Signa Group in crisis: Subsidiary reports bankruptcy - expert advice for investors

Signa Group in crisis: Subsidiary reports bankruptcy - expert advice for investors

According to a report from www.t-online.de, the Signa Group is in a deep crisis, which is now also affecting a real estate subsidiary, Signa Real Estate Management Germany GmbH. With the daughter's bankruptcy filing, more than 100 employees are facing an uncertain future.

Signa Real Estate Management Germany GmbH manages and develops Signa Group properties and also acts as a property developer. 139 people worked there in the 2021 financial year.

The Signa Group crisis is not new, but the insolvency of the subsidiary is another setback. Increased construction and energy costs as well as higher interest rates have hit the real estate industry as a whole, and Signa Group has not been exempt. The group's founder, René Benko, has already withdrawn from management, and the Galeria Karstadt Kaufhof department store group, which belongs to the Signa Group, has also gone through insolvency proceedings.

The impact on the real estate market could be serious, as the Signa Group is involved in various major projects, such as the construction of the 245 meter high Elbtower in Hamburg. The insolvency of the subsidiary could have an impact on other parts of the Signa Group, which could lead to uncertainty and instability in the industry.

It remains to be seen how the insolvency of Signa Real Estate Management Germany GmbH will affect the market. The real estate industry must prepare for possible turbulence as Signa Group tries to emerge from the crisis.