because existing
customers are enquiring about medical products, I have every confidence in
our future success,' he said.
Market entry with nutrition for medical purposes
The medical nutrition market is one of the fastest-growing markets in the
world. The current market value stands at around CHF 8 billion. The added
value this segment is particularly high because of the demanding customer
base. Damian Henzi, HOCHDORF Group CEO, said: 'We expect this business to
provide us with greater added value for our products and we know that this
market is similar to the infant formula market.' HOCHDORF Nutrimedical is
starting with products in the area of enteral nutrition. The products are
dispensed to patients in hospitals and through home care organisations and
support rapid post-operative convalescence. The start-up company's business
plan projects profits as early as 2013. A turnover of between CHF 15
million and 25 million is expected by 2015.
Numerous enquiries about medical products have been addressed to HOCHDORF
Nutricare Ltd. in particular, a company which has been a global player in
the infant formula market for the past five years. These enquiries and the
fact that HOCHDORF Nutrimedical Ltd. is currently one of the first
companies to sell enteral nutrition products as a third-party brand
provider were instrumental in the decision to enter the market. 'We want
our products to provide a viable alternative to the few existing options on
the market. The new, high-quality products also fit in perfectly with the
sharpened focus of HOCHDORF's strategy,' Damian Henzi said.
Sharper strategy
In the past four years, both the HOCHDORF Group and the agricultural market
have undergone significant changes. The group has focused on its strengths,
preparing itself for a further opening up of the agricultural market. As a
result, HOCHDORF has updated and sharpened its strategy. In future,
HOCHDORF employees will adhere to the principles reflected in the term
'EIWIS'. The 'word' comprises the first letter of the German words for
Expert, Innovation, Growth, Internationalisation and Specialties. The
HOCHDORF Group employees will deepen their expertise in their fields and
develop themselves in that specialist role. This will empower them to
produce innovative products, processes and services. One important aspect
of these innovations is that they form the basis for growth and
internationalisation. But this can only work outside Switzerland if the
company is providing genuine specialised Swiss Made products.
Our 'BEST PARTNER' vision and company values have stood the test of time.
The raw materials we process have also remained the same. The group
maintains its focus on milk and cereals as basic raw materials. The
business is now supported by three pillars. These are the milk derivatives
business (HOCHDORF Swiss Milk Ltd., HOCHDORF Swiss Whey Ltd. and UAB MGL
Baltija), baby and health care (HOCHDORF Nutricare Ltd. and HOCHDORF
Nutrimedical Ltd.) as well as cereals and ingredients (HOCHDORF Nutrifood
Ltd.). In the future, the HOCHDORF Group aims to be the BEST PARTNER for
healthy nutrition. This will be reflected in the high quality of the
products and services we offer. Damian Henzi is convinced that this
strategy will help to achieve our mid-term goals.
Caption for strategy illustration: The illustration shows the raw
materials, origin, relevant aspects (ecology, quality, safety) and the
HOCHDORF Group's activities. The group wants to clearly differentiate
itself from the competition with specialist expertise and customer-centred
services. HOCHDORF employees create added value and are the BEST PARTNER
for their 'customers'.
The sharper strategy in detail:
- Vision: BEST PARTNER
- Company values: Trust, honesty, respect, responsibility and passion
- Mission: Thanks to our expertise in development, production and
marketing, our high-quality ingredients and foodstuffs help people to
eat healthily. Since 1895.
- Mission statement HOCHDORF - your BEST PARTNER for healthy nutrition.
Since 1895.
- Strategic objective to be achieved by 2015: Developer, producer and
marketer of functional ingredients as well as milk- and cereal-based
specialities for the foodstuffs industry and (retail) global trade with
a high level of innovation and service provision. By 2015 we will
achieve an overall turnover of CHF 500 million.
Detailed explanation of the strategy chart
'Creating value'
At the heart of the concept is 'creating value':
- Added value for the customers thanks to high-quality products and
services. Contented customers will buy from HOCHDORF again.
