The future of Revell GmBH...April 16 2018 at 12:51 PM
Spencer Pollard (Login spencer2)
from IP address 184.108.40.206
I've just received a press release on the future of Revell, which I've posted in full on my Blog. Rather that repost it here and reformat it, I thought it better to just ping a link that takes you there, explains the release and then gives you the chance to read it as supplied. Here is the link:
All the best - Spence
Here's an article dated today with an update on the sale of Revell
|April 16 2018, 1:31 PM |
It's basically going to be business-as- usual for Revell Germany
The Revell GmbH in Bünde is still a company of the Hobbico Group. In the course of the proceedings last week, a "sustainable solution for a change of ownership" emerged, as stated in a statement from the company: New sole shareholder of Revell GmbH becomes a company of the international investment group Quantum Capital Partners (QCP) in Munich "This does not affect the operating business in any way," it also explains.
The purchase also includes significant assets for the North American business, including name rights and the large-scale molding bank, which is important to plastic modeling. Revell is thus experiencing a strengthening as a result of the change of ownership, because it is associated with an expansion of the sales market and an even greater variety in the offer. The current management, headed by Stefan Krings, will in future manage the worldwide business, including North America, from Bünde.
"Revell is pleased to have a strong partner at its side, Quantum Capital Partners, which will help the company grow internationally. I would like to thank all trading and business partners for the confidence during the transition period in recent weeks, "commented Stefan Krings.
|April 16 2018, 2:04 PM |
I know it's been reported elsewhere that Revell USA closed it's doors, it'd be nice to hear what the plans are from the new owners, even of its...Revell USA is officially closed....
In the update I have
|April 16 2018, 2:39 PM |
It says the assets of Revell USA means the moulds and these will move to Germany in due course.
As for new project doubt that will happen may be just a rebadging exercise for US Market. .
Revell USA was bankrupt along with Hobbico and its sister companies
|April 16 2018, 2:57 PM |
Once the decision was made to sell off the assets, closing the doors was inevitable. The question was always about what the buyer of the assets intended to do with them. In the case of Tower Hobbies and Great Planes, the buyer, Horizon, has kept the business going and essentially rehired about half of the total workforce in Champaign. Estes rockets is essentially going to continue as it was under a new corporate identity; the old Estes shell is gone in the bankruptcy.
Once the sale of the Revell USA assets was agreed to, the company could not, legally, keep paying the employees because the proceeds of the asset sale are required to go towards the company's creditors and a company with no assets has no jobs.
Revell Gmbh was not part of the bankruptcy but was itself a debtor (to the tune of $41 million) to Hobbico). The purchaser of Revell Gmbh paid $1 for that $41M loan. They could end up writing that off, but there are usually tax liabilities associated with loan forgiveness. It remains to be seen what the continuing management of Revell Gmbh decides to do with all the molds that have just been purchased from Revell USA. My guess is that much of it will have limited appeal in Europe and therefore it will make sense to have a USA-specific product line. My guess is that a new US-based company will be formed as a subsidiary of Revell Gmbh to manage product distribution and also to help select new kit subjects for the US market.
Thats kind of what I wad wondering....
|April 16 2018, 3:23 PM |
Thanks for the post Russ! I know they had to close the doors of Revell USA, but are the plans like you said to ship it all to Germany, rehire and reopen as a subsidary...that's kind of what I was wondering.
That's the big question
|April 16 2018, 5:51 PM |
The purchase deal closes on May 8. I would not think there will be any big announcements until after the sale is official.
The buyers could go in a completely different direction from my speculation but, like I said, a lot of the Revell US and Monogram tooling won't have much appeal outside the USA.
Re: Revell USA was bankrupt along with Hobbico and its sister companies
|April 16 2018, 7:54 PM |
I'm not going to hold my breath for any US based subsidiary beyond distribution. Flip side is that Quantum Capital will 'cut the fat', whether that means 1/25 autos or old molds - who knows.
