4. Corporate structure

This section provides information on the changes in the scope of consolidation and especially on acquisitions and divestments. A list of all GF Corporate Companies is provided. 

4.1Changes in scope of consolidation

4.1.1 Additions, disposals and mergers

During the year under review, the scope of consolidation changed as follows:

Additions 2020 (increases in ownership)

  • As of 1 April 2020, Georg Fischer Meco Eckel GmbH & Co. KG, Biedenkopf-Wallau (Germany), (acquisition of additional 24% of capital)
    Division: GF Casting Solutions
  • As of 1 April 2020, Georg Fischer Meco Eckel GmbH, Biedenkopf-Wallau (Germany), (acquisition of additional 24% of capital)
    Division: GF Casting Solutions
  • As of 1 April 2020, PEM Zerspanungstechnik GmbH, Schwarzenberg (Germany), (acquisition of the remaining 49% of capital)
    Division: GF Casting Solutions

Additions 2020 (foundations)

  • As of 1 July 2020, Georg Fischer Casting Solutions Shenyang Co. Ltd., Shenyang (China)
    Division: GF Casting Solutions
  • As of 1 August 2020, Egypt Gas GF-Corys Piping Systems S.A.E. Cairo (Egypt), (drawing of 75% of capital)
    Division: GF Piping Systems

Disposals 2020 (reductions in ownership)

  • As of 1 May 2020, Fondium Group GmbH, Mettmann (Germany), (sale of remaining 20% of capital)
    Division: GF Corporate Management
  • As of 1 May 2020, Fondium Mettmann GmbH, Mettmann (Germany), (sale of remaining 20% of capital)
    Division: GF Corporate Management
  • As of 1 May 2020, Fondium Singen GmbH, Singen (Germany), (sale of remaining 20% of capital)
    Division: GF Corporate Management
  • As of 1 May 2020, Fondium Holding GmbH, Mettmann (Germany), (sale of remaining 0.2% of capital)
    Division: GF Corporate Management

Mergers 2020

  • As of 1 July 2020, 9362-6877 Québec Inc, Montreal (Canada) with GF Urecon Ltd, Coteau-du-Lac, Québec (Canada), (reverse merger)
    Division: GF Piping Systems and GF Corporate Management

During the previous year, the scope of consolidation changed as follows:

Additions (acquisitions) 2019

  • As of 1 August 2019, Global Supply Company LLC, Hallandale (USA)
    Pro rata sales 2019: CHF 2 million
    Division: GF Piping Systems

Additions (increase in ownership) 2019

  • As of 1 January 2019, Step-Tec AG, Luterbach (Switzerland), (acquisition of the remaining 1.7% of capital)
    Division: GF Machining Solutions
  • As of 1 March 2019, GF Precicast Additive SA, Novazzano (Switzerland), (acquisition of the remaining 50% of capital)
    Division: GF Machining Solutions
  • As of 1 October 2019, Georg Fischer Corys LLC, Dubai (United Arab Emirates), (acquisition of an additional 1% of capital)
    Division: GF Piping Systems

Additions (foundation) 2019

  • As of 29 October 2019, GF Corys Middle East Ltd, Abu Dhabi (United Arab Emirates)
    Division: GF Corporate Management
  • As of 11 December 2019, Georg Fischer Piping Systems Ltd Yangzhou, Yangzhou (China)
    Division: GF Piping Systems

Disposals (divestments) 2019

  • As of 1 October 2019, GF Casting Solutions Herzogenburg Iron GmbH, Herzogenburg  (Austria)
    Pro rata sales 2019: CHF 59 million
    Division: GF Casting Solutions

Mergers 2019

  • As of 1 December 2019, Step-Tec AG, Luterbach, Switzerland with GF Machining Solutions AG, Biel (Switzerland)
    Division: GF Machining Solutions

4.1.2 Acquisitions and divestments

Assets and liabilities from acquisitions and divestments at the time control was acquired or lost

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CHF million

Total acquisitions 2020

Total divestments 2020

Total acquisitions 2019

Total divestments 2019

 

 

 

 

 

Cash and cash equivalents

 

 

 

 

Trade accounts receivable

 

 

2

–10

Inventories

 

 

 

–11

Other accounts receivable

 

 

