The MGT Mayer Glastechnik GmbH in Feldkirch, Austria, is facing likely closure by the end of February, according to a statement from insolvency administrator Tobias Gisinger to ORF Vorarlberg. The company, a manufacturer of insulating glass and retailer of construction glass products, initiated a restructuring process on December 10th, followed by the closure of one business unit two days later, resulting in the loss of 50 jobs.
Currently, approximately 60 employees remain, but their positions are likewise at risk. Gisinger stated the company is now focused on completing existing orders, a process expected to conclude by the end of February. “As of today, we are only completing production and working off open orders,” he said.
The insolvency stems from rising costs and a decline in sales, specifically related to specialty glass products. A report detailing the situation further will be presented at a creditors’ meeting on December 23rd, at which point the feasibility of continuing operations until the end of February will be determined. Gisinger indicated that a complete closure appears unavoidable.
The company’s debts total 10.5 million euros, owed to around 100 creditors, and the insolvency affects a total of 109 employees, as reported by KSV1870 and the Alpenländischer Kreditverband (AKV). The restructuring process was initiated by the company itself, without a self-administration component.
Gisinger noted that the primary challenges facing the company are a lack of investors, available capital, and new orders. However, the company still has the option to submit a restructuring plan, even if it ultimately closes. If no plan is presented, the company’s assets will be liquidated.
