Loewe: believers vote on tuesday

The believers will have marked the date thickly in the calendar. On 19. November is the meeting of all those who have demands on loewe. These are, for example, banks or suppliers. You will certainly decide on the future of loewe on tuesday: the so-called audit and voting meeting in coburg is coming up. The believers are then confronted with the further plans of the company. The public is excluded from the meeting.

There are now two options at the review and voting meeting:
either the creditors approve loewe’s reorganization plan or they do not. Both times, this had rough consequences for loewe’s future:

if the creditors agree and the court gives the green light, the insolvency proceedings would be concluded in self-administration. If the creditors decide against it, this could lead to the breakup of the company. The court moderates this procedure and ensures that the formalities are observed. The claims must first be registered with the administrator.

So far, there is no experience with the review and voting date. Georg loritz is a professor at the university of bayreuth and is an expert on labor, tax and social law. He explains why things are a little different in the loewe case than in other insolvency proceedings. Loewe has gone through the so-called protective umbrella procedure, which is still very new. “It’s meant for companies that are over-indebted but not yet insolvent”, loritz explains. Loewe thus continues to hold the assets. Even now – in the insolvency proceedings. Loewe may operate in self-administration, i.E. Without an insolvency administrator. A trustee is on hand to assist loewe. The protective shield procedure is new, only a few companies have done it. That’s why it’s difficult for experts to assess how it could have happened.

Experiences with creditor meetings
the review and voting meeting is the equivalent of a “normal” meeting insolvency proceedings actually the creditor’s meeting – and of this there are some experience values. The creditors must also agree at the creditors’ meeting so that the company can continue to operate. “In most cases, they are also willing to do so”, says loritz. The reason: if you do not agree, you must assume that you will not receive anything or almost nothing of your claims. “It is better for them to give up a considerable amount before they go empty-handed.” as a rule, the main creditors are banks. “They would then also have more say than smaller creditors.”

the higher the claims, the more weight the vote carries. According to this, a quota is calculated, which becomes important during the voting process. Not the majority of the believers, but the majority of the “quota is therefore decisive. The vote can be held in secret or openly among the creditors. It can take place within a few hours, but also on several dates.

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