 

 

Property, plant, and equipment

 

 

 

–17

Intangible assets

 

 

 

 

Deferred tax assets

 

 

1

 

Other financial assets

 

 

 

 

Total assets

 

 

3

–38

 

 

 

 

 

Deferred tax liabilities

 

 

 

 

Non-interest bearing liabilities

 

 

1

–18

Interest-bearing liabilities

 

 

 

–2

Net assets

 

 

2

–18

For this presentation, the translation of the original currency values into Swiss francs was calculated using the exchange rates of the respective transaction date. The total cash-out for increase in ownership, earn-out payments and the acquisition of Oxford Flow Utility & Industries Limited amounted to CHF 6 million (previous year: CHF 5 million).

On 24 February 2020, 7.55% of the capital of Oxford Flow Utility & Industries Limited was acquired with an option to acquire up to 23% of the capital in 2021. As of 31 December 2020, no control and no significant influence was assumed and the investment was recorded as a financial asset (see note 5.2 Other financial assets).

Acquisitions 2019

Acquisition Global Supply Company LLC

Acquisition of 100% of the shares of the specialized service provider for the marine industry, Global Supply Company LLC. Control was assumed as of 1 August 2019. Global Supply Company LLC services the retrofit market for cruise ships in the USA. The company renamed to GF Marine USA and merged into George Fischer LLC, Irvine, USA.

Divestments 2019

Divestment of GF Casting Solutions Herzogenburg Iron GmbH

Sale of 100% of the shares in the iron foundry in Herzogenburg supplying the automotive industry with a dedicated workforce of around 250 employees and annual sales of approximately CHF 75 million. GF facilitated the sale by providing a vendor loan of CHF 10 million to the buyers consisting of the former management. Because of the divestment, all assets and liabilities of the formerly fully owned company were deconsolidated on 1 October 2019. See also note 5.2 for further details.

Accounting principles

Companies acquired are consolidated from the date on which control is obtained, while companies divested are excluded from the scope of consolidation as of the date on which control is lost, with any gain or loss recognized in the income statement.

The assets and liabilities of acquired companies are valued at actual values at the time control is obtained. Assets and liabilities of divested companies are valued at book values at the time control is lost. Local currency values are translated into Swiss francs at the exchange rates of the respective transaction date.

4.2Affiliated companies

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Country

Division

Company

Functional currency

Share capital million

Participation %

Consolidation

Function

Europe

 

 

 

 

 

 

 

Austria

CM

GF Casting Solutions Altenmarkt GmbH, Altenmarkt

EUR

0,1

100

C

M

 

PS

Georg Fischer Fittings GmbH, Traisen

EUR

3,7

51

C

P

 

PS

Georg Fischer Rohrleitungssysteme GmbH, Herzogenburg

EUR

0,2

100

C

S

 

CS

GF Casting Solutions Services GmbH, Herzogenburg 1

EUR

4,6

100

C

H

 

CS

GF Casting Solutions Herzogenburg HPDC GmbH, Herzogenburg

EUR

0,1

100

C

P

 

CS

GF Casting Solutions Altenmarkt GmbH & Co KG, Altenmarkt

EUR

2,4

100

C

P

Belgium

PS

Georg Fischer NV-SA, Bruxelles 1

EUR

0,5

100

C

S

Czech Republic

MS

GF Machining Solutions sro, Brno 1

CZK

12,3

100

C

S

Denmark

PS

Georg Fischer A/S, Taastrup 1

DKK

0,5

100

C

S

France

CM

Georg Fischer Holding SAS, Palaiseau 1

EUR

6,4

100

C

H

 

PS

Georg Fischer SAS, Villepinte

EUR

1,1

100

C

S

 

MS

GF Machining Solutions SAS, Palaiseau

EUR

4,0

100

C

S

Germany

CM

Georg Fischer BV & Co KG, Singen 1

EUR

25,6

100

C

H

 

CM

Georg Fischer Geschäftsführungs-GmbH, Singen 1

EUR

0,1

100

C

M

 

CM

Georg Fischer Giessereitechnologie GmbH, Singen

EUR

0,5

100

C

M

 

CM

Georg Fischer Meco Eckel GmbH, Biedenkopf-Wallau

EUR

0,1

75

C

M

 