I think that QCP will eventually sell Revell, that is their business model - turn around ailing companies and make a profit on the sale thereof.
It is encouraging that it is their business to revive what they think are viable, yet underperforming businesses.
I believe they will do their best to eliminate parallel distribution channels in all the countries and try to make a global distribution model - that is where the efficiency is.
The fact that they are based in Germany lends credence and encouragement. If it were an American corporation, it would be a vulture operation, selling molds for scrap and liquifying the company.
|This message has been edited by keithwwalker from IP address 220.127.116.11 on Apr 16, 2018 7:57 PM|
|April 17 2018, 4:22 AM |
Right, there's not a single private equity turnaround company in the US.All vultures.
Where do you get such nonsense?
|April 17 2018, 8:50 AM |
None of those firms in the US gave a **** to save Revell. fact.
Russ you're just full o'good news! ...
|April 16 2018, 3:39 PM |
It all sounds pretty darned promising so far.
I think there is reason for optimism with Revell
|April 16 2018, 5:54 PM |
Now if we can just get Hornby's finances sorted, Airfix's future will be assured as well.
I only buy at real shops but...
|April 16 2018, 6:44 PM |
I see very little Airfix actually for sale anywhere. Did see the 1/48 P-40B once, was gonna get it the next week and it was gone. From what I hear they limit their output? If so that's pretty effing dumb of them.
I'm sure there are sophisticated bean-counting reasons for doing something like that but to tool up a new kit just to hold back on producing it? Don't have to be a business tycoon to see how stupid that is.
I can't buy it if I can't find it.
I wanna give them my money!
I should probably ask the hobby shop man if he can still order me an Airfix P-51D before they shelve those molds indefinitely too.
And I understand production runs...
|April 16 2018, 6:54 PM |
I know they can't mold everything always but gheez make a few hundred cartons while you're set up for it then trickle them out over the next few years until you set up for it again in a new boxing.
Airfix is abundant in Australia
|April 16 2018, 9:13 PM |
It's interesting if Airfix kits are hard to find in American hobby shops because they are abundant at hobby shops throughout Australia.
No idea why this is so but maybe- just guessing- it's a legacy of the old Commonwealth links when Aussie and NZ kids grew up on Airfix kits so Airfix have a long sales history with us.
Again just a guess but maybe Hornby focuses its marketing on "traditional" sales markets and America may not give them the market penetration they want?
Or to turn the argument around- do your hobby shops try to order in Airfix kits at all? There is no logical reason why the kits are not easily available in America, so either Hornby is not supplying the market or US hobby importers are ignoring the product.
Either way international mail order is your friend. Hobby shops without borders !
Sometimes there is a delay getting the first release of a new kit in the US of A
|April 16 2018, 9:32 PM |
Just looked on Airfix site...
|April 16 2018, 11:33 PM |
Seems the first boxing of the P-40B is still available direct from Airfix. Cool!
I think I'll ask the LHS to get me one and a P-51D.
|April 17 2018, 4:25 AM |
Airfix kits are easily available on the Internet, from all sorts of suppliers. The vast majority of sales of kits are internet=based now (hence so many hobby shops closing), so why not do as most others do? Expecting Airfix to met your needs when you are a declining market is sensible, not stupid.
Can't argue that...
|April 17 2018, 11:25 AM |
What I was calling stupid was Airfix not producing enough of a given boxing from their new molds.
Seems I may have been wrong about that, since the first-issue P-40B I'd thought I'd missed out on is still available directly from Airfix.
Actually "real shops" is a distinction made by most wholesalers
|April 17 2018, 3:10 PM |
To get a wholesale account you have to provide documentation that you have a real, physical, address and provide photos or copies of 1) your exterior signage, 2) posted operating hours on the door 3) phone book listing 4) photos of the inside and outside of your store to prove you aren't a flea market vendor, a business run out of a rental shed or someone's garage, etc.