The first purchase offers are now available for the bankrupt department store chain Galeria Karstadt Kaufhof. “The bidders in the running want to take over Galeria in its entirety,” provisional curator Stefan Denkhaus told the “Wirtschaftswoche.”
The range of bidders is international (see video above). Interested parties include the investment company Apollo, which bought a large package of department stores from the Signa Group a few years ago. Denkhaus declined to comment on the names of interested parties or the details of the bids. He recently hired teams from investment bank Houlihan Lokey and financial advisor Sigma to find investors. Negotiations should begin in the coming days and a purchase agreement should ideally be concluded by the end of March.
Negotiations with landlords
At the same time, negotiations are currently underway with the landlords of the Galeria department stores. “We are in discussions with all landlords. We not only pay more than the market rate for the properties belonging to Galeria’s parent company Signa,” says Galeria boss Olivier Van den Bossche to “Wirtschaftswoche”. How many branches will ultimately be retained depends on the landlord’s responsiveness.
It is common to spend seven to eleven percent of a branch’s turnover on rent. “We pay considerably more for many locations,” Van den Bossche emphasizes. The insolvency proceedings were filed on January 9. Further job losses will occur at the head office and a move to another building is currently being investigated. “The company must have a medium-sized structure,” says Denkhaus.
Source: Krone
I am Wallace Jones, an experienced journalist. I specialize in writing for the world section of Today Times Live. With over a decade of experience, I have developed an eye for detail when it comes to reporting on local and global stories. My passion lies in uncovering the truth through my investigative skills and creating thought-provoking content that resonates with readers worldwide.