PS

Georg Fischer DEKA GmbH, Dautphetal-Mornshausen

EUR

2,6

100

C

P

 

PS

Georg Fischer GmbH, Albershausen

EUR

2,6

100

C

S

 

PS

Georg Fischer Fluorpolymer Products GmbH, Ettenheim

EUR

4,0

100

C

P

 

PS

Chinaust Automotive GmbH, Düsseldorf

EUR

0,1

50

F

S

 

CS

GF Casting Solutions Leipzig GmbH, Leipzig

EUR

0,9

100

C

P

 

CS

GF Casting Solutions Werdohl GmbH, Werdohl

EUR

0,3

100

C

P

 

CS

GF Meco Eckel GmbH & Co KG, Biedenkopf-Wallau

EUR

0,2

75

C

P

 

CS

Eckel & Co GmbH, Biedenkopf-Wallau

EUR

0,2

100

C

M

 

CS

PEM Zerspanungstechnik GmbH, Schwarzenberg

EUR

0,1

100

C

P

 

MS

GF Machining Solutions GmbH, Schorndorf

EUR

2,6

100

C

S

 

MS

Symmedia GmbH, Bielefeld

EUR

1,4

100

C

P

United Kingdom

PS

George Fischer Sales Ltd, Coventry 1

GBP

4,0

100

C

S

 

PS

Oxford Flow Utility & Industries Ltd, Oxford 1

GBP

0,1

8

F

P

 

MS

GF Machining Solutions Ltd, Coventry 1

GBP

2,0

100

C

S

Italy

CM

Georg Fischer Holding Srl, Caselle di Selvazzano 1

EUR

0,5

100

C

H

 

PS

Georg Fischer TPA Srl, Busalla

EUR

0,7

100

C

P

 

PS

Georg Fischer Omicron Srl, Caselle di Selvazzano

EUR

0,1

100

C

P

 

PS

Georg Fischer Pfci Srl, Valeggio sul Mincio

EUR

0,5

100

C

P

 

PS

Georg Fischer SpA, Agrate Brianza

EUR

1,3

100

C

S

 

MS

GF Machining Solutions SpA, Agrate Brianza

EUR

3,0

100

C

S

Netherlands

CM

Georg Fischer Holding NV, Epe 1

EUR

0,9

100

C

H

 

CM

Georg Fischer Management BV, Epe 1

EUR

0,1

100

C

M

 

PS

Georg Fischer NV, Epe

EUR

0,9

100

C

S

 

PS

Georg Fischer WAGA NV, Epe

EUR

0,4

100

C

P

Norway

PS

Georg Fischer AS, Rud 1

NOK

1,0

100

C

S

Poland

PS

Georg Fischer Sp.z.o.o., Sękocin Nowy 1

PLN

18,5

100

C

S

 

MS

GF Machining Solutions Sp.z.o.o., Sękocin Nowy 1

PLN

1,3

100

C

S

Romania

CS

GF Casting Solutions SRL, Pitești 1

RON

26,5

100

C

P

 

CS

GF Casting Solutions Arad SRL, Arad

RON

24,5

100

C

P

Spain

PS

Georg Fischer SA, Madrid 1

EUR

1,5

100

C

S

 

MS

GF Machining Solutions SAU, Barcelona 1

EUR

2,7

100

C

S

Sweden

PS

Georg Fischer AB, Stockholm 1

SEK

1,6

100

C

S

 

MS

System 3R International AB, Vällingby 1

SEK

17,1

100

C

P

Switzerland

CM

WIBILEA AG, Neuhausen 1

CHF

1,0

43

E

M

 

CM

Eisenbergwerk Gonzen AG, Sargans 1

CHF

0,5

49

F

M

 

CM

Georg Fischer AG, Schaffhausen

CHF

4,1

 

C

H

 

CM

Munot Re AG, Schaffhausen 1

CHF

3,0

100

C

M

 

CM

Georg Fischer Finanz AG, Schaffhausen 1

CHF

4,0

100

C

M

 

CM

GF Casting Solutions Industrial SA, Novazzano 1

CHF

1,0

100

C

H

 

PS

Georg Fischer Rohrleitungssysteme AG, Schaffhausen 1

CHF

20,0

100

C

P

 

