A long-standing bedroom and living room furniture manufacturer based in Oelde is set to cease operations on 1 July 2025, following the collapse of an investor agreement. The insolvency administrator confirmed that the business could not be sustained after the intended investor failed to meet essential contractual obligations, prompting the cancellation of the purchase agreement.
Loddenkemper stated that initially, the agreement had outlined plans to continue production under a new company structure and retain around 120 employees. However, with no viable future prospects, the administrator announced the closure in consultation with the creditors' committee. Employees were informed during a recent staff meeting.
In a statement, the administrator said there was "no alternative but to cease business operations", with a reduced team of approximately 20 employees to remain on-site to complete existing orders and projects until 30 June 2025.
The failed takeover has drawn criticism from both the works council and trade unions. "We deeply regret the developments," the administrator stated, adding that legal action has already been initiated against the responsible parties. No further details were provided regarding the investor's conduct or motivations.
The closure marks the end of operations at the Oelde site, which had recently faced growing uncertainty despite earlier announcements suggesting a continuation of the business under new ownership.
Source: www.moebelmarkt.de