Signa Bankruptcy: Creditors Demand 11.7 Billion Euros from Signa Prime
The real estate group Signa, centered around the currently detained investor René Benko, is facing massive creditor claims following its collapse. At the subsidiary Signa Prime, which consolidates all the luxury properties of the group, claims amounting to 11.7 billion euros have been filed according to the latest report – a sum that has kept the industry on edge for months.
Claims in the Billions
The insolvency administrator estimates the unconditional claims at a total of around 6.7 billion euros, of which 3.8 billion have been recognized. A further 2.9 billion euros are disputed claims. Additionally, around 505.6 million euros are still unverified. Conditionally reported claims amounting to approximately 4.5 billion euros consist of 1.1 billion euros in recognized and 3.4 billion euros in disputed claims.
Real Estate Liquidation Planned by 2026
To satisfy the creditors, all of Signa Prime's real estate jewels are to be sold by mid or late 2026. According to the insolvency administrator, several transactions have already been successfully completed, while other sales processes are still ongoing. Among the high-profile properties are addresses in downtown Vienna and the Kaufhaus Tyrol in Innsbruck. A previously granted mass loan of 50 million euros has already been fully repaid.
Creditor Quotas and Ongoing Proceedings
The expected cash returns for creditors largely depend on the proceeds from real estate liquidations as well as the procedural costs and ongoing legal proceedings in Switzerland, Luxembourg, and particularly Germany. Another uncertainty factor lies in the tax implications arising from the dissolution of the tax group within the SPS Group (Signa Prime Selection AG). According to the insolvency administration, this is likely to significantly reduce the creditor quotas.
Special Audit Decided
At the request of a shareholder, the general meeting decided on a special audit of certain business relationships of the company with the German Schoeller Group and the INGBE Private Foundation (named after Ingeborg Benko) for the period from January 1, 2022, to December 29, 2023. The capital procurement and the sale of assets during this period are also to be examined.
Contestation and Liability Claims
According to the insolvency administrator, the examination of contestation claims has already been completed. Numerous claims were settled out of court or resolved through repayments, resulting in total proceeds of 62.5 million euros. Additionally, lawsuits amounting to approximately 199.6 million euros are ongoing at the Commercial Court of Vienna. Initial proceedings were settled in favor of the insolvency estate, and further liability letters are to be sent in the second and third quarters of 2025.
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