When Marc Grynberg joined Umicore 17 years ago, it was a high-polluting, unprofitable metal smelting business. Today, it’s something else entirely: a high-skilled, Ђ2.4bn (Ј2.05bn) revenue conglomerate operating at the frontiers of the clean tech economy.
Belgium-born Grynberg has had a ringside seat throughout the entirety of company’s radical transformation, first as group controller then via various C-Suite roles until becoming chief executive in 2008.
“We wanted to move away from the company we were in the past – a company that was seen as a polluter, and for valid reasons. Instead, we wanted to create businesses that are sustainable and that do not create a negative environmental legacy”, he explained.
360-degree turn
Easier said than done, you might think. And you’d be right. First off, Umicore had to divest itself of its existing assets, which primarily focused on loss-leading copper and zinc smelters. That meant getting them into “good shape” so the company could guarantee a successful exit, which it did in two spin-off deals in 2005 and 2007.
But what comes next? Umicore had extricated itself from one industry, but it needed to enter another. The Brussels-based company opted not for one industry but four. Today, it provides specialist materials for automotive catalysts, lithium-ion batteries and photovoltaic technologies. It’s also established itself as a leader in “urban mining”, recycling old phones, laptops and the like.
None of these new investments and acquisitions were taken lightly, Grynberg insists. His transition strategy was based on two core principles: one, stick to what the company is already good at, and; two, identify the clean technology sectors that are set to take off in the near future.
Source: The Guardian
By Oliver Balch