Bavaria Yachts


Oct 30, 2018

Bavaria Yachts is making some big changes:

• Reinforcement of engineering and series production
• Interdisciplinary teams are being set up in the shipyard
• Motor yacht BAVARIA R55 will be produced in Giebelstadt from 2019
• Production of the BAVARIA C50 revised: on the production line as of November
• Reducing complexity: 10 to 12 models, instead of 26

The future development of Bavaria is taking shape: the yacht builder will once again build its boats one hundred percent in Germany. Bearing the seal of quality “Made in Giebelstadt”, both sailing and motor yachts will be manufactured and handed over to customers in Franconia.

Development and construction will primarily be under their own management.

“We want our outstandingly well trained and committed employees to develop and build all our yachts primarily under their own management. The workforce identifies strongly with Bavaria Yachts; it is the key feature of our company,” explains Managing Director Erik Appel. “This is why we intend to further increase our permanent staff and simultaneously reduce the proportion of temporary workers. This will help considerably to bring down production costs. To increase the efficiency of the shipyard, we will concentrate on our own engineering, i.e. the technical development of the yachts, at Bavaria Yachts once again.”

CMP: Closing is complete – Security for employees, customers and suppliers.

Kai Brandes, Executive Partner of CMP Capital Management Partners from Berlin, which represent and advise the investing equity fund, explains: “We are delighted about the successful conclusion of the transaction: The purchase agreement has been signed, the approval of the Federal Cartel Office has been given and the closing is done. This means security for the employees, for the customers and for the suppliers.”

Outlook: Break-even planned for financial year 2019/2020.

In the first, abbreviated financial year and as a result of ramping up production, Bavaria will show a loss, which CMP will bear as the investor. Since it takes a relatively long time to implement efficiency improvements in boat-building, the key improvements are expected in 2-3 years. Dr. Ralph Kudla looks ahead: “We want to regain lost trust. We intend to keep Bavaria’s promises and meet its delivery dates. Quality must also improve again. And we want to involve our dealers more closely in strategy and product development. A dealers’ advisory board will be introduced to this end. In this way, we will hear customer feedback, pick up on it and turn it into product improvements as quickly as possible.”

There’s so much more information to learn about Bavaria’s changes so please visit their website here for further information:

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