CNA Group signed on documents for the acquisition of Fagor Electrodomésticos’ plants.
The signing of the documents to formalize the transfer of Fagor production assets to CNA took place in Barcelona with representatives of the signatory banks in attendance. These included Bankia, Caixabank, Banco Popular, Banco Sabadell, and Banco Santander.
CNA has already begun recruitment efforts for staff to re-start Fagor production. Most of those being hired are former Fagor employees. It has already hired 155 workers. CNA said in August that it hopes to bring back 840 jobs over the next four years as it restarts Fagor operations. In the first year the company hopes to hire 434 employees in the Garagarza plant, where it will restart production of laundry appliances, cold appliances, cooking appliances, and dishwashers. Ensuing efforts will focus on restaffing and restarting production in Bergara, Eskoriatza, and Basauri.
Fagor Electrodomésticos, part of Spain’s industrial cooperative MCC, filed for bankruptcy in late 2013. Its French subsidiary, FagorBrandt, was sold to Algerian conglomerate Cevital in June 2014.
The Commercial Court No. 1, San Sebastián, Spain, awarded CNA Group with the assets of appliance maker Fagor Electrodomésticos in August of this year. CNA paid EUR 38.5 million to acquire all Fagor manufacturing lines in the Basque region of Spain. CNA Group said its plan assures the continuity of the well-known appliance brand Fagor, as well as brands Edesa, Aspes, and Splendid.
CNA said it will also provide continuity of technical support and warranty coverage on all the brands’ appliances lines, including cold, laundry, and cooking appliances, small electric housewares, and comfort conditioning appliances.