Business News

Gorenje Not Moving Headquarters from Velenje, For Now

Velenje, 03 July (STA) - The chairman of Gorenje Franjo Bobinac assured the city councillors in Velenje on Tuesday that the household appliance maker was for now keeping its headquarters in Velenje. He said moving part of the production abroad, especially to Serbia, would not entail a reduction of the workforce in Velenje.

The head of what is Slovenia's biggest industrial company said that the plan was to have the Velenje location take over the manufacturing of washing and drying machines and dishwashers from the Swedish subsidiary Asko.

Asko, which employs around 500 people and has been making a loss, would instead focus on development, brand management and marketing.

If the move is backed on Friday by Asko's management board, Gorenje could start manufacturing washing machines in Velenje next summer. Additional programmes to be potentially introduced in Velenje include electronics.

Bobinac stressed that significant changes in the business environment prompted Gorenje to adopt a new three-year strategy last year.

The plan envisages EUR 1.5bn in revenues in 2015 or a 3.8% increase on last year, and an expansion to the fast-growing markets of Brazil, Russia, India, China and other overseas countries.

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