Jomoo Germany, a subsidiary of the Jomoo Group based in China, has acquired Poggenpohl Möbelwerke in Herford, Germany, as a strategic investment. The renowned kitchen furniture manufacturer had previously filed for insolvency proceedings in April following a substantial decline in revenues due to the coronavirus pandemic. The contract for a “transferred-reorganisation” asset deal was signed with Jomoo and notarised on 10 July 2020; the parties agreed not to disclose the purchase price. Insolvency administrator Manuel Sack will continue running the business for the buyer until the contract takes effect. “We are pleased that Jomoo will lead the kitchen pioneer into the future,” said Sack. The owner-managed Jomoo Group, from Xiamen, is a leading company for plumbing fittings and ceramics in its home market, and was honoured in 2019 at the German Design Awards and in 2020 at the German Innovation Awards. Jomoo has made a public commitment to the Herford manufacturing site and is seeking to take on the majority of employees. Xiaowei Lin, managing director of Jomoo Germany, explained, “It is crucial for Jomoo to cover the top and premium segments for its sustainable long-term market and product strategies. We have for a long time considered the option of partnering with or acquiring an established brand that stands for high quality and an excellent reputation for design. Such a brand would ideally be known across the world, possess a long, tradition-filled history and have a solid reputation for outstanding craftsmanship. Poggenpohl meets all of these criteria, making the company a good fit for Jomoo’s strategy of expanding its kitchen portfolio.” Gernot Mang, the Poggenpohl managing director who will continue to lead the company, is hoping for synergies between the kitchen and bathroom areas of business, especially for international project-based business. Project developers would then be able to offer a design for both spaces from a single source. “Poggenpohl is therefore making a foray outside of the kitchen and into the larger living area,” said Mang. “Simultaneously, we will move even further into the luxury-kitchen category and increase our number of kitchens manufactured in Herford. Trade retailers will play a key role in Poggenpohl’s position as a premium brand.”
