The company MWS Westfalen Werke NDS GmbH has to file for bankruptcy again. Hundreds of jobs at the former Hülsta-Werke Hüls GmbH & Co. KG are at stake in the bankruptcy.
Stadtlohn – Probably the best-known German furniture manufacturer has to file for bankruptcy. Yet again. This means that the wave of bankruptcies in Germany will continue unabated in 2024. After the bankruptcies of a giant in the construction industry, a global market leader in mechanical engineering and a well-known German grocery chain, the furniture manufacturer Hülsta is bankrupt, as is a popular amusement park.
Probably the best-known German furniture manufacturer is insolvent: Hülsta is bankrupt again
To be more precise, the insolvent furniture brand is MWS Westfalen Works NDS GmbH & Co. KG (formerly Hülsta-Werke Hüls GmbH & Co. KG) and its general partner MWS Works Westfalen GmbH (formerly Hülsta Works GmbH) from Stadtlohn. The group filed for insolvency with the Münster district court.
The decisive reasons for the bankruptcy are the significant decline in sales, as the company reports. The press release also shows that other external factors currently do not enable the company to operate economically.
Well-known German furniture giant files for bankruptcy: weak consumer climate a factor in the bankruptcy
“The company is faced with a challenging market situation in the furniture sector. The weak consumer climate and the slowdown in the construction of new apartments are having a negative impact on the industry. In particular, the 'other furniture' segment, which includes the living, dining and bedroom furniture from MWS Westfalen Werke NDS GmbH and Co. KG, recorded a massive drop in sales in the last quarter," said managing director Dr. Stefan Hainke in the press release further reasons for the bankruptcy of the German furniture giant.
“The company’s challenging situation was also exacerbated by production losses due to storm damage, which have not yet been regulated,” it continues.
German furniture manufacturer is insolvent again: 280 employees affected by the bankruptcy
The management informed the workforce about the bankruptcy filing. Now, together with the provisional insolvency administrator Dr. Christoph Morgen worked on what could happen next for the furniture manufacturer. Dr. Morgen is on site with his team and explains: “We are getting an overview of the current economic situation and are trying to get insolvency money for the total of around 280 employees,” says the press release.
It was only in November last year that the Münster District Court had initiated the insolvency proceedings of Hülsta Werke on November 9th on the basis of the agreement already accepted by the creditors in July and in collaboration with the insolvency administrator Dr. Christoph Morgen's insolvency plan was revoked. The kitchen manufacturer Warendorf had already filed for bankruptcy for the fourth time in January. Despite the takeover by the Hülsta Group only in November, the company had to file for bankruptcy at the court in Münster. Now Hülsta himself would have to announce the bad news of renewed bankruptcy.