From the Sector

The CHT Group announced the appointment of Dr. Lorenza Sartorelli as the new Chief Operating Officer (COO). With this appointment, Dr. Lorenza Sartorelli completes the management board consisting of Dr. Christian Rink (CFO) and Eva Baumann (CEO).

With the now complete management team, the CHT Group is continuing its strategic realignment. As COO, Lorenza Sartorelli will focus her responsibilities on the sustainable global alignment of the CHT Group's operational functions.

Dr. Lorenza Sartorelli has extensive experience and an international career in the chemical industry. She has held various management positions at renowned companies, most recently at Evonik, where she demonstrated her expertise in the areas of operations management, strategic planning and process optimization.

Dr. Lorenza Sartorelli holds a degree in Chemical Engineering from the University of Padua and a PhD from the Technical University of Hamburg-Harburg. Her career includes positions at Roche and Evonik, where she was instrumental in optimizing production processes and increasing efficiency.

Dr. Lorenza Sartorelli on her new role: "I am looking forward to further advancing the path CHT has already taken to become a unique provider of sustainable and sustainably produced specialty chemicals. The consistent focus of my role on operational excellence, digitalization and sustainability speaks for itself. Together with Eva Baumann and Christian Rink, I will align the operational side of CHT holistically with the three dimensions of People, Planet and Performance."

Ahead of the Annual Geneal Meeting of listed company Lenzing AG to be held on April 17, 2025, the Nomination Committee has revised the future composition of the Supervisory Board. Cord Prinzhorn, the current Supervisory Board Chairman is stepping down from the Supervisory Board with the end of his mandate, to focus on his existing and new engagements within B&C Group going forward.

Patrick Lackenbucher, Managing Director of B&C Group, has been nominated for election as a new member of the Supervisory Board, and is designated to take over the role of Chairman of the Supervisory Board on an interim basis. Mr. Lackenbucher has supported the company throughout various key strategic and financial projects over the past 15 years.

Designated Supervisory Board Chairman Patrick Lackenbucher sees the company well positioned for the future: “Both long-term core shareholders, B&C and Suzano, have a strong commitment to the enhancement of Lenzing’s competitiveness as a global market leader in sustainable cellulosic fibers. The company is addressing the continued competitive market environment with a holistic set of measures, that are already yielding positive results and will be pursued further consequently. Profitability is vital for Lenzing to sustain in the face of global competition over the long-term and to further invest in new products and markets. I am looking forward to working together collaboratively with the entire Lenzing Managing Board and Supervisory Board.”

Rohit Aggarwal, CEO of Lenzing AG comments: “Cord Prinzhorn has accompanied Lenzing with great confidence through the difficult environment over the past years and has played a key role in initiating revenue and cost initiatives, which have shown first positive effects in recent quarters leading to revenue, margin and cash flow enhancement for the company. On behalf of the entire Managing Board, I would like to thank him for the excellent collaboration, and I look forward to our future collaboration with the designated Chairman Patrick Lackenbucher, who brings many years of experience and extensive knowledge with Lenzing to the table.”

Besides Patrick Lackenbucher, Leonardo Grimaldi is proposed to be newly elected to the Supervisory Board. Mr. Grimaldi is Executive Vice President and Management Board member of Lenzing’s core shareholder Suzano S/A and will assume the Supervisory Bord mandate from Marcelo Bacci, who has left Suzano. He is an expert in the global pulp market and, among others, also acts as Supervisory Board Chairman at Brazilian port operator Portocel as well as a Supervisory Board member at Veracel Celulose S/A.

Cord Prinzhorn comments: “After four years on the Supervisory Board of Lenzing AG, my current mandate is coming to an end, and I will now concentrate on other existing and new engagements going forward. During my time as Supervisory Board Chairman we have managed to successfully complete important strategic investment projects in Brazil, Thailand and China, to reduce costs as well as financial debt, and at the same time to expand Lenzing’s position in this challenging market environment. I would like to thank not only the members of the Supervisory Board and the Managing Board but also, and above all, the employees of Lenzing, who have made a significant contribution to the success of these strategic projects.”

