Playmobil announced on Tuesday that it will auction off key manufacturing equipment, including painting lines and injection-moulding machines, as the German toy maker confronts a worsening financial situation. The move, reported by Der Spiegel, marks the first time the Brandstätter Group has put core production assets up for sale. Playmobil, famous for its plastic playsets, has seen sales dip over the past two years as children shift toward digital entertainment and raw-material costs rise sharply. The auction, scheduled for early September and run by a specialist firm, will cover equipment from the Zirndorf plant that assembles and paints the iconic figures. Company officials say the proceeds will be used to shore up cash reserves, fund a restructuring plan and protect the core product range. Analysts warn that the sale could trigger further layoffs, as the plant employs around 1,200 workers and supplies a network of local suppliers. The German government has not commented, but the toy sector views the development as a warning sign for an industry already squeezed by high energy prices and intense competition. Observers will watch whether Playmobil can stabilise its balance sheet or if additional divestments will follow.
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Playmobil to Auction Manufacturing Equipment Amid Financial Strain
Published August 6, 2026 at 7:02 AM UTC