The German marker company, marker penwill permanently leave the country after abandoning its Latin American insertion strategy in early 2021. According to reports, the firm will be absorbed by the Mendizabal Groupwhich will also support the 30 employees Edding had in the country.
In a statement sent to the German Stock Exchange, where it is listed, Edding said it had sold its business in the country for a symbolic value of $1, while market sources estimated that Grupo Mendizábal would invest nearly $3 million. to cover certain liabilities and stimulate activity in the Argentine market.
The volatility of the international context, product of several factors, among which the effects of the pandemic and the extension of the war of Ukraine, prompted the Edding group to refocus its commercial strategy. This decision would have led to the search for a buyer in Argentina. This is the reason Edding expressed in a letter to which he consented GlobeLiveMedia addressed to his main customers, to whom he confirmed that the local company “will take over the entire Edding operation in Argentina”.
Led by Facundo MendizabalGrupo Mendizabal is a national capital holding company made up of companies such as SA parallel., Parallel representative there Do not eat. Parallel is the company with the longest experience in the market, since for 50 years it has been dedicated to importing, positioning, distributing and marketing international brands in more than 10,000 points of sale throughout the country. Among the brands he works with, Stanley, Avent, Unilever and Chicco stand out, for example.
“Edding AG sold its shares to the founder and owner of Parallel SA in Buenos Aires, with effect from March 31, 2023. A symbolic purchase price of $1.00plus recoverable current assets (inventory and accounts receivable),” the company said in its message to the German Stock Exchange.
It argued that, despite the nominal sale price and the severance payments partially due, the sale had a positive effect on the Group’s net assets, financial position and results of operations compared to a going concern scenario. operating.
Likewise, it turned out that Edding’s avoided loss for 2023 is currently estimated to be in the low to mid six-digit euro range.
In this way, Edding joined a long list of international companies that left Argentina in recent years, as was the case with Falabella, Walmart, Latam, Under Armour, Glovo and several airlines, among many others.
Most made the decision during the pandemic period, but many justified their departure from the country by alluding to macroeconomic problems, such as constant cost increases and difficulties in transferring profits to parent companies abroad.
Edding is a German brand that manufactures and distributes markers, felt-tip pens and other writing and drawing products. It was founded in 1960 by Carl-Wilhelm Edding there Volker Detlef Lederman in Ahrensburg, Germany. Since its foundation, the company has expanded to different continents and is now present in more than 110 countries around the world.
For his part, he Mendizabal Group is a holding company of companies with 100% Argentine capital, which include companies such as Parallel S. Parallel Representative and Nexiv SA The company was founded in 1973 and, according to information published by the company itself, employs 44 people and in 2022 achieved a turnover of 26 million dollars.
“The company specializes in positioning, distributing and marketing internationally renowned brands and products in the Argentinian market. The portfolio includes products from brands such as Unilever there PhillipsEdding added in his message to the Exchange.