Bergbahnen Adelboden & Lenk Intend To Merge
At their general meetings on May 5th and 6th, 2023, Bergbahnen Adelboden AG and the Lenk Bergbahnen cooperative will decide on the establishment of a joint operating company. All employees will be taken over by the new organization. With the merger of the railway operations and in a later phase of the catering operations, the proven cooperation over the mountain should be further intensified.
A change in the statutes should enable Bergbahnen Adelboden AG (BAAG) and the Lenk Bergbahnen cooperative (LBB) to found a new operating company: Bergbahnen Adelboden-Lenk AG (BAL AG). As a ski area and bike region connected via the Hahnenmoos Pass, the two companies already solve many tasks together as natural partners. With the merger of the railway operations and in a later phase of the catering operations, the tried and tested cooperation is to be further intensified. The administrative board and the director of BAAG as well as the administration and the managing director of LBB are convinced that this step will bring many advantages and will significantly improve the future prospects of the two mountain railways. On May 5, 2023, the shareholders of BAAG will decide on the amendment to the Articles of Association,
More opportunities for employees
The formation of the joint operating company does not lead to layoffs. As a result of the shortage of skilled workers, some positions – including managerial positions – are currently vacant. The joint operating company offers the opportunity to fill vacancies internally with interested employees. Due to the increasing requirements, the two mountain railways need more and more specialists, for example in the areas of technology, security, IT and personnel. The two railways cannot afford all the specialists they need on their own, but they can be combined to form a joint operating company.
The current salary systems of BAAG and LBB will be adopted. Compared to today, there are improvements in occupational pensions for annual employees. Basically, all employees have at least the same net salary and the same social and pension benefits as today. The employees keep their place of work. Thanks to its size, the new company is an attractive employer with more opportunities for employees and better cards in the highly competitive job market.
Enable necessary investments
Climate change, constantly increasing cost pressure, changes in leisure behavior and the worsening shortage of skilled workers are putting all mountain railways under pressure. In order to meet the challenges, the mountain railways in Adelboden and on the Lenk also have to develop further. Today's competitive situation inhibits this development, since the two companies, despite existing cooperation, place their own economic interests above joint development. The overall view in the joint operating company facilitates the necessary investments in the products of the future.
The new organization is able to develop and implement attractive offers from a single source and thus manage the common area efficiently. In the future, it will no longer matter whether one side or the other generates more income through a new offer, because the money flows into a common pot. The new logic with a joint fund makes it possible to tackle projects such as the feeder train from Adelboden to Silleren (Direttissima) or the new construction of the Metschstand restaurant in the interests of both parent companies.
Join forces with foresight
It is becoming increasingly difficult to finance investments on your own. New offers can only be realized with significantly higher prices for customers or not at all. The joint operating company is better positioned: thanks to synergy gains of around CHF 0.5 million per year expected in the medium term, a broader income base and better utilization of new offers.
With the foreseeable decline in core business over the winter, the future is challenging.
Joining forces with foresight is the best option. In this way it will be possible to strengthen the winter sports and winter experience in the short term and to win more summer guests with offers across the valley and to fully exploit the potential of an extended autumn season.
Specifically, it is planned to set up a joint subsidiary, which will be owned equally by BAAG and LBB. The new operating company takes over all operational activities of the two parent companies. The planned cooperation is not a merger: the two parent companies will continue to exist, all contracts (building rights contracts, easement contracts, rental contracts, transit rights, etc.) between them and third parties (landowners, etc.) will continue with the previous rights and obligations. The proposed structure will enable the parent companies BAAG and LBB to continue to contribute to the further development of their respective valley without having to forego the advantages of joint operations on the mountain. For example, you can
The board of directors of the planned operating company consists of three board members each from the two parent companies. Raphael Häring from Bösingen, a neutral personality with many years of experience in management and membership of the boards of directors of medium-sized companies and competence in the areas of business administration and finance, is planned as president of the committee. Nicolas Vauclair is envisaged as CEO and Markus Hostettler as deputy CEO of the new company.
