The KHS Group is to acquire a stake in engineering company Ferrum in a move that the companies say would intensify their longstanding co-operation.
Pending approval from antitrust authorities, the tie-up would bundle the competencies of both machine-engineering companies to form a common system portfolio to provide customers with integrated systems.
KHS CFO in charge of purchasing Martin Resch said KHS values Ferrum’s innovative machine technology and its expertise based on many years of experience.
“Ferrum is the worldwide well-known manufacturer of can seamers,” he said.
“Combined with our future-oriented solutions in the field of filling and packaging technology, we form an effective union that is valued highly in the market.”
Ferrum Packaging AG was founded as a subsidiary of Ferrum and incorporates Ferrum’s entire worldwide can seaming business. KHS will be acquiring minority ownership in Ferrum. At the same time, Ferrum Packaging Inc., the US subsidiary of Ferrum Packaging AG, will be taking over KHS’ can-seaming business together with its employees and will be integrating it into the joint offer.
The aim of the merger is to develop and globally market joint solutions. To date, the KHS Group has offered tried and tested Ferrum can seamers only as accessory components for its canning lines. Effective immediately, work in close co-operation will begin on developing even more efficient systems including a filler-seamer block.
KHS executive vice-president wet area Siegmar Stang said: “Based on skilled future planning of technical components, block solutions are to be designed to be as integrative as possible and do away with redundant functions.”
Combined filler-seamers designed for the maximum capacity class are planned with clear benefits for the overall process. Ferrum Packaging AG CTO Oliver Bühler said: “We don’t want to merely present one solution; we want to develop a comprehensive system portfolio that meets the needs of every customer while offering clear customer benefits.”
Among other things, the two partners have set themselves as targets for their new developments a lower TCO through shorter changeover times and more rapid sanitizing phases. In addition, the hygienic environment of the systems is to be further optimised.
The intensified co-operation will also bring about extensive customer benefits in the area of customer service. In the future, all services for combined systems from KHS and Ferrum will be offered from a single source.
Ferrum board of directors president Beat Bühlmann said: “This will not only reduce the effort for our customers, they will also benefit from shorter machine wait and downtimes.”
The planned services include joint overhauls of the systems and integration of the KHS remote maintenance system ReDiS. Co-ordinating the supply of spare parts will also result in improvements in discontinuation management to ensure continued operation of the machines and thus the availability of systems.
KHS is a member of the Australian Packaging and Processing Machinery Association (APPMA).