- We process our valuable natural products carefully and refine them into
valuable products. These are not limitless resources.
- The HOCHDORF values are important to us: trust, honesty, respect,
responsibility, passion.
'HOCHDORF, the BEST PARTNER...'
The HOCHDORF's Group future is guaranteed by the BEST PARTNER service
provided by each employee, every working day. Our employees can only be
happy when they have ensured that they have produced their best in any day.
'...for healthy nutrition. Since 1895'
What can be more worthwhile than to produce high-quality products and
contribute towards promoting healthy nutrition? The HOCHDORF Group also
positions itself as a company that has been successful in the foodstuffs
market since 1895 and therefore has a wealth of experience.
'The HOCHDORF Group's raw materials'
The HOCHDORF Group refines milk and cereals into high-quality products. In
selecting raw materials, we emphasize typically Swiss values such as
ecology, quality and safety whenever and wherever we can. As we have
already mentioned: natural resources are not in limitless supply. We have
to treat our raw materials with respect.
'Processing and services'
For HOCHDORF to produce high-quality products, we have to master the entire
process from purchasing, through development and processing, right to
sales. The HOCHDORF Group also seeks to give customers added value by
providing additional services.
'The sales market'
The HOCHDORF Group operates in the areas of milk derivatives, baby care,
cereals and ingredients. The new business area of health care comes under
the baby care umbrella. Our excellent, ready-to-use products make a
valuable contribution to many high-quality foods and also enhance the good
image of the Swiss food industry in general. Swiss values are very
important to the HOCHDORF Group. And it is a big priority for us to support
this concept with our products. This is why the group is seeking greater
international recognition for our specialities. We intend to specialise all
our products further in the mid-term.
Internal and external growth
The HOCHDORF Group wants to achieve a turnover of 500 million Swiss francs
by 2015. To meet this target, the group is working towards internal growth
with both existing and new products. We are constantly on the lookout for
specific company takeovers that match the HOCHDORF portfolio. In the coming
years, the group expects highest growth to continue to be in the area of
infant formula. Milk derivatives will continue to supply the main share of
the HOCHDORF Group's overall turnover.
---------------------------------------------------------------------------
Information and Explaination of the Issuer to this News:
The HOCHDORF Group, with headquarters in Hochdorf, is one of Switzerland's
leading companies in the food sector and in 2010 generated consolidated
gross sales of CHF 351.5 million (CHF 346.3 million in 2009) with a
workforce of 377 (as of: 31.12.2010) at three sites (Hochdorf/LU;
Sullen/TG; Medeikiai/ Lithuania). HOCHDORF develops, produces and markets
functional ingredients as well as dairy and cereal-based speciality
products for the food industry and the trade worldwide. HOCHDORF's products
have been making a contribution towards the health and well-being of
infants right up to senior citizens since 1895. Our products are sold in
around 80 countries. The shares are traded on the SIX Swiss Exchange (ISIN
CH0024666528).
Christoph Hug, Corporate Communications, HOCHDORF Group
Tel: 041 914 65 62 / 079 859 19 23, christoph.hug@hochdorf.com
15.12.2011 News transmitted by EquityStory AG.
The issuer is responsible for the contents of the release.
EquityStory publishes regulatory releases, media releases on the capital
market and press releases.
The EquityStory Group distributes authentic and real-time financial news
for over 1'300 listed companies.
The Swiss news archive can be found at www.equitystory.ch/news
---------------------------------------------------------------------------
Language: English
Company: HOCHDORF Holding AG
Siedereistrasse 9
6281 Hochdorf
Switzerland
Phone: +41 41 914 65 65
Fax: +41 41 914 66 66
E-mail: hochdorf@hochdorf.com
Internet: www.hochdorf.com
ISIN: CH0024666528
Swiss Security Number:
Listed: SIX
End of Announcement EquityStory News-Service
---------------------------------------------------------------------------