Cord Prinzhorn will remain Supervisory Board Chairman until the conclusion of the 81st Annual General Meeting on April 17, 2025. The election of Patrick Lackenbucher as Supervisory Board Chairman is planned for the constituting Supervisory Board meeting on the same day directly after the Annual General Meeting.

Together with the Association of the German Furniture Industry (VDM) and the German Furniture and Kitchen Retailers Association (BVDM), Koelnmesse has decided to skip the imm cologne's January 2025 edition. This joint decision was taken following intense discussions and reflects the challenging conditions the furniture industry is currently facing, particularly in Germany. It gives everyone involved the chance to collaborate with Koelnmesse on the development of a new, more viable future trade fair format.

It was taken primarily due to the fact that the German furniture manufacturers are generally in troubled waters, as there is a scarce domestic demand for furniture, and the industry is therefore, understandably, keeping a close eye on its spending.

According to the latest VDM industry figures, the entire market recorded a significant fall in turnover in 2023, as well as in the first six months of 2024. It dropped by 9.7 percent for all furniture, and even by 11.2 percent for upholstered furniture. The employee and company numbers are also going down.

"We're extremely sorry to be skipping the imm cologne, but ultimately, this is a necessary, and the right step," says VDM president Leo Lübke. "Like many other industries, the furniture market has also changed considerably over the past few years - and along with this the demand for trade fairs. Unfortunately, the industry's current situation is forcing many companies to change course. As an industry, we are working intensely with Koelnmesse on the development of new concepts tailor-made specifically for the individual furniture segments. As Europe's largest furniture nation, we need our central industry shows, and believe in the Cologne venue's furniture expertise."

BVDM president Markus Meyer agrees: "I understand the decision to skip next January's trade fair, and I'm sorry that the industry did not lend better support to its leading international trade fair. The imm cologne has been an important meeting place for the industry for decades. By taking a break next year, we will not only lose a central platform for innovation and exchange, but also an important stage for serving the international market. All of the industry's stakeholders are now urgently tasked with getting together and finding joint solutions. More than ever before, we must now concentrate on securing and strengthening our position. The industry needs a strong platform like the imm cologne in order to restructure itself in a way that ensures its future viability."

The chairman of the Koelnmesse management board is also looking towards the future: "Pausing the imm cologne at this point in time is a logical decision, in view of the situation the industry currently finds itself in," says Gerald Böse. "It was an extremely difficult decision to make, but it was also unavoidable in order to show our international customers some consideration. Due to its January date, the imm cologne did not take place three years in a row during the pandemic. This lack of continuity, coupled with the current economic environment, makes it impossible for us as event organisers to guarantee an attractive range of exhibitors for the retailers in Cologne in January 2025. We still intend to offer the furniture industry an international stage in Germany in future. We are already jointly developing very promising concepts that meet the changed requirements of all stakeholders as best as can be. Koelnmesse is the world's number one in interiors, as impressively proven by the ORGATEC, the interzum and the spoga+gafa. We must now steer our flagship back on course, together with the furniture industry!"

The Supervisory Board of Lenzing Group has appointed Rohit Aggarwal as a new member of the Management Board of Lenzing Group. He will assume responsibility for the fiber division during the third quarter. After the departure of Stephan Sielaff, Aggarwal will take over the position of CEO of Lenzing Group.

Rohit Aggarwal has a sound understanding of the strategic development of international markets and the establishment of efficient management teams through global management positions in Europe, the USA and Asia. Thanks to his experience in the global textile and fiber market, he is well versed with Lenzing's core business in all its facets, both in terms of content and geography.

Stephan Sielaff, CEO of Lenzing Group, will leave the company at the latest when his contract expires at the end of March 2025 and devote himself to new tasks.

