Kiekert AG Faces Insolvency as Chinese Shareholder Fails to Deliver Funds
Kiekert AG, the global leader in automotive locking systems, faces insolvency due to its Chinese shareholder's failure to provide promised funds. Despite this, operations continue, and wages are secure until November. Lingyun, the current majority shareholder, aims to prevent insolvency and maintain its stake.
Kiekert's insolvency stems from its Chinese shareholder's refusal to fulfil financial obligations worth hundreds of millions. Despite this setback, the company's operational business remains unaffected at all locations, with employee salaries guaranteed until November. Kiekert's management is working diligently to prevent damage to creditors, secure liquidity, and eliminate insolvency grounds. Lingyun, which acquired Kiekert in 2012, is committed to avoiding insolvency and satisfying all creditors. Notably, Lingyun was surprised by the insolvency applications, learning about them through media reports. Kiekert, the inventor of modern central locking, employs 4,500 people worldwide and aims to exit its Chinese shareholder to accelerate growth and maintain its status as a systemic supplier to the automotive industry.
Kiekert's insolvency, caused by its Chinese shareholder's failure to provide funds, has not disrupted operations. Lingyun is committed to preventing insolvency and maintaining its stake. Kiekert's management seeks to exit the Chinese shareholder and secure the company's long-term future as a leading automotive supplier.
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