Immediately after the insolvency application, Exner contacted Kiekert AG's customers and suppliers to ensure that business operations could continue during the preliminary insolvency proceedings. ‘Customers and suppliers value Kiekert AG as a reliable business partner and have pledged their support for the restructuring process that has now begun.’
The wages and salaries of Kiekert's German employees are secured for three months by the insolvency allowance. However, this will only be paid out at the end of the preliminary insolvency proceedings. Exner therefore arranged for so-called pre-financing through a bank immediately after the preliminary proceedings began. This means that employees will receive their money on time and will not have to wait weeks for it.
Exner and his team have begun to examine the available restructuring options for Kiekert AG. Insolvency proceedings are always about finding the best solution for all parties involved. This could be, for example, an investor solution or restructuring via an insolvency plan, i.e. a settlement with creditors.
Last Thursday, the owner of Kiekert AG, Chinese automotive supplier Lingyun, told the media that it wanted to ensure that the insolvency application was withdrawn. ‘We have been informed of this,’ said the provisional insolvency administrator. ‘However, we do not know any specific details.’
Hakan Civelek, managing director of IG Metall – who will also act as employee representative on the creditors' committee – is also optimistic about the future and has assured the insolvency administrator of his full support. "The fact that customers and suppliers have agreed to continue supporting Kiekert is primarily thanks to the swift action taken by insolvency administrator Joachim Exner and his team. The same applies to the fact that employees' wages are secured beyond the insolvency payment period. These are very good conditions for leading Kiekert in Heiligenhaus out of insolvency as quickly as possible and securing local jobs."
According to its own information, the Kiekert Group is the world's leading supplier of automotive access systems and supplies over one hundred automotive brands worldwide with intelligent locking systems and actuators. In its nearly 170-year history, Kiekert has developed and manufactured well over two billion locking systems. The group has an international market share of 23 per cent. According to the company, one in three vehicles produced worldwide is equipped with a Kiekert locking system.
Brief profile of the law firm Dr. Beck & Partner:
With eight insolvency administrators and more than 170 employees at eight locations in Bavaria, the law firm Dr. Beck & Partner GbR is one of Germany's leading insolvency administration firms. In recent years, the firm has handled numerous high-profile corporate insolvency proceedings, including group insolvencies with international implications. Joachim Exner has particular experience in the restructuring of automotive suppliers and medium-sized groups of companies, e.g. EISENMANN, Neumayer-Tekfor, BOA-Group, Loewe and Metz. Exner is a member of the Gravenbrucher Kreis, an association of leading German restructuring experts and insolvency administrators.
Further information is available at: www.ra-dr-beck.de