PS

Georg Fischer Rohrleitungssysteme (Schweiz) AG, Schaffhausen 1

CHF

0,5

100

C

S

 

PS

Georg Fischer Wavin AG, Schaffhausen 1

CHF

17,8

60

C

P

 

PS

Georg Fischer JRG AG, Sissach 1

CHF

1,8

100

C

P

 

CS

GF Casting Solutions AG, Schaffhausen 1

CHF

1,0

100

C

M

 

CS

GF Casting Solutions Novazzano SA, Novazzano

CHF

1,0

100

C

P

 

CS

GF Ceramics Novazzano SA, Novazzano

CHF

1,2

100

C

P

 

CS

GF Precicast Additive SA, Novazzano

CHF

0,2

100

C

P

 

MS

Agie Charmilles SA, Losone 1

CHF

10,0

100

C

P

 

MS

Agie Charmilles Services SA, Meyrin 1

CHF

3,6

100

C

S

 

MS

GF Machining Solutions Management SA, Meyrin 1

CHF

0,5

100

C

M

 

MS

GF Machining Solutions Sales Switzerland SA, Losone 1

CHF

2,6

100

C

S

 

MS

Mecartex SA, Muzzano

CHF

0,4

30

E

P

 

MS

GF Machining Solutions AG, Biel 1

CHF

3,5

100

C

P

 

 

 

 

 

 

 

 

Near East

 

 

 

 

 

 

 

Egypt

PS

Egypt Gas GF-Corys Piping Systems SAE, Cairo

EGP

53,1

75

C

P

UAE

CM

GF Corys Middle East Ltd, Abu Dhabi 1

AED

9,8

50

C

H

 

PS

Georg Fischer Corys LLC, Dubai 1

AED

0,3

50

C

P

Turkey

PS

Georg Fischer Hakan Plastik AS, Cerkezköy 1

TRY

270,0

100

C

P

 

MS

GF Imalat Cözümleri Ticaret Ltd Sti, Istanbul 1

TRY

7,0

100

C

S

 

 

 

 

 

 

 

 

Americas

 

 

 

 

 

 

 

Argentina

PS

Georg Fischer Central Plastics Sudamerica SRL, Buenos Aires 1

ARS

16,2

100

C

S

 

PS

Polytherm Central Sudamericana SA, Buenos Aires

ARS

0,1

49

E

S

Brazil

PS

Georg Fischer Sistemas de Tubulacoes Ltda, São Paulo 1

BRL

11,5

100

C

S

 

MS

GF Machining Solutions Máquinas Ltda, São Paulo 1

BRL

60,9

100

C

S

Canada

PS

Georg Fischer Piping Systems Ltd, Mississauga 1

CAD

1,3

100

C

S

 

PS

GF Urecon Ltd, Coteau-du-Lac, Québec

CAD

10,9

100

C

P

Mexico

PS

Georg Fischer SA de CV Mexico, Monterrey 1

MXN

0,1

100

C

S

 

MS

GF Machining Solutions LLC, Monterrey 1

MXN

15,1

100

C

S

USA

CM

George Fischer Corporation, El Monte, CA 1

USD

0,1

100

C

H

 

CM

Georg Fischer Export Inc, El Monte, CA 1

USD

0,1

100

C

M

 

PS

Georg Fischer LLC, Irvine, CA

USD

3,8

100

C

S

 

PS

Georg Fischer Signet LLC, El Monte, CA

USD

0,1

100

C

P

 

PS

Georg Fischer Central Plastics LLC, Shawnee, OK

USD

1,1

100

C

P

 

PS

Georg Fischer Harvel LLC, Easton, PA

USD

0,1

100

C

P

 

PS

Chinaust Automotive LLC, Troy, MI

USD

0,1

50

F

S

 

CS

GF Linamar LLC, Mills River, NC

USD

39,9

50

C

P

 

MS

GF Machining Solutions LLC, Lincolnshire, IL

USD

0,1

100

C

S

 

MS

Microlution Inc, Chicago, IL

USD

2,6

100

C

P

 

 

 

 

 

 

 

 

Asia/Australia

 

 

 

 

 

Australia

CM

George Fischer IPS Pty Ltd, Riverwood 1

AUD

7,1

100

C

H

 

