Rettenmeier takes over Ziegler mills in Germany and becomes the country's largest wood processing group

Competition authorities have cleared the acquisition of significant parts of the ZIEGLER GROUP by Rettenmeier Holding AG, according to a statement issued on March 5, 2025 in Plößberg, Germany. This transaction marks a new chapter in the restructuring of one of Europe's leading timber groups. The transaction will be finalized shortly, subject to additional conditions.

Transaction details

The acquired companies will operate under the name Rettenmeier Holzindustrie Plößberg GmbH, with the exception of Prechtl GmbH Anlagen- und Maschinenbau and Ruhland Druckluft & Systemtechnik GmbH, which will keep their current names.

This acquisition, originally announced on January 31, 2025, includes several entities in the Ziegler Group's German operations:

Ziegler Holzindustrie GmbH & Co. KG
Ziegler Naturenergie GmbH
Ziegler Forstservice GmbH
Holzzentrum Ziegler GmbH
Prechtl GmbH Anlagen- und Maschinenbau
Ruhland Druckluft & Systemtechnik GmbH
Train station in Wiesau

The management of the new entity Rettenmeier Holzindustrie Plößberg GmbH will be taken over by Robert Friedl, who has already held this position within the Ziegler Group for the last 4 years.

Impact on the European timber market

This strategic acquisition makes Rettenmeier the largest wood processing group in Germany. With a total of 2,300 employees in Germany, Latvia and Slovakia, the company now ranks among the three largest wood processing companies in Europe. The group's cutting capacity will increase to 6.2 million cubic meters and pellet production to 465,000 tons per year.

The plant in Plößberg, which will in future operate under the name Rettenmeier, is the largest wood-processing complex in Europe, with a cutting capacity of 2.4 million cubic meters. In addition, 240,000 tons of pellets and about 200,000 cubic meters of sawn timber are produced in nearby Pressath.

Dr. Stephan Lang, CEO of Rettenmeier, explained that "by taking over these sites, we are not only expanding our production capacities, but also strengthening our competitiveness and long-term security of supply for our customers."

Background: Restructuring of the Ziegler Group

The deal is part of a wider restructuring of the Ziegler Group, which entered insolvency in November 2024. Of the group's 45 companies, 27 filed for insolvency after the company accumulated debts of €407 million, including €326 million in bank loans.

The group, which employs about 3,000 people in Germany, Sweden and Romania and reported sales of about 750 million euros in 2023, has been hit hard by the collapse in demand in the construction sector following the war in Ukraine and rising interest rates.

The insolvency administrator, Dr. Volker Böhm of Schultze & Braun, managed a structured process of identifying and approaching potential investors internationally. His efforts have already been successful for other group assets.

Romanian factory taken over by Kronospan

Just a few days before, on March 3, 2025, Kronospan announced the takeover of ZG Timber factory in Sebeș, Romaniawhich also belonged to the Ziegler Group. This mill, which Ziegler acquired from HS Timber (formerly Holzindustrie Schweighofer) only in the summer of 2023, employs about 500 people and was not among the 27 group companies that filed for insolvency.

Kronospan, which has been operating in Romania since 1998 and has invested more than €600 million in the country, will integrate timber products into its global portfolio, complementing the existing production of wood-based panels at its Romanian plants (particleboard and MDF in Sebeș, OSB in Brasov).

Prospects for the European timber industry

Both transactions reflect a significant reorganization of the European timber market at a time of economic uncertainty. Both Rettenmeier and Kronospan have expressed their commitment to maintain operations and jobs at the acquired mills, which is a positive signal for the industry.

Rettenmeier has expressed its intention to strengthen its position in the growing global market for timber and solid wood products by capitalizing on the excellent geographical location of the Plößberg plant and the highly motivated and highly qualified local team.

Similarly, Kronospan sees the acquisition of the Sebeș plant as an opportunity to expand its product range and strengthen Romania's position as a competitive hub for the production of wood products.