MCH Group: Restructuring and transformation
The MCH Group is undergoing a restructuring process in the course of which participations are being sold off. The regional art fairs and Grand Basel, which was launched in 2018, are the first victims. The flagship exhibitions Art Basel and Baselworld, the MCH Group's most important revenue drivers within Swiss borders, are to be transformed and strengthened. What will happen to the expensive exhibition center with its high depreciation requirement was left open in the media release of November 2, 2018.
The MCH Group is undergoing a restructuring process in the course of which participations are being sold off. The regional art fairs and Grand Basel, which was launched in 2018, are the first victims. The flagship exhibitions Art Basel and Baselworld, the MCH Group's most important revenue drivers within Swiss borders, are to be transformed and strengthened. What will happen to the expensive exhibition center with its high depreciation requirement was left open in the media release of November 2, 2018.
The MCH Group cites cost-cutting measures, a reduction in costs, a "focusing of investments" and a streamlining of the organization as stabilization measures, as CEO a.i. Hans-Kristian Hoejsgaard says. However, that will not be all. The share price is now around 30 francs, this after plummeting from 52.20 francs in June 2018 or 83.15 francs in May 2017. The MCH Group will probably become smaller due to the current situation. And what exactly the necessary depreciation of the expensive exhibition center inaugurated in 2013 will entail is still unclear. The MCH Group says the restructuring and transformation program will have an impact on the 2018 business result and the 2019 budget. For 2019, the aim is to achieve "as large an impact as possible." Up or down? It's difficult to say. It is still too uncertain what will happen with the exhibition center and Baselworld.
