The District Court of Duisburg approved the application of KODi Diskontläden GmbH, headquartered in Oberhausen, for the initiation of protective shield proceedings on 28 November 2024 and ordered preliminary self-administration. GÖRG partners Holger Rhode and Dr Raul I. Taras have been appointed to the company's management team to support its leadership and will oversee its restructuring as Chief Restructuring Officers.
The application for protective shield proceedings was made in light of numerous challenges the company has faced in recent months. On the one hand, a significant decline in customer spending, coupled with intense competitive pressures, has led to revenue losses. On the other hand, costs in key areas such as energy, transportation, and advertising have risen sharply.
The objective of the protective shield proceedings is to restructure KODi Diskontläden GmbH sustainably and restore its full market competitiveness. A restructuring plan is to be presented to the court and creditors by spring 2025. During the proceedings, the company will continue operations in all 238 branches with its 1,800 employees without restriction. Employee wages are initially secured for three months through insolvency benefits.
The cooperation between the company's management and the provisional administrator, attorney Dr Marc d'Avoine of ATN Rechtsanwälte, has been smooth and goal-oriented so far. Ongoing discussions with financing banks and suppliers also give the company confidence. Particularly noteworthy is the support of suppliers, who have expressed their willingness to actively participate in the restructuring process. Additionally, the workforce has shown high motivation to face the challenges and contribute to the company's recovery.
Since 1981, KODi Diskontläden has been providing customers with household and drugstore products in categories such as cleaning, cooking, decorating, DIY, textiles, and food. The company offers both well-known brands and private labels. KODi currently operates 238 branches nationwide, primarily concentrated in North Rhine-Westphalia.
A GÖRG team led by restructuring and turnaround experts Holger Rhode and Dr Raul I. Taras will collaborate with the company’s operational management to develop a restructuring plan. Thomas Montag of the consultancy MONTAG&MONTAG is also supporting the management. Attorney Dr Marc d'Avoine (ATN Rechtsanwälte) has been appointed by the Duisburg District Court as the provisional administrator. He will oversee the restructuring process to protect creditors' interests.
Advisors KODi Diskontläden GmbH
GÖRG Partnerschaft von Rechtsanwälten mbB
Holger Rhode (Chief Restructuring Officer, Partner, Insolvency Administration, Düsseldorf)
Dr Raul I. Taras (Chief Restructuring Officer, Partner, Restructuring, Cologne)
MONTAG & MONTAG
Dipl.-Kfm. Thomas Montag (Chief Restructuring Officer)
Trustee
ATN Rechtsanwälte
Dr Marc d`Avoine (Trustee)
Dipl.-Kfm. Paul Michels
