The new year brings a new start for German fashion manufacturer Gerry Weber, which has been struggling with financial problems for some time.
After eight months, the court of Bielefeld dissolved the insolvency proceedings of the company, German website Kurier writes. This will allow the company to start 2020 "as a normal company with a solid capital base, new owners, and a clear future", says CEO Johannes Ehling in a press release.
Gerry Weber has been in crisis for years: the company suffered from lower levels of footfall in city centres and the triumph of online retail. In April last year, Gerry Weber initiated insolvency proceedings with the intention of restructuring the company.
In the months that followed, tough cutbacks ensued: more than a hundred stores were closed, and numerous jobs were lost. Later, the existing shareholders were forced out without compensation. Instead, investors Robus, Whitebox and J.P. Morgan took over, giving the company 49 million euros to satisfy creditors and finance its operational activities.
Former principal representative of Gerry Weber, Christian Gerloff, has emphasised that the group once more has a future. He was happy that thanks to the successful cooperation of all those involved, it was possible to keep the majority of the total of approximately 3,600 jobs at Gerry Weber.