A French commercial court chose Nowy Styl Group’s offer to become an investor in Majencia, a company in bankruptcy. Nowy Styl will take over plants in Noyon and Bressuire, and hire most of Majencia’s staff. Setting up of a new company is expected to help heal the French company and restore it to a leadership position on the French office furniture market, as Nowy Styl says in a press release.
“We keep investing in the development of our Western European markets. We have been present in France for nearly 20 years, but by taking over Majencia we are going to take number one position in a country which is a major European market, next to Germany. We believe that a capital injection into Majencia’s business, our company’s global scale of operations and our experience in the integration and optimization of business processes will help restore Majencia’s strength,” said Adam Krzanowski, the President of the Nowy Styl Group.
“As stated in our offer, we are taking over the assets of the French manufacturer for half a million Euros. Then, to give Majencia a new life, we are going to set up an entity called Nowy Styl – Majencia, with a capital of Euro 10 million and debt funding of Euro 9.5 million. According to our calculations, these amounts will allow Majencia to go back on the leadership position,” said Rafał Chwast, Vice-President and Finance Director for the Nowy Styl Group.
Nowy Styl – Majencia will hire 266 employees from the French manufacturer’s former personnel. Further expansion of the team will be gradual, in line with the growth of the business.
The new company will also naturally continue to deliver Majencia’s long-term contracts for its key customers in the public and private sectors.
The development plan for Majencia also includes improving the efficiency of logistics, organisation of production and implementation processes for new products. Many components which were so far purchased from external suppliers will now be sourced by Nowy Styl – Majencia from its own plants, mainly in Poland, at lower prices.