The long-time sales manager is leaving the company at the end of this year. Frank Neumann joined Dibella in 1999 as a sales representative in the field service and was most recently responsible as sales manager for the areas of northern Germany and Berlin, as well as for exports, particularly for Scandinavia and Eastern Europe. He played a leading role in developing cruise companies as a new customer base for Dibella.

In addition, he was one of the co-founders of MaxTex, an international association that aims to ensure sustainable trade along the entire value chain, together with the then Dibella Managing Director Ralf Hellmann.

As an authorised signatory and member of the management board, Frank Neumann made a significant contribution to the company's success. "With Frank Neumann, we are saying goodbye to a valued colleague and proven expert. We would like to thank Mr Neumann for his extraordinary commitment to Dibella and wish him all the best for the future," says Stefan Tenbusch, Managing Director at Dibella.

Klaus Steger (64), CEO of ERWO Holding AG (“ERWO Holding”) and Hoftex Group AG (“Hoftex Group”), will step down from the Management Board of both companies at the beginning of 2024 in accordance with internal policies of the family and the company regarding the retirement age. Already on June 30, 2023, ERWO Holding Management Board member Hans-Georg von Schuh will retire as planned. ERWO Holding Management Board member Manfred Heinrich will also leave the Board as planned at this time and will continue to hold his mandate as one of the managing directors in the Südwolle Group together with Stéphane Thouvay and Johannes Rauch.

Steger’s designated successor as CEO of both companies is Manuela Spörl (50), currently CFO of ERWO Holding and also CFO of Hoftex Group. Hoftex Group is a group of medium-sized companies in the textile industry, in which ERWO Holding holds a significant stake. In addition, ERWO Holding acts as the parent company of the Südwolle Group, in which the Group’s worsted yarn activities are bundled.

Spörl has a degree in business administration and has been working for Hoftex Group since 2000. Her professional career began in the Corporate Controlling department, and in 2012 she was appointed as an advisor to the Board of Management. She was granted power of attorney in 2015, followed by appointments as CFO of the Hoftex Group in 2020 and CFO of the ERWO Group in 2022. A search for a successor for Spörl in the position of CFO of the Hoftex Group and, subsequently, of ERWO Holding is currently underway. Until the new CFO takes office, the two members of the Management Board, together with the Supervisory Board, will ensure an orderly transition.

The announced change in the Management Board of ERWO Holding, which acts as the parent company of the Südwolle Group, also ensures continuity at the leading manufacturer of worsted yarns for weaving, circular and flat knitting products in pure wool and wool blends. In the future, the management of Südwolle Group will continue to consist of the longstanding members Manfred Heinrich (Technology, Production & Planning), Johannes Rauch (Finance & Controlling) and Stéphane Thouvay (Sales & Marketing and Product Management & Innovation). Together with the designated board member of the parent company ERWO Holding, they will continue the successful development of the Südwolle Group from a mere supplier to a strategic partner of its customers as well as the growth trend of recent years.

The founding family Steger remains involved in the various supervisory bodies of the group of companies and will continue to work closely with them as the sole shareholder of ERWO Holding.

The Management Board of the European Chemicals Agency has selected Dr Sharon McGuinness as ECHA’s next Executive Director. As part of the appointment procedure, she will make a statement before the European Parliament and answer questions from its members. This is tentatively scheduled for 4 July 2022.

Dr Sharon McGuinness, an Irish national, is the Chief Executive Officer of the Health and Safety Authority (HSA) in Ireland since 2018. Prior to this, she was the Assistant Chief Executive for the Chemicals and Prevention Division within the Authority, with responsibility for division management, policy provision, advice and enforcement for a wide range of occupational health and safety, chemical and market surveillance legislation aimed at protecting human health and safety for workers and consumers.

She was a member of ECHA’s Management Board between 2014-2020 and Chair of the Board between 2016-2020. She graduated from the University College Dublin with a B.Sc. (Hons) in pharmacology and chemistry, and she holds a PhD in pharmacology, as well as diplomas in Legal Studies and Company Direction.

