EQS-News

Homann Holzwerkstoffe postpones start of production at new plant in Lithuania

EQS-News: HOMANN HOLZWERKSTOFFE GmbH / Key word(s): Strategic Company Decision/Preliminary Results Homann Holzwerkstoffe postpones start of production at new plant in Lithuania 27.03.2024 / 09:00 CET/CEST The issuer is solely responsible for the content of this announcement. Homann Holzwerkstoffe postpones start of production at new plant in Lithuania

• Existing permit is not yet considered robust enough for economic and competitive production
• The plant's planned earnings contributions for 2024 will be largely offset by the existing business
• Decision on extensive measures to temporarily reduce operating costs at the plant in Lithuania
• Development in the 2023 financial year on target with expected adjusted operating EBITDA (preliminary) of around EUR 55 million

Munich, 27 March 2024 - The management of Homann Holzwerkstoffe GmbH, a leading European supplier of thin, refined wooden fibreboards for the furniture, doors and coatings industries, has decided to postpone the planned start of production at its new plant in Lithuania, near the capital Vilnius, until presumably September 2024.

The start of production scheduled for the end of 2023 was initially delayed due to technical problems, which were resolved at the beginning of 2024. The reason for the further delay is that the management considers the existing environmental permit to be insufficiently robust to enable economic and competitive production. The management is in constructive discussions with the authorities in order to quickly put the approval situation on a viable footing.

Accordingly, the management has decided to postpone the start of production at the plant until September 2024 and to temporarily send the employees already working in Lithuania to work part-time in order to limit operating costs until the necessary permits are expected to be obtained. Further training measures will be carried out on the basis of the reduced working hours to ensure a smooth start of production.