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Thursday 11. December 2008
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Ad Hoc Release in accordance with section 15 German Securities Trading Act (WpHG) - LEIFHEIT strengthens product profile

Swap of ladders segment for Hailo steam iron systems

LEIFHEIT AG in Nassau is strengthening its profile through a strategic expansion of a business area, laying the basis for improved profitability.

For this, the company has reached the following agreement with Hailo (Hailo-Werk Rudolf Loh GmbH & Co KG in Haiger) today: As of 1 January 2009, LEIFHEIT will take over Hailo’s entire business with steam ironing systems, including all customer and supplier contacts. This includes primarily steam ironing boards and steam ironing stations, which generated turnover for Hailo of € 7.5 million in 2007. In exchange, LEIFHEIT is giving Hailo its ladders segment, with various step stools and ladder systems for the household. Turnover here was € 15 million in 2007. The difference in value between the segments will be compensated for by a cash payment by Hailo to LEIFHEIT. LEIFHEIT will be able to use the Hailo brand for one year to get the products on the market.


For LEIFHEIT, this transaction offers two strategic benefits.

  • Acquisition of the steam ironing systems adds the strategic steam ironing segment to LEIFHEIT’s laundry care range. This takeover brings LEIFHEIT up to critical mass. This is a segment with major market potential, particularly in Germany, and LEIFHEIT is the natural candidate to take rapid advantage of this, as consumers already associate products in this segment with the brand.
  • By spinning off the ladders segment, LEIFHEIT is taking the next step in its Household Products division towards the focus on the four core categories of laundry care, cleaning, kitchen and scales. The disposal of the ladders segment has been planned for some time, as this segment has only narrow margins for LEIFHEIT due to the international competition, offers virtually no added value potential, and is not a LEIFHEIT core category.


In the course of this reorganisation, LEIFHEIT will close down production at the Zuzenhausen plant by 1 March 2009, and will convert the facility into a pure logistics centre. All the employees in stepladder production at this plant will be offered alternative employment at the Zuzenhausen logistics centre.

Additional information is available at the press release.

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