Hubergroup, a prominent German printing inks and chemicals specialist, has initiated a strategic restructuring to adapt to significant shifts in the printing industry. This realignment includes a transition from traditional ink manufacturing towards a stronger emphasis on specialty chemicals and packaging inks. The company has also undergone ownership changes, with a consortium comprising Mavco Investments and Avenue Capital Group acquiring Hubergroup in November 2024. This acquisition is expected to bolster Hubergroup’s market position and financial stability, enabling increased investments in high-impact areas.
The restructuring efforts have led to the closure of certain production facilities, notably in Celle, Germany, resulting in the reduction of approximately 300 positions. Production volumes from these sites are being transferred to other facilities, including those in Wroclaw, Poland, and existing plants in India, aiming to optimize operations and reduce overcapacities.
These strategic moves reflect Hubergroup’s response to a more than 50% decline in the European print media market since 2016, which has significantly impacted demand for traditional printing inks. By focusing on raw materials for the chemicals sector and printing inks for the packaging industry, Hubergroup aims to tap into growth opportunities in these areas.
The impact of Hubergroup’s restructuring on the ink industry is multifaceted. The company’s shift towards specialty chemicals and packaging inks aligns with broader industry trends, as demand for traditional printing inks declines due to digital media proliferation. This strategic pivot may influence market dynamics, prompting other ink manufacturers to reassess their portfolios and operational strategies. Additionally, the consolidation of production facilities and workforce reductions highlight the challenges faced by traditional ink manufacturers in adapting to changing market conditions. Overall, Hubergroup’s restructuring underscores the necessity for innovation and diversification within the ink industry to remain competitive in a rapidly evolving market landscape.
