2023-12-20 17:09:34
Another company in the financially troubled Signa Group is facing bankruptcy. The property developer subsidiary BAI Bauträger Austria Immobilien GmbH of the non-insolvent Signa Development has applied to the Vienna Commercial Court to open restructuring proceedings without self-administration, as the Alpine Creditors Association and the Credit Protection Association KSV1870 announced on Wednesday evening.
According to KSV1870 information on liquidation values, the current liabilities are said to be around 4.55 million euros. 17 employees and 36 creditors are affected by the upcoming restructuring process.
According to the company, the reason for the impending insolvency is the current legal and economic environment – in particular the high inflation, the increase in the ECB’s key interest rate and the KIM regulation are said to have been the cause.
The KSV1870 assumes that the restructuring process will be opened soon. The debtor offers the creditors a restructuring plan quota of 20 percent payable within 2 years of acceptance of the restructuring plan.
Signa Development took over the property development company from Bank Austria in 2017. According to its own information, the Viennese property development company is active in the planning and development of residential construction projects, in particular rental and condominiums, commercial properties and office buildings. The activity also includes real estate brokerage as well as real estate and asset management.
The BAI’s projects include, among others, the residential project WWE Gründer in St. Pölten, the life science site in Vienna’s Muthgasse and the residential project Donaumarina in Vienna’s 2nd district, wrote the online portal “immoflash” on Wednesday evening. The “APA Tower” in Vienna Heiligenstadt also belongs to the Signa subsidiary.
Signa Holding filed for insolvency on November 29th, following which some Signa subsidiaries in Austria and Germany – including SportScheck and Informationstechnologie GmbH – have already slipped into insolvency. The highly integrated Signa Group with its around 1,000 companies is the biggest victim of the turbulence on the real estate market to date. In addition to increased interest rates, real estate companies are also struggling with higher construction costs and the lack of large real estate transactions. At Signa, there were home-made problems in the corporate strategy.
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