Dr McGuinness was one of the candidates preselected by the European Commission after an open competition and interviewed by the Management Board for the post.

Her selection follows that of Bjorn Hansen who retired in March 2022. Since 1 April 2022, Shay O’Malley has been ECHA’s acting Executive Director.

The term of office of the Executive Director is five years. It may be prolonged by the Management Board once, for a further term of five years.

Archroma, a global leader in specialty chemicals towards sustainable solutions, announced that it has appointed Thomas Bucher as its new Chief Financial Officer (CFO) effective 1 October 2021, replacing Roland Waibel who will retire.

Thomas Bucher has a long career in Finance, having held CFO roles with leading industrial and services companies as well as senior Finance roles in the chemical sector. He joins Archroma from Alpiq Holding AG, where he has been Group CFO and a Member of the Executive Management Board since 2015. Prior to Alpiq, Thomas Bucher was Group CFO at Gategroup for 6 years, where he supported the company’s listing and subsequent strategic repositioning, and before that he held a number of senior Finance roles at Ciba Specialty Chemicals over more than 12 years.

Chief Executive Officer Heike van de Kerkhof comments: “We are very happy to have Thomas Bucher join us, and add his financial expertise to support our agenda towards confirming Archroma as an undisputed leader in innovative and sustainable specialty chemicals, supported by solid and profitable growth.”

She adds: “I want to thank Roland Waibel for his many contributions since the beginning of Archroma in 2013. He has played an important role helping the company deliver on our growth whilst building a strong finance expert team and expertise at Archroma.”

• Fiber prices and demand under pressure due to COVID-19 crisis
• Measures to maintain operations and to protect employees, customers and suppliers implemented successfully
• Hygiene competence center established to produce personal protective equipment in the fight against COVID-19 pandemic
• Strategic investment projects in Brazil and Thailand progressing according to plan
• Management Board proposes not to distribute a dividend for 2019 – AGM rescheduled for June 18, 2020

In a historically difficult market environment with increased pressure on prices and volumes resulting from the COVID-19 crisis, the Lenzing Group held its ground well in the first quarter of 2020. Thanks to a diversified business model and its global footprint on the one hand, and the disciplined implementation of the sCore TEN corporate strategy on the other, the effect on the revenue and earnings development was partially offset.

In the first quarter of 2020, revenue declined by 16.7 percent in comparison with the prior-year quarter and amounted to EUR 466.3 mn. The main reason was the development of prices for standard viscose (due to significant overcapacity in the market) and other standard fibers. The impact of the COVID-19 crisis further increased pressure on prices and volumes. The prices for standard viscose dropped to a new all-time low of 9,150 RMB/ton by March 31 – up to 33 percent lower than in the prior-year quarter. The comparatively positive development of the specialty fiber business and slightly higher demand for fibers in the medical and hygiene segments partially offset the decline in revenue. The share of specialty fibers increased from 47.3 percent in the first quarter of the previous year to 60.9 percent. The earnings development reflects the decline in revenue: EBITDA (earnings before interest, tax, depreciation and amortization) decreased by 24.3 percent to EUR 69.6 mn. The EBITDA margin declined from 16.4 percent to 14.9 percent. Net profit for the period was down 58.6 percent to EUR 17.7 mn. Earnings per share amounted to EUR 0.84 compared with EUR 1.65 in the first quarter of the previous year.

The Management Board of Lenzing AG, a leading manufacturer of specialty fibers made from the renewable raw material wood, has resolved to propose to the Annual General Meeting a dividend of EUR 1.00 for the 2019 financial year. This dividend proposal reflects the large investments in the growth projects in Thailand and Brazil.

The total dividend payout to shareholders will amount to about EUR 26.6 mn, subject to the acceptance of the proposal by the Supervisory Board at its meeting scheduled for March 11, 2020 for the purpose of approving the consolidated financial statements as well as the approval granted by Lenzing AG shareholders at the Annual General Meeting on April 16, 2020.