The incorrect organisation of a transaction process can lead to high losses and risks, both on buyer and seller side, if the rescission of an intercompany agreement does not become effective at the agreed time. This can result in inadvertent liability on part of the seller and to financial losses suffered by the buyer. A judgment of this year confirms that an intercompany agreement with a dependent GmbH [Limited Liability Company] can be terminated only at the end of a financial year or of the otherwise contractually stipulated accounting period. Continue reading
The IQ Industrial Holding group of companies has acquired the former Deutsche Bahn subsidiary WBN Waggonbau Niesky GmbH, a manufacurer of railroad cars. The company based in Niesky, Saxony has about 200 staff members and, by supplying railroad car components for Deutsche Bahn and other railway companies, achieves annual sales of almost 50 million euros. As of the transaction, Waggonbau Niesky operates as a medium-sized company of its own. It retains the Niesky factory’s core staff.
GEPADE, the bankrupt upholstery manufacturer of Delbrück, has been sold. The successful bid came from Munich-based investor Solvesta GmbH, specialized in restructuring. GEPADE, with its staff of 150, achieves annual sales of over 20 million euros. The sale agreement preserves both the Delbrück location and the associated jobs. According to news reports, Solvesta has a growth strategy laid out for the next few years. The new directors are Solvesta founder Dr. Patrik Fahlenbach and Christian Solfronk.