Galeria Karstadt Kaufhof: Subsidiaries also in insolvency proceedings

Dusseldorf After the ailing department store operator Galeria Karstadt Kaufhof fled to protective shield proceedings under insolvency law, subsidiaries are now also following in insolvency proceedings under self-administration. As the company announced on Thursday, the Essen district court has granted the application to restructure two subsidiaries in the areas of catering and food under self-administration.

This should not result in any restrictions for customers, it said in a statement. The subsidiaries are Galeria Restaurant GmbH and Galeria Markthalle GmbH. The court-appointed trustee for the two proceedings is the Düsseldorf lawyer, Frank Kebekus. He already has the same function in the protective shield proceedings of the parent company.

Kebekus sees the strong economic dependencies on the department store operator as the reason for the bankruptcy filing of the two subsidiaries. “It is common and often sensible for subsidiaries to also enter into restructuring processes under insolvency law. This enables a holistic restructuring of the group of companies,” said Kebekus.