Pino Küchen, the entry-level subsidiary of Alno AG, has entered insolvency after negotiations with creditors failed to reach any agreement.
The District Court of Hechingen ordered the provisional self-administration of Pino Küchen on July 21.
Prof Dr Martin Hörmann from law firm Anchor Rechtsanwälte has been appointed by the court to oversee the administration.
The company’s business is to continue as a whole, Alno confirmed.
According to a number of German news sites, there has been what they describe as a “power struggle” between Alno and its creditors.
Möbel Kultur claimed that a third of Pino’s shares are currently owned by Alno’s former chief financial officer Ipek Demirtas, whose employment was terminated in March without notice.
According to a report in Manager Magazin, Demirtas and former chief executive Max Müller have accused the self-managing group of failing to meet the demands of creditