The number of full-time employees averaged over the year was between 10 and 50 in both the reporting year and the previous year.

By way of security for obligations taken on by MCH Live Marketing Solutions AG in the context of a work contract, MCH Group Ltd. provided guarantees amounting to CHF 0.9 million (previous year CHF 5.1 million) on 31.12.2021. To secure a rent guarantee for MC2, a guarantee of CHF 2.3 million (USD 2.5 million) was issued (previous year CHF 2.2 million, USD 2.5 million).

As the parent company, MCH Group Ltd. guarantees the fulfilment of the contracts (investment contributions and loans earmarked for a specific purpose) with the public-sector entities (the Cantons of Basel-Stadt, Basel-Landschaft and Zurich and also the City of Zurich) by means of an abstract payment guarantee.

MCH Group Ltd. is jointly and severally liable with MCH Swiss Exhibition (Basel) Ltd. for a credit facility of CHF 40.0 million (previous year CHF 40.0 million), which was taken up for a sum of CHF 40.0 million (previous year CHF 40.0 million) by MCH Swiss Exhibition (Basel) Ltd. on the balance sheet date.

The financing concept with the public-sector entities (the Cantons of Basel-Stadt, Basel-Landschaft and Zurich and also the City of Zurich) provides for a maximum dividend payment of 5% over the full financing term.

At the end of 2021, 2,295 registered shareholders were entered in the share register (previous year 2,255).

Shareholding in excess of 1.00% as of 31.12.2021 (31.12.2020)

¹⁾ Without registered voting rights

The members of the Board of Directors and related parties hold shares to the value of TCHF 43,699 (previous year TCHF 57,738). The taxable value per share is CHF 9.00 (previous year CHF 12.00).

The members of the Executive Board and related parties hold shares to the value of TCHF 108 (previous year TCHF 67). The taxable value per share is CHF 9.00 (previous year CHF 12.00).

As in the previous year, 2021 was strongly influenced by the Covid-19 pandemic. The pandemic had a significant negative impact on business activity and the financial results for the 2021 financial year. The period from January to August 2021 was marked by the continuing measures put in place by governments and public authorities, with severe restrictions on the freedom to travel and on the holding of meetings and events, where these were permitted at all.

In the first eight months of 2021, business activity came virtually to a standstill with the exception of a considerably scaled-down Art Basel in Hong Kong and a small number of activities in the Live Marketing Solutions division. Numerous exhibitions scheduled for the first half of the year, such as SWISS-MOTO, Giardina, Baselworld, IFAS and Powertage, had to be postponed or canceled. In summer 2021, restrictions were relaxed in a large number of European countries, including in Switzerland, and MCH Group was able to successfully stage exhibitions in the autumn within the scope of the conditions imposed. Art Basel in Basel in September and Art Basel in Miami Beach in December were both held with a large number of galleries and visitors. A number of Swiss events were staged, such as Ilmac, Smart Swiss, the Digital Festival in Zurich, which had been newly acquired in 2021 with its Hackathon, and the careers fairs in Zurich and Lausanne. These attracted a record number of visitors in some cases. Igeho and the Wine Festival that had been planned for the autumn had to be canceled, however.

The business field Experience Marketing has also experienced a notable upswing in its business activity since the summer, including with the World Expo that opened in Dubai in October, where the division Marketing Solutions division was able to construct a number of country pavilions, and also with the preparations for a number of key exhibitions and events staged in the USA at the end of 2021 and the start of 2022. Positive Covid-19 case numbers unfortunately increased significantly again at the end of 2021, and renewed restrictions were imposed by governments and authorities in many countries. Since this only occurred after all the major events had been held, however, this development had no further negative impact on the 2021 financial year.

The high case numbers are unfortunately continuing at the beginning of 2022. Despite this, in the light of the latest developments MCH Group remains optimistic that the situation will gradually return to normal and that the exhibitions and events planned for 2022 will take place in most cases. A significant rise in the number of inquiries is also being recorded for the Live Marketing Solutions division. MCH Group will thus experience a pronounced increase in its business activity in 2022 and achieve an improvement in its operating results. Despite this, the situation must be continuously assessed for any negative developments and their corresponding impact on MCH Group.

Despite the strong negative impact of the pandemic, MCH Group has cash and cash equivalents of CHF 113 million gross at the end of 2021. Together with a return to normal of business activities, this forms the basis for the successful further development of the group.

On the basis of the strategy, which was revised by the Board of Directors in its new composition in 2021, and the medium-term plan for the group, the management and Board of Directors have concluded that the liquidity and also the equity base of MCH Group have sufficient reserves to ensure the company’s continued existence beyond 2022.

In May 2023, the refinancing of the outstanding CHF 100 million bond is due. The Board of Directors is in the process of examining all possible options for refinancing this bond. For the refinancing, the two anchor shareholders of the Canton of Basel-Stadt and Lupa Investment Holdings LP have an obligation to provide a backstop (refinancing obligation if refinancing of the bond is not or only partially possible). The focus is on strengthening the capital base with downstream renewal of debt financing. The Board of Directors will be taking these decisions in the first few months of 2022.

As a result, the Board of Directors sees no relevant uncertainty for the future of the MCH Group and its group companies.