After the general meetings at the two real estate companies Signa Prime and Signa Development on April 10, extensive personnel changes took place. Board member Erhard Grossnigg, among others, will resign from his position.
The restructuring expert justified his upcoming withdrawal on Tuesday in the Ö1 “Morgenjournal” with a reference to his age. Former Chancellor Alfred Gusenbauer announced at the end of February that he would resign from the supervisory board as chief controller on April 10. According to media reports, ex-vice chancellor and Wüstenrot boss Susanne Riess-Hahn, ex-RBI boss Karl Sevelda and former Bank Austria chief executive Karl Sonntag also want to withdraw from Signa Prime’s supervisory board.
“Real estate market not in very good condition”
It is not certain whether the luxury real estate company’s creditors will recover at least 30 percent of their claims, as provided for in the resolution restructuring plan adopted on Monday. “You can’t predict that, but that would be the plan. The expert also confirmed this,” said Grossnigg. Signa Prime’s portfolio includes, for example, the Berlin luxury department store KaDeWe, Selfridges in London and the Elbtower in Hamburg, which currently stands at a building height of 100 or 245 meters, and many other properties such as the Goldenes Quartier and the Hotel Park Hyatt. in Vienna and the Tirol department store in Innsbruck.
The real estate market is not in a very good state, so selling real estate is currently “not very easy,” Signa’s board said about the trust solution. “The owners gave up their assets and now we are making sure we are okay.”
‘Benko not included in restructuring plan’
According to Grossnigg, Signa founder René Benko was not involved in the development of the restructuring plan and did not promise any financial subsidies. “I saw him once, two minutes, that was it.” The cash flows of Signa companies before they went bankrupt have also recently come into focus. “This will also be monitored,” Signa Prime’s board announced.
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.