PS

George Fischer Pty Ltd, Riverwood

AUD

3,8

100

C

S

China

CM

Georg Fischer Business Services (Shanghai) Co Ltd, Shanghai 1

CNY

1,1

100

C

M

 

PS

Changchun Chinaust Automobile Parts Corp Ltd, Changchun

CNY

10,0

50

P

P

 

PS

Chinaust Plastics Corp Ltd, Zhuozhou

CNY

100,0

50

P

P

 

PS

Chinaust Plastics (Shenzhen) Co Ltd, Shenzhen 1

CNY

80,0

50

P

P

 

PS

Chinaust Plastics (Sichuan) Corp Ltd, Dujiangyan 1

CNY

80,0

50

P

P

 

PS

Hebei Chinaust Automotive Plastics Corp Ltd, Zhuozhou 1

CNY

58,2

50

P

P

 

PS

Shanghai Chinaust Automotive Plastics Corp Ltd, Shanghai 1

CNY

40,3

50

P

P

 

PS

Shanghai Chinaust Plastics Corp Ltd, Shanghai

CNY

66,0

50

P

P

 

PS

Shanghai Georg Fischer Chinaust Plastics Fittings Corp Ltd, Shanghai 1

CNY

52,0

51

C

P

 

PS

Georg Fischer Piping Systems Ltd, Shanghai 1

CNY

41,4

100

C

P

 

PS

Georg Fischer Piping Systems (Trading) Ltd, Shanghai 1

CNY

1,7

100

C

S

 

PS

Georg Fischer Piping Systems Ltd, Beijing 1

CNY

36,7

100

C

P

 

PS

Beijing Jingran Lingyun Gas Equipment Co Ltd, Langfang 1

CNY

6,0

40

P

P

 

PS

Langfang Shuchang Auto Parts Co Ltd, Langfang 1

CNY

10,0

40

P

P

 

PS

Chinaust Plastics Ltd, Haining 1

CNY

100,0

50

P

P

 

PS

Chinaust Plastics Ltd, Xian 1

CNY

73,0

50

P

P

 

PS

Georg Fischer Piping Systems Ltd Yangzhou, Yangzhou 1

CNY

30,6

100

C

P

 

CS

GF Casting Solutions Suzhou Co Ltd, Suzhou 1

CNY

209,5

100

C

P

 

CS

GF Casting Solutions Kunshan Co Ltd, Kunshan 1

CNY

149,5

100

C

P

 

CS

GF Casting Solutions Shenyang Co Ltd, Shenyang 1

CNY

45,4

100

C

P

 

MS

GF Machining Solutions Ltd, Hongkong 1

HKD

3,5

100

C

S

 

MS

Agie Charmilles China (HK) Ltd, Hong Kong

HKD

58,4

100

C

S

 

MS

GF Machining Solutions (Shanghai) Ltd, Shanghai

CNY

2,5

100

C

S

 

MS

Agie Charmilles China (Shenzhen) Ltd, Shenzhen

CNY

2,5

100

C

S

 

MS

Agie Charmilles China (Tianjin) Ltd, Tianjin

CNY

1,7

100

C

S

 

MS

Beijing Agie Charmilles Industrial Electronics Co Ltd, Beijing 1

CNY

80,3

78

C

P

 

MS

Beijing Agie Charmilles Technology & Service Ltd, Beijing

CNY

4,5

78

C

S

 

MS

GF Machining Solutions Changzhou Co Ltd, Changzhou 1

CNY

164,1

100

C

P

India

PS

Georg Fischer Piping Systems PVT Ltd, Mumbai 1

INR

215,4

100

C

P

Indonesia

PS

PT GF Piping Systems Indonesia, Karawang

IDR

12,7

100

C

P

 

PS

Georg Fischer Indonesia (Trading), Karawang

IDR

3,4

100

C

S

Japan

PS

Georg Fischer Ltd, Osaka 1

JPY

480,0

81

C

S

 

MS

GF Machining Solutions Ltd, Yokohama 1

JPY

50,0

100

C

S

Korea

PS

Georg Fischer Korea Co. Ltd., Yongin-si 1

KRW

600,0

100

C

S

 

