Liabilities of up to three billion euros, 1.3 billion for banks and financial institutions alone! These are the figures known since the restructuring process at KTM was opened. The actual amount of the debt will become clear during the court hearing. For creditors, the battle for money is also a battle against time.
December 20 is the first fateful day for KTM in the restructuring battle. The restructuring administrators will not only report in detail to the regional court in Ried im Innkreis, but also provide clarity on whether the motorcycle manufacturer and the bankrupt companies can continue to operate until further notice.
While everyone here is currently hopeful that there will be a green light to continue the business four days before Christmas, the tension among creditors is enormous. The lists are long and comprehensive: KTM AG alone has 1,624 creditors, including the companies to which KTM Components GmbH and KTM Forschungs & Entwicklung GmbH owe money, there are a total of 2,522 creditors who are trembling.
As is known, KTM has billions in debt: when the insolvency proceedings were opened on November 29, they were valued at almost two billion euros, and experts even expect them to rise to three billion euros. The exact amount of the debt mountain will probably only be known on February 25, 2025, when the restructuring plan is voted on. The first clarity on this will be on January 24 at the general examination meeting, where a cash collapse will take place.
The deadline for registering claims is January 16
Because: Creditors have until January 16 to register their claims. Many people are represented by creditor protection associations such as Kreditschutzverband 1870, Creditreform or AKV. “We are currently receiving numerous registration orders,” says Petra Wögerbauer from KSV1870. Does the KSV team receive support from other states in a similar way as the employment service? “We are trying to process the registration orders in the KSV1870 Linz team. If bottlenecks arise, we will request support from other locations,” says Wögerbauer.
Christmas holidays kept to a minimum
In order to be able to transmit the volume of orders to the insolvency court in a timely manner, the insolvency team of the credit protection association in the capital has kept the Christmas holidays to a minimum.
30 percent quota offered
As part of the restructuring plan, KTM wants to offer affected creditors a 30 percent quota. It remains to be seen whether we can get away with this and what that means for the affected suppliers and customers. For many, KTM is an important customer and partner.
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.
