Austrian billionaire René Benko’s European property group Signa Holding has filed for insolvency proceedings in Vienna.
The heavily indebted group disclosed that it is pursuing self-administration—a distinctive concept in Austrian corporate law—allowing the company to undertake its restructuring efforts without surrendering full control to an external administrator.
Despite earnest endeavors over recent weeks, Signa Holding faced challenges in securing the necessary liquidity for an out-of-court restructuring process. Consequently, the company made the decision to seek reorganisation proceedings.
In a statement released on Wednesday, Signa Holding GmbH affirmed that its management would submit an application for self-administrated insolvency proceedings with a Vienna court. The company simultaneously intends to propose the adoption of a comprehensive reorganisation plan.
“The aim is the orderly continuation of business operations within the framework of self-administration and the sustainable restructuring of the company,” stated Signa Holding.
Click here to receive CRE Herald’s weekly newsletter, news alerts and insights!
