Following its insolvency proceedings under self-administration, the fashion retailer Adenauer & Co. has found a solution for its future. The Hamburg-based BK Retail Group, led by Kai Teute and Benedikt Beins, together with long-standing franchise partners Daniela Rumberg and Axel Heitster, is acquiring a majority stake in the company. Company founder Andreas Adenauer will remain with the company in an advisory capacity.
The new owners are focusing on a brand realignment, concentrating on profitable locations and a leaner structure. Of the current 53 branches in Germany, Austria, and Spain, approximately 38 are expected to remain open. The coastal locations on the North and Baltic Seas, operated by franchise partners, are considered particularly secure. According to the new owners, around 160 of the nearly 200 current employees will be retained.
Branch network is being restructured
As part of the restructuring, the network of previously centrally managed stores will be reduced. Of the 20 company-owned branches, only selected locations will be retained. At the same time, the new owners are already planning further expansion: The opening of a new store in Travemünde is scheduled for December. More locations are to follow.
“We are a German brand with our core in the North and Baltic Seas. We believe in the potential of Adenauer & Co.,” BK Retail Managing Director Kai Teute told media reports.
Bankruptcy after losses in Turkey
Insolvency proceedings were initiated in May of this year. According to the company, in addition to the general reluctance to buy in the fashion industry, problems related to a production project in Turkey also contributed to the financial difficulties. Media reports indicate that there is an allegation of embezzlement, which is said to have caused millions of euros in damages.
Renovation is expected to be completed by autumn.
The restructuring is currently under the supervision of the general representative Franz Zilkens (Voigt Salus) and the insolvency administrator Holger Rohde (Görg). According to the current schedule, the restructuring is expected to be completed in October.
With the takeover by experienced franchise partners, Adenauer & Co. will focus more strongly in the future on the markets and regions where the brand traditionally has its greatest strength: the tourist-oriented coastal locations in northern Germany.