MS

GF Machining Solutions Co Ltd, Seoul 1

KRW

1300,0

100

C

S

Malaysia

PS

George Fischer (M) SDN BHD, Klang 1

MYR

10,0

100

C

P

New Zealand

PS

Georg Fischer Ltd, Wellington 1

NZD

0,1

100

C

S

Singapore

CM

Eurapipe Holdings Ptd Ltd, Singapore 1

SGD

6,2

100

C

H

 

PS

George Fischer Pte Ltd, Singapore

SGD

9,2

100

C

S

 

MS

GF Machining Solutions Pte Ltd, Singapore

SGD

2,1

100

C

S

Taiwan

PS

Georg Fischer Co Ltd, New Taipei City 1

TWD

1,0

100

C

S

 

MS

GF Machining Solutions Ltd, San Chung, Taipei Hsien 1

TWD

10,0

100

C

S

Vietnam

MS

GF Machining Solutions Co Ltd, Hanoi 1

VND

15,1

100

C

S

1 Directly held by Georg Fischer Ltd.

Division
CM = Corporate Management
PS = GF Piping Systems
CS = GF Casting Solutions
MS = GF Machining Solutions

Consolidation
C = Fully consolidated
P = Proportionately consolidated
E = Stated based on the equity method
F = Stated at estimated fair value

Function
H = Holding
P = Production
M = Management and Services
S = Sales

Status as of 31 December 2020

4.3Related parties

Related parties include associates, members of the Board of Directors and the Executive Committee, pension funds and similar institutions.

4.3.1 Transactions with associates

CHF 0 million of loans to associates (previous year: CHF 75 million) and contingent liabilities to associates in favor of third parties of CHF 0 million (previous year: CHF 76 million) were outstanding. The change is explained by the sale of remaining ownership in associates, see note 5.2.

4.3.2 Transactions with members of the Board of Directors and the Executive Committee

Total compensation to the Board of Directors and Executive Committee is broken down as follows:

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CHF 1'000

2020

2019

 

 

 

Cash compensation

5’499

5’789

Pension funds

541

819

Social security

533

515

Share-based compensation

3’568

3’100

Total compensation

10’141

10’223

The members of the Board of Directors received a fixed number of Georg Fischer restricted shares and a fixed remuneration paid in cash. The total compensation of the Board of Directors is recognized as operating expenses, see note 1.3 (1.3.1 Operating expenses) and the information in the Compensation Report. The valuation of the restricted shares is based on the year-end share price of CHF 1’140.00 (previous year: CHF 983.00). A total of 1’396 restricted shares were granted to the Board of Directors (previous year: 1’501).

The compensation for the Executive Committee consists of a long-term share-based incentive, a short-term cash incentive and a fixed base salary. The share-based incentive is granted in the form of performance shares. The total compensation of the Executive Committee is recognized as personnel expenses, see note 1.3 (1.3.2 Personnel expenses) and the information in the Compensation Report. The valuation of the performance shares is based on the year-end share price of CHF 1’140.00 (previous year: CHF 983.00). In order to derive the value of the performance shares, a financial model was used that takes into consideration the specific performance criteria linked to the performance shares, namely the earnings per share criteria and the relative total shareholder return criteria, see also the Compensation Report. A total of 1’764 performance shares were granted to the Executive Committee (previous year: 1’644).

No member of the Executive Committee or the Board of Directors or any persons related to them received any fees or other compensation for additional services to Georg Fischer Ltd or its Corporate Companies in 2020 and in 2019.

Neither Georg Fischer Ltd nor its GF Corporate Companies granted any guarantees, loans, advances, or credit facilities to members of the Executive Committee or the Board of Directors or to any persons related to them.

The detailed disclosure of the compensation and shareholdings of the members of the Board of Directors and the Executive Committee in accordance with Swiss law can be found in the Compensation report, respectively in the financial statements of Georg Fischer Ltd in note 6 Compensation and shareholdings.

4.3.3 Transactions with pension funds and similar institutions

The Corporation holds current accounts with some of its related pension funds and similar institutions. As of the end of the financial year, it had a liability of CHF 3 million (previous year: liability of CHF 1 million). The current accounts bear an interest of 1%. Furthermore, contributions of CHF 1 million were made to similar institutions (previous year: CHF 1 million).

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