Major German Holding Cancels €500M Investment, Exits Romania

The German holding company Karl Mayer Group, a world leader in the production of textile machinery, came to Romania last year with big ambitions: two factories, one in Baia Mare and the other in Groși, following a EUR 500 million investment. Less than a year later, the holding company stopped production and employees were sent home, to be paid by the end of May, local media reports.

ITM Maramureș has already been notified of the intention to conduct collective layoffs, and from June 1, employees will sign the termination of their employment relationships in exchange for 3 months of compensatory wages. This concerns the operations in Baia Mare and Groși, a town located 5 kilometers from Baia Mare.

In May 2024, Patrick Mack took over as General Manager of the Romanian branch, the holding announced last spring. Patrick Mack will manage the business locally.

The German-American has a clear idea of ​​his new role, the holding company officials said: “Karl Meyer Romania is of extreme strategic importance. That is why I want to build a construction site that fits perfectly into the production footprint of the KARL MAYER GROUP. The new production unit should meet all KARL MAYER standards, contribute to the improvement of the company as a whole and represent it accordingly.”, said Patrick Mack, General Manager Karl Meyer Romania in 2024.