Signa now has to sell the Chrysler Building and media ownership

(Keystone-SDA) The liquidation company of the Signa business group sells luxury properties and investments. This was announced on Tuesday at the first meeting of creditors at the Vienna Commercial Court.

As the insolvency administrator Christof Stapf announced, discussions are ongoing about disinvestment. These include the famous Chrysler Building in New York and media investment marketing. According to Stapf, the company’s private jet is also for sale.

So far, 43 creditors have registered claims of about 1.13 billion euros, according to credit protection association KSV1870. The deadline for the registration of claims expires on January 15, 2024. It remains to be seen whether the 5 billion euros of potential debts recorded in the application of Signa Holding itself would be registered by creditors.

An exploitation program is already in place for the acceleration of the sale of investments and assets. According to the restructuring manager, unnecessary contracts have been terminated and have already been terminated – for example for the company’s headquarters property in Palais Harrach and Palais Ferstel in the city center of Vienna. The replacement of investments made in buildings and inventory is examined.

According to its own information, Signa’s umbrella company Signa Holding GmbH alone has direct investments in 53 companies and indirect investments in several hundred other companies. According to Stapf, the initial organization chart by the end of September 2023 includes a total of 46 pages in A3 format.

Repair and maintenance

The restructuring manager, however, is trying to support the consolidation of two subsidiaries Signa Development Selection AG and Signa Prime Selection AG, which are currently not insolvent. Rehabilitation and reconstruction efforts are ongoing.

This also applies to Signa Retail GmbH, where business interests are combined. Its subsidiaries Signa Retail Selection AG and Signa European Invest Holding AG are in debt relief in Switzerland.

Signa Holding is offering its creditors a restructuring dividend of 30 percent to be paid within two years – that would be around 1.5 billion euros of the total 5 billion euros the company has said as potential debt. The examination session will take place at the Vienna Commercial Court on January 29, 2024.