Noratis AG seeks insolvency protection to avert financial collapse
Noratis AG has filed for protective shield proceedings under German insolvency law. The move aims to stabilise the company's finances and prevent a collapse. Without this step, the firm's future would be at serious risk.
The decision follows failed talks with banks and funding partners. Negotiations did not produce the financial support needed to avoid insolvency. As a result, the executive board concluded that an out-of-court restructuring was no longer possible in the short term.
The company is now developing a restructuring plan under Section 270d of the German Insolvency Code. This process will allow Noratis AG to keep operating while working on a long-term solution. Key stakeholders, including the two largest shareholders, have signalled their support for the strategy.
Noratis Habitat GmbH, a subsidiary of the group, will remain unaffected by the proceedings. However, other subsidiaries within the Noratis Group are expected to file similar applications for self-administration or protective shield measures.
The executive board remains optimistic about the outcome. They believe the proceedings will secure the group's stability and pave the way for future growth. Discussions with potential investors and major shareholders are ongoing to finalise the restructuring concept.
The protective shield proceedings will give Noratis AG time to reorganise its finances. The company's leadership is focused on ensuring business continuity while negotiating with stakeholders. If successful, the plan could restore stability and allow operations to proceed without further disruption.
