The fashion retailer Peek & Cloppenburg KG, Düsseldorf (P&C Düsseldorf) has emerged from bankruptcy and ended its self-administration proceedings.
Peek & Cloppenburg announced on Thursday that the responsible district court in Düsseldorf will terminate the proceedings, which were opened in March, with this decision after the specified legal deadlines have expired on October 1st. The proceedings of Peek & Cloppenburg Retail Buying GmbH & Co. KG will also be lifted shortly on October 31st.
The creditors had already accepted the insolvency plan at the discussion and voting meeting at the end of August, which was prepared by the management and agreed with the court-appointed administrator. With the deal, the fashion retailer can now fully concentrate on its day-to-day business, according to Düsseldorf.
“In addition to the unavoidable restructuring measures, we have launched many internal projects and processes in the past few months – from our product ranges to our services to our stores and online shops – with the aim of reinforcing our importance as a multi-brand retailer in city centers and online said Thomas Freude, Managing Director at P&C Düsseldorf.
As a result of the proceedings, lawyer Dirk Andres from the law firm AndresPartner became the fashion retailer’s restructuring manager. Once the proceedings are over, he will no longer fill the role.
Seven months of insolvency at a glance
Peek & Cloppenburg KG, Düsseldorf, filed a protective shield procedure at the beginning of March in order to adapt “to the changed market conditions as well as other external and internal influencing factors”. Afterwards, a large part of the management team left the company. In addition, P&C cut 350 of 1,500 jobs at its Düsseldorf headquarters.
Although there were repeated delays during this time, the then-struggling fashion retailer continued to expand and open. Among other things, the ‘Conscious Fashion Store’ opened in Berlin and a shop in Bonn. The company also confirmed its expansion into Italy.
The self-administration proceedings were opened at the beginning of June after the “essential course for the realignment had been laid,” said Markus Kier, partner in charge of the proceedings at the law firm Piepenburg Rechtsanwälte.
Meanwhile, Andres said in June that they were “working flat out on a restructuring plan with the involvement of debt and equity investors.” In the same month, JC Switzerland Holding AG contacted P&C with an offer to support the reorganization as the main shareholder. The creditors then approved the restructuring plan at the end of August.