Reorganization of bage plastics GmbH: Creditors unanimously approve plan!

Reorganization of bage plastics GmbH: Creditors unanimously approve plan!

On February 28, 2025, the Linz Regional Court approved a restructuring plan in the case of “bage plastics GmbH”, the company had been in insolvency proceedings since November 2024. The Alpine Creditors Association (AKV) had previously declared bankruptcy as a result of the global price recession, which made it impossible to produce cost-covering products. Around 300 creditors are affected by the company's liabilities, which amount to around 18 million euros. During the vote on the restructuring plan, 289 claims with a total value of 13,777,636 euros were registered, most of which were accepted. The plan was unanimously approved, giving the company a new glimmer of hope after struggling with financial difficulties.

Details of the restructuring plan

The approved restructuring plan includes adjusted payment modalities that should enable “bage plastics GmbH” to now settle its liabilities. If the plan were rejected, creditors would have been faced with a distribution rate of only 9.5 percent, a hard blow for everyone affected. The restructuring plan provides that the debtor is released from the obligation to compensate creditors for losses, regardless of whether they took part in the proceedings or not. This means that claims that have not been officially registered will also be recorded, which could complicate the situation for creditors, as they are responsible for submitting their claims in a timely manner, such as ksv.at explained.

These regulations promote cooperation between debtors and creditors in order to avert the consequences of insolvency. Despite the highly complex legal situation and significant liabilities, such recovery plans can help companies recover from financial setbacks and get back on a stable economic footing, which is extremely important in the current economic climate.