Münster Local Court - Court opens insolvency proceedings for Gigaset
Münster Local Court has opened regular insolvency proceedings on the assets of Gigaset AG. The communications technology provider published a corresponding announcement on its website on Tuesday evening. Markus Wischemeyer was appointed insolvency administrator.
Gigaset AG had filed for insolvency in September and is insolvent according to its own statements. The main reason for this was an unexpected and significant decline in revenue in the second half of 2023 and a business performance that was significantly below plan. In addition, demand for Gigaset products remains weak and is worsening, as well as a reluctance to buy in Germany and Europe.
An application for the opening of insolvency proceedings under self-administration had been filed for Gigaset Communications GmbH. According to the company, development, production and sales activities for DECT cordless phones continued unchanged. According to Gigaset, the search for investors has been underway since the end of October. The aim is to restructure the company's operations on a sustainable basis.
Gigaset claims to be Europe's market leader for DECT cordless phones with around 850 employees. The business activities of the company with a 175-year history also include Android-based smartphones, cloud-based smart home offerings and business telephony solutions.
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- Despite being Europe's market leader for DECT cordless phones with over 850 employees, German communication technology provider Gigaset AG is currently undergoing standard insolvency proceedings in North Rhine-Westphalia's Münster Local Court.
- The unexpected and significant decline in revenue during the second half of 2023, as well as a weak demand for its products and reluctance to buy in Germany and Europe, were identified as the main reasons for Gigaset AG's insolvency.
- Although insolvency proceedings have been initiated for Gigaset AG, development, production, and sales activities for DECT cordless phones remain unchanged for Gigaset Communications GmbH, with the company continuing its search for investors to restructure its operations on a sustainable basis.
- The insolvency proceedings for Gigaset AG have raised concerns in the telecommunications industry, with experts warning that the outcome could have far-reaching implications for the German and European markets.
- Given the high number of Gigaset employees and its impact on the telecommunications industry, observers are closely monitoring the proceedings at the Münster Local Court and the potential consequences for other companies in the North Rhine-Westphalia region.
- As the insolvency proceedings unfold, Bocholt-based Gigaset AG will have to navigate the complex insolvency proceedings in Germany and prove to creditors and investors that it can turn its fortunes around and emerge as a stronger company in the telecommunications market.
Source: www.stern.de
