Traditional company Herzog: Renovation for 60 jobs started!

Traditional company Herzog: Renovation for 60 jobs started!

The traditional German company Herzog, which was founded in 1902 and is based in Kirchheim am Neckar, is facing a fundamental realignment. The company, which operates in the camping, travel and leisure industries, has found itself in financial distress due to the economic consequences of the corona pandemic and rising costs. This is associated with a decline in sales and a reluctance to invest on the part of customers. As a result, the company filed for bankruptcy. Herzog currently employs around 60 employees whose wages and salaries are covered by insolvency money for three months, as merkur.de reports.

The provisional insolvency administrator, the Schultze & Braun law firm headed by lawyer Holger Blümle, aims to preserve the company and as many jobs as possible. Meanwhile, business operations continue without restrictions. Blümle and managing director Erich Eugen Herzog have already begun to analyze the company's economic situation and examine various restructuring options. An investor process has started, in which discussions are being held with potential investors.

Restructuring strategies and investor process

The focus of the restructuring is on a future-proof orientation of the company, possibly also in the form of integration into a group of companies. Discussions with potential investors have already begun and are intended to ensure long-term stability for the company. This could also include an expansion of the current business model in order to better meet the challenges of the market.

The insolvency administrators in the region are called upon. For example, the company Caravan and Henschel, which specializes in caravan service, is also fighting to save its jobs. Here, a structured restructuring concept is intended to ensure the long-term stability of operations. In a similar approach to Herzog, ongoing operations are secured there, while cooperation with customers, suppliers and employees is intensified. A total of five jobs are at risk, with two additional employees to be hired in order to stabilize the economic situation, as schwaebische.de reports.

Insolvency administrator Tobias Humpf emphasizes how important it is to preserve the company's tradition while at the same time ensuring its economic viability. He follows a holistic approach that takes legal, economic and social aspects into account.

The next few weeks are crucial for all affected companies. The actual implementation of the restructuring and the selection of suitable investors will determine whether the traditional companies in the region can survive and whether concentrated forces will be mobilized to not only secure the structures, but also to make them future-oriented.