As of 1 September, 2023, Smag Graphique has become a Rhyguan group company, securing the future of the French manufacturer and giving it greater access to markets across Asia.
Located in the outskirts of Paris, Smag specialises in the fabrication of high-end narrow web printing and value adding finishing and converting equipment for self-adhesive labels and flexible packaging. Rhyguan is a family-owned business headquartered in China. The company manufactures and installs some 700 label finishing and converting machines each year. In 2019, the company established Rhyguan Europe to give it a direct presence on the continent. A European demo centre has been opened, with spare parts and service offered directly to local customers in Europe. At its headquarters in China, Rhyguan has also has invested in a new and dedicated 50,000sqm production facility in Rui’an city. The old production facility will be closed down and the company will move to its new head office in November 2023.
Smag’s machine portfolio will continue to be available and be manufacture in France. In the Chinese and Asian markets, Smag customers will additionally be able to benefit from Rhyguan’s local service capabilities. Mass production machines, such as the Smag Easy convert and Easy control lines will be assembled by Rhyguan before being finished at Smag’s factory in France. All those products will be offered by the existing Smag sales network, although some will also merge. Existing Rhyguan customers in France will benefit from the ease of communication in their local language, as well as from improved service and response times. Effective immediately, Smag is providing the full Rhyguan group portfolio in France and French speaking countries in Africa.
Whilst Rhyguan has taken control of a major share of Smag, Stephane Rateau and Jean-Marie Mercier will continue in their respective positions of CEO and finance director. Rhyguan Europe managing director Daniel van Zelst assumes the additional position of president of the board of Smag Holdings.
Mr Rateau said, ‘Smag on its own was too big to be small and too small to be big, and had no third generation of owners coming into the company. Now we will benefit from the purchasing scale of economies of Rhyguan, and the group effect with an extended products portfolio to all customers. Of course we will retain our unique high end product range such as for example Galaxie Classic, Iconcept and Iconnect.’
Rhyguan CEO Alvin Cai said, ‘Our new production facility is absolutely world class and allows for large savings in carbon dioxide emissions through the use of solar panels. With the investment in Smag, we wish to show our strong commitment to the European market and especially the needs of European customers for good aftersales service. Smag will retain a unique and value adding product range produced in France.’
Mr van Zelst added, ‘Rhyguan Europe and SMAG will continue to operate separately, with each focusing on its areas of strength. It is important to stress and assure Smag staff and customers that no layoffs are foreseen. Quite the opposite, in fact. Starting 2024 new positions may be created, as Rhyguan will continue to invest in innovation, service and support. Moreover, we aim to create strong growth of the Smag business.’
