Danobat invests 20 million euros in a new plant at its headquarters in Elgoibar

The new 12,000 square metre facility aims to meet the challenge of the company's growing order book in the aeronautical and wind energy sectors.
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Apr 29, 2024

the Basque machine tool manufacturer Danobat inaugurated a 12,000 square metre industrial plant at its headquarters in Elgoibar (Gipuzkoa). The construction of this new facility, with a total investment of €20 million, has had the backing of the Basque Government. 

The inauguration of the new plant, which coincides with the cooperative's 70th anniversary, marks the first phase of an investment plan to address the company's growing order book and aligns with Danobat's development strategy. This plan, shared by the Soraluce and Goimek cooperatives, involves investments exceeding €20 million and €10 million, respectively, to meet sector challenges.

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By specialising in the design and development of advanced, high value-added manufacturing solutions, coupled with the innovation that characterises its business model, Danobat continues to experience solid growth by consolidating its presence in key regions such as Central Europe, China and North America.

"We aim to reach a turnover of €200 million by 2024 and consolidate our position as a leader in precision solutions. For this reason, we want to continue expanding the Danobat brand, diversifying our technological offer and reinforcing the commitment to the community that has been our hallmark from the very beginning", emphasised Xabier Alzaga, CEO of Danobat, during his speech. 

The newly inaugurated facility boasts unique features for high-precision assembly and commissioning, including advanced air conditioning and top-quality flooring.  Solar panels have also been installed to generate one-third of the facility's energy consumption, furthering the cooperative's sustainability goals and reducing its carbon footprint.

The event, which concluded with a tour of the plant, was attended, among other authorities, by the acting President of the Basque Government, Iñigo Urkullu, the Basque Minister for Economic Development, Sustainability and the Environment, Arantxa Tapia, the Deputy General of the Provincial Council of Gipuzkoa, Eider Mendoza, the Mayor of Elgoibar, Maialen Gurrutxaga, the President of the Mondragon Corporation, Iñigo Ucín, and the Managing Director of Danobatgroup, Pello Rodríguez. 

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Strong inside and outside the Basque Country

Danobat's investment underscores its commitment to quality employment and local capacity building to be able to compete better in a global market. 

"Our commitment to the social, environmental and economic sustainability of our surroundings has marked our roadmap during our 70-year track record. Our activity boosts the well-being and progress of everybody involved in our company and generates projects that have a positive impact on our direct surroundings and community", Alzaga stressed. 

With a total workforce of around 700 people worldwide, 410 of them in the Basque Country, the opening of the new plant strengthens the company’s presence in Elgoibar and provides key facilities to accompany its growth internationally in the three main geographical areas: Central Europe, North America and China. 

Because in addition to the firm commitment to local growth, Danobat continues to focus on being close to its customers. A clear example of this was set in 2021, in the midst of the pandemic, when it doubled its commitment in the Asia country, or with the opening last year of a new subsidiary in Mexico.

Technological diversification has also been essential in this process with acquisitions such as the subsidiaries Overbeck in Germany and Hembrug in the Netherlands. The former is also celebrating its 100th anniversary this year as a leading designer and manufacturer of internal grinding machines. 

In line with this strategy, the manufacturer has launched a new business to design and manufacture flexible machines with precision robotic architecture for machining lightweight material parts.

"It's a big leap in innovation. We are launching a new product line as an alternative to traditional machining systems and expect to present the first results to the market in 2025," added Danobat's CEO.

Photos of the event.

Machinery for Industrial Production

Machine Tool Division of the MONDRAGON Corporation