Morgan Gromy had been appointed at the end of 2017 and had to "cash in" on Covid, attempting a reorientation of the Kirchberg infrastructure. Library photo: Mike Zenari

Morgan Gromy had been appointed at the end of 2017 and had to "cash in" on Covid, attempting a reorientation of the Kirchberg infrastructure. Library photo: Mike Zenari

The board of directors of Luxexpo The Box decided to terminate the duties of its CEO, Morgan Gromy, this Monday evening. The decision comes after several consecutive loss-making financial years, despite an upturn in business and a major capital increase in 2025 to strengthen the Kirchberg infrastructure's equity.

The board of directors of Luxexpo The Box has decided to terminate the duties of its CEO, Morgan GromyMorgan Gromy, according to confirmed information. In post since 1 January 2018, he had led the company for more than seven years, having joined in 2003 and held a number of key roles, including chief operating officer. Contacted midday on Tuesday, the company declined to comment. The interim role will be managed by the other two directors, Pascal BertauxPascal Bertaux and Adriana Migonney.

This decision comes against a tense financial backdrop. Despite sustained event activity and high attendance figures, the company continues to post significant structural losses. According to the annual accounts filed, Luxexpo SA recorded a net loss of €1.58m in 2024, after a loss of €2.22m in 2023 and €1.63m in 2022. Cumulative losses carried forward now stand at more than €10m, placing a lasting burden on shareholders’ equity.

At the end of 2024, the company's shareholders' equity stood at €7.25m, compared with €8.86m a year earlier, despite share capital remaining unchanged at €15.73m over the period. This erosion occurred just as business was picking up again after the health crisis, with sales approaching €7m and more than 100 events organised over the year.

Faced with this situation, the institutional shareholders carried out a significant capital increase in July 2025, raising Luxexpo's share capital from €15.73m to €25.74m, a contribution of €10.01m fully paid up in cash. This recapitalisation was subscribed exclusively by the Chamber of Commerce, the City of Luxembourg and Spuerkeess, the other shareholders having waived their preferential subscription rights.

The explicit aim of this transaction was to restore the company's equity, strengthen its solvency and enable it to continue investing, in a context marked by the need for major infrastructure renovation and increased competition between European congress destinations. It also came at a time when Luxexpo's bank debt was on the rise, with more than €5.3m in financial debt at the end of 2024, a significant proportion of which was short-term.

Under the leadership of Morgan Gromy, Luxexpo The Box had embarked on an ambitious strategic transformation, claiming a positioning as an event platform with impact, integrating economic, social and environmental dimensions, as well as a greater role in co-organising events. This strategy has resulted in a diversification of formats, the development of confexes and an assertive discourse on the sector's environmental transition.

However, despite the recovery in attendance and the increase in revenue compared with the Covid period, the business model has not yet enabled the company to return to financial equilibrium. The persistence of losses, combined with the need for greater financial support from public shareholders, has put the question of governance back at the centre of the issues.

The Board of Directors will now have to decide between pursuing the strategy underway, adjusting the business model and steering a long-term renovation or a new restructuring project for the Kirchberg site.