A location and job security guarantee is to be provided for the remaining employees until the end of 2025. Omer Messinger via Getty
At the insolvent fashion retailer Peek & Cloppenburg, there has been an agreement between the top management and creditors for a restructuring concept, reports the “Wirtschaftswoche”.
In addition to job cuts, the plan provides for a location guarantee and additional Swiss funding.
The creditors will vote in August – the insolvency proceedings could be lifted by the end of the year.
Peek & Cloppenburg, the Düsseldorf fashion retailer, is said to have drawn up a restructuring concept despite difficult negotiations. This emerges from a report by the “Wirtschaftswoche”. The concept should include a location guarantee and fresh money from Switzerland. The company, which launched protective shield insolvency proceedings in March, recently celebrated the presentation of a new collection by influencer twins Lena and Lisa Mantler.
According to sources from the corporate environment, the relationship between financiers and top management is strained, writes the “Wirtschaftswoche”. The group’s financiers and their lawyers initially regarded Peek & Cloppenburg’s application for bankruptcy as inadequate. However, despite the contentious process, it was possible to agree on a reorganization concept with the company management and the restructuring experts headed by the insolvency expert Dirk Andres.
Guarantee for remaining employees until the end of 2025
In addition to the already known job cuts of 350 at the P&C headquarters, the Swiss-based JC Switzerland Holding AG is to provide the owner family with fresh funds. In addition, a location and job security guarantee is provided for the remaining employees until the end of 2025.
However, a private equity investor who has signaled an interest in getting involved with P&C is said to have dropped out of the race. According to “Wirtschaftswoche”, the creditors will vote on the restructuring plan in August. The insolvency proceedings could be lifted by the end of the year. P&C had given the supply bottlenecks, inflation and recession triggered by the corona pandemic and the Ukraine war as the main reasons for the protective shield procedure.
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