- Prachi Singh |
As a part of its turnaround strategy, Gerry Weber International AG signed an agreement to sell the showroom centre “Halle 29” in Düsseldorf to Bremen, a subsidiary of Zech Group for around 36 million euros. The company said that divestiture of the non-core property will result in extraordinary income of around 18 million euros in the financial year 2018/19, which will improve EBIT of the group by a corresponding amount.
Commenting on the transaction, Ralf Weber, the company’s CEO said in a statement: “Over a decade ago, the Weber Family realized the “Halle 29” project with the intention to develop and strengthen Düsseldorf as a central hub for worldwide renowned fashion brands. In the current situation however, we decided to put stronger focus on the actual operational core of our business model. Furthermore, selling the property provides substantial financial leeway for the financial consolidation of our company.”
The company added that opened after extensive renovations in 2003 and located in the Düsseldorf, Halle 29 comprises of 12,000 sq. mtrs. of space and is currently let to 21 different fashion companies.
Picture:Halle 29 website