Viennese Steel Dealer Pisec is Insolvent

The company was founded in 1950 to sell raw materials and especially steel products from the East to the West. According to KSV, a continuation is "not feasible".

The reasons for filing for bankruptcy proceedings are, according to the information, particularly due to the Ukraine war, the global disruptions in international raw material markets, and the sharply declining demand, especially in the USA. The warehouses are full. Furthermore, according to AKV, Pisec maintains long-standing strategic relationships with the Belarusian steel plant BMZ. PISEC Group Austria GmbH had the function of independently distributing BMZ products to Western companies. Belarus, like Russia, is heavily sanctioned by the West due to the attack on Ukraine.

According to KSV, the insolvency of Pisec Group Holding GmbH is expected to affect eight employees and 14 creditors. According to debtor information, the liabilities are estimated at around 109 million euros. Of this, around 78.5 million euros are expected to be guarantees for bank liabilities of subsidiaries.

In the bankruptcy of Pisec Group Austria GmbH, according to KSV, it concerns 18 employees, around 45 creditors with liabilities amounting to around 100 million euros. Of this, 85.5 million euros are expected to be bank liabilities.

Parts of the Company Could Continue to Exist to Wind Up the Rest

"According to its own statements, a continuation of the company is not feasible in view of the economic situation of the debtor. A possible continuation of parts of the company to enable an optimized winding up of the debtor will have to be examined by the insolvency administrator to be appointed," said David Schlepnik from KSV1870.

The assets of Pisec Group Austria GmbH are stated by AKV to be around 64 million euros. These consist mainly of outstanding claims against third parties, intercompany claims of the parent company, and bank balances. According to the company's own information, the assets of Pisec Group Holding GmbH are said to consist of business equipment, claims against subsidiaries, and a bank balance. Additionally, Pisec Group Holding GmbH has corporate investments.

(APA/Red)

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