Bocholt, September 19th, 2023 [19:33] - The Executive Board of Gigaset AG today decided to file an application for the opening of regular insolvency proceedings for Gigaset AG and an application for the opening of insolvency proceedings in self-administration for its indirect subsidiary Gigaset Communications GmbH at the competent Local Court of Münster due to illiquidity. The business operations of the Gigaset Group will continue unchanged.
The background to the application for insolvency is essentially an unexpected and significant decline in revenue in the second half of 2023 and thus a business performance significantly below plan with a persistently weak demand for Gigaset products, which continues to worsen, as well as a general reluctance to buy and consume in Germany and Europe with corresponding effects on the company's liquidity. Negotiations with lenders for new equity or debt capital have not yet been sufficiently substantiated to secure the necessary inflow of funds for the continuation of Gigaset outside of insolvency proceedings.
Development, production and sales activities will continue without interruption. The overall objective of the insolvency proceedings in self-administration for Gigaset Communications GmbH is the sustainable restructuring of the operational business under the regulations of insolvency law.