Kymiring oy has applied for corporate reorganization and a decision is expected in the next few weeks. No more dreaming about the MotoGP races.
In Iit at the Kymiring motor track, the moments of fate are at hand. The railway company has applied for corporate reorganization, and a decision on the district court in Päijät-Häme should come in the next few weeks, in February at the latest.
If the decision is positive for Kymiring, in accordance with the restructuring program, the company must collect three million euros. This amount of money must be available fourteen days after the district court’s decision.
“It looks really good,” says the chairman of the board of Kymiring oy Ilkka Kivisaari HS:lle.
“I do believe that the money will be collected.”
Where from the money would come?
Possibly the current owners would invest more money in the company and new investors are also hoping. The current owners are A. Ahlström Kiinteistöt, Iiti municipality, AKK Sports oy, Suomen Moottoriliitto ry and the company’s former CEO Markku Pietilä.
One of the owners, A. Ahlström, is also one of the company’s creditors, and the municipality of Iiti has mostly been willing to give up its ownership.
Kivisaari is also convinced that the district court will approve the reorganization program, because according to him, most of the creditors are in favor of the reorganization program.
In addition to A. Ahlström Kiinteistö, Kymiring’s biggest creditors are Nordea bank, Lahti Events, Finnvera, Mobility Properties and WS Finance.
In total, the debt is more than 20 million euros and there are several dozen creditors.
The three million euros is a kind of “first aid”, as the company’s collateral debts are due at the end of 2024. Surveyor of Kymiring oy’s restructuring program Klaus Majamäki stated last November For Etelä Suomen Sanomatthat the solution to the collateral debts would be to sell the depot building and then rent it out.
The value of the pit building has been calculated at six million euros.
The track the turnover has only been around a couple of hundred thousand euros, so the turnover should increase rapidly so that the business could become profitable.
Kivisaari does not promise large international events, but aims to increase turnover gradually.
“We start from a realistic basis. We don’t expect any huge number of big events next summer. Track rental, small business events and 1–3 small or medium-sized events. We build piece by piece and don’t envision one huge event and put everything on one card,” says Kivisaari.
Kivisaari refers to the MotoGP races with one card, which were on display since the completion of the track in 2019. The races were canceled every year, and last fall, Dorna Sports, which owns the MotoGP rights, announced that the races will not be run at Kymiring this year either.
“It won’t be talked about in the next few years. It’s a hot potato in the head of Dornan, who owns the rights, and they certainly aren’t interested in talking about next or next summer. When the dust settles and things get going, it may be that we’ll get back to it, but it’s not a matter of the near future”, confirms Kivisaari.
Kymiring was also supposed to be used for the World Motocross competition, but it was moved to Hyvinkää last year. Next summer’s race will also be in Hyvinkää.
On top of all that, Dorna Sports, which owns the MotoGP rights, applied for more than six million euros from Kymiring Events oy, but they will not receive that money, as the unreserved Kymiring Events went bankrupt last November.
Also CEO of Kymiring Riku Rönnholm is convinced that the company will be able to continue its operations.
“You wouldn’t do this if you didn’t believe [toiminnan jatkumiseen].”
Rönnholm still goes back to the events of last May, when Dorna Sports announced after an inspection that Kymiring was not ready for MotoGP.
“In six weeks [tarkastuksesta] the track would have been MotoGP ready except for the tire barriers. The contractors were committed to it.”
The track’s surface, the asphalt, has been in place since 2019. Renewing it would be an expensive additional bill, but according to Rönnholm, it is not yet relevant.
“At some point, the need for renewal will come up, but it shouldn’t be relevant for several years.”
Fact
30 million euros have been spent on Kymiring
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The railway company Kymiring oy was founded in 2013.
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The construction of the track started in 2016 and the track was completed in 2019.
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The length of the track is 4.5 kilometers and it has 21 corners and the longest main straight of European gp tracks: 1.1 kilometers.
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The track is the only one in Northern Europe that fulfills the highest track classification of the International Motor Sports Federation (FIA) and the International Motorcycle Federation (FIM).
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The company made a five-year contract with Dorna Sports for the MotoGP World Championship, but the races were canceled three times in a row and the track is no longer in Dorna’s plans.
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In total, the costs of the track have been around 30 million euros.
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