Signa in crisis: Benko is looking for a capital injection of 600 million euros

According to a media report, the Tyrolean and his advisors are looking for donors.

The Tyrolean investor René Benko, which is behind the ailing Signa real estate group, is looking, together with its advisors, for financiers who can provide a capital injection of around 600 million euros this week, the “Handelsblatt” reported on Monday evening, citing financial circles. The loans are to be secured with free assets of the real estate subsidiary Signa Prime. Signa could not immediately be reached for comment.

Discussions are currently underway with investors who provide companies with money in crisis situations and pay for the risk with high interest rates, reported the “Handelsblatt”, citing people familiar with the matter. The capital injection should, among other things, cover a bond of 200 million euros due at the end of November and ongoing costs. A total of around 1.5 billion euros will then be due by the end of the first half of 2024. The actual restructuring should only begin once liquidity has been found, according to the report.

In order to survive, Signa Holding must reduce itself to a healthy core, it said. According to the report, Signa could separate from the trading subsidiary Signa Retail with the companies KaDeWe and Galeria. A sales consultant for the trading business has not yet been appointed, but discussions are already underway.

By Editor

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