The insolvent clothing company Lena Hoschek GmbH has taken an important step forward in its restructuring efforts. Last Wednesday, the creditors approved the restructuring plan presented as part of the restructuring plan statutes, said the Austrian creditor protection association KSV1870.
Previously, 231 creditors had registered claims totaling around 5.5 million euros. Of this, around 5.4 million euros “were recognized by the insolvency administrator as legitimately existing,” according to a statement.
David Schlepnik from KSV1870 highlighted the significance of the decision. “With the acceptance of the restructuring plan, the foundation has been laid for a successful restructuring of the company,” he explained in a statement. “If the agreed overall quota of 21 percent is met, the company will finally be freed from its legacy financial burdens.”
Vienna-based Lena Hoschek GmbH filed for bankruptcy in October last year. The reasons cited at the time were “changed consumer behavior, ongoing delivery difficulties and delays, and general economic conditions.” Since then, the company has been going through a restructuring process without self-administration.