In Germany, two other Signa companies, owned by Tyrolean real estate juggler Rene Benko, had to file for bankruptcy.
According to information from the court, Signa Financial Services GmbH, based in Frankfurt, and Signa REM Germany GmbH in Munich, have filed corresponding requests with the Charlottenburg District Court. In both cases, the court appointed lawyer Torsten Martini as provisional administrator.
Signa Real Estate Management had previously filed for bankruptcy at the court in Berlin. Martini is also provisional administrator here. The umbrella company Signa Holding had applied for restructuring proceedings under its own management in Vienna and the court had appointed the lawyer Christof Stapf as curator.
More bankruptcies are expected
The complex Signa Group is so far the biggest victim of the sudden crash in the real estate market. Benko’s extensive business network also includes the German department store chain Galeria Karstadt Kaufhof. Insiders expect other Signa companies will file for bankruptcy.
Benko no longer on Forbes billionaires list
The renowned business magazine ‘Forbes’ recently reported on the enormous capital losses resulting from the bankruptcy of Signa. Forbes no longer calls him a billionaire.
According to rating agency Moody’s, the bankruptcy of Signa Holding could even impact the profitability and credit quality of some banks in Germany, Austria and Switzerland. According to insiders, the exposure in this country alone amounts to 2.2 billion euros.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
