Arndt Geiwitz(l), former representative of Gerall at Galeria Karstadt Kaufhof, and Frank Kebekus. picture alliance/dpa | Oliver Berg
After two bankruptcies it was supposed to be over. Last summer, Arndt Geiwitz decided that he would no longer lead another restructuring process at Galeria Karstadt Kaufhof; others would have to do it. By then he had earned handsomely from the restructuring process; his office and staff received 52 million euros for eight months of work. He spent another 16 million euros on external consultants. Insiders say that amounts of this magnitude would be essential for the department store group today.
Around six months later, GKK slipped into insolvency again. And Geiwitz is pulling the strings in the background again, research by Business Insider shows. It’s about nothing less than selling the department store chain. One of the interested parties is the investment company Droege, led by CEO Ernst W. Droege and founder Walter Droege. They are old friends of Geiwitz; The Droeges bought the Weltbild Group from him in 2014, which Geiwitz had led through bankruptcy at the time.
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So now GKK. Geiwitz advises the Droeges on the purchase – and can draw on broad and intimate insider knowledge from the department store group. During two bankruptcies, Geiwitz was able to examine the company’s internal affairs as general representative and knows the details of branches, whether they are busy or not. Geiwitz’s involvement is causing a lot of trouble at GKK. High-ranking GKK managers criticize the renovator and ask the question: Is he even allowed to do that?