Witex exits insolvency proceedings

Witex exits insolvency proceedings

Following four years of restructuring the business in insolvency, on 14th June 2007 insolvency administrator Wolfgang van Betteray sold substantially all parts of Witex Group, Augustdorf to US investment bank Bear Stearns. Under the terms of the agreement, Bear Stearns will acquire all material assets, including the shares in 100% subsidiary Witex International Flooring GmbH, and all real estate and machinery from the insolvent holding company Witex AG on a going concern basis. Bear Stearns will also take over Witex’ employees.

Bear Stearns is the 5th largest investment bank in North America and a leading player in the financial restructuring sector. Over the past few years, the bank has become increasingly involved in restructuring German medium-sized companies. Together with Witex' management, Bear Stearns intends to develop the full potential of the company and the Augustdorf production site.

A decisive factor for Mr. van Betteray and his colleague, Dr. Hendrik Heerma, to select Bear Stearns as acquiror of Witex’ assets was the bank’s commitment to the Augustdorf manufacturing base, including the assumption of all staff. With its new owner, the company's successful development over the past four years can now continue on an accelerated basis..

Contact:
Witex International Flooring GmbH
Management
Nord-West-Ring 21
32832 Augustdorf
Tel: +49 5237 609 -0
Fax: +49 5237 609-309
E-mail: pr@witex.com
Internet: www.witex.com