Bankruptcy after funding: Deutsche Bogenn in Sassnitz insolvent!

Bankruptcy after funding: Deutsche Bogenn in Sassnitz insolvent!

The crisis has finally struck in Kassel - Deutsche Bogenn, a pipe manufacturer in Sassnitz, is insolvent. A report from the Stralsund district court confirms the insolvency of the company, which has around 4.2 million euros in debt and only 280,000 euros in liquid assets. As NDR reports, the regular insolvency proceedings have already been opened and there is little hope of continuing operations. The economic decline is not surprising as there have only recently been indications of financial difficulties.

The pressure on Deutsche Bogenn is also growing from outside. The Sassnitz Mukran ferry port has filed a lawsuit against the company and is demanding around 1.5 million euros and the evacuation of the property. Creditors are now called upon to register their claims. It remains to be seen what steps they will take, especially after the state supported the company's establishment with almost nine million euros. A spokesman for the Ministry of Economic Affairs has already announced that it will examine the recovery of these funds.

High number of insolvencies in Germany

Bankruptcies in Germany are reaching alarming proportions. According to statistics, around 21,812 companies filed for bankruptcy in 2024, an increase of around 4,000 cases compared to the previous year. This shows that the economic situation of many companies remains tense. The IFM states that the number of insolvencies has increased by 22.4%, and the problem primarily affects companies that have been on the market for several years. The trend shows that more and more companies are suffering from the consequences of current and previous crises.

At a time when the economic climate is tense, bankruptcy is a notable, if rare, form of business closure. In 2024, a total of around 270,000 commercial companies and an estimated 90,000 freelance jobs were discontinued throughout Germany. The proportion of company closures that can be attributed to insolvency proceedings remains comparatively low, but amounts to six percent if the insolvency proceedings of formerly self-employed people are included.

Deutsche Bogenn's situation raises questions - can the company possibly still turn things around? But the elusive framework conditions and the pressure from creditors indicate that things are getting tight for the company in Sassnitz. The complaint filed against the insolvency decision leaves room for speculation as to whether alternative solutions still exist. The future of the workforce and customers remains uncertain for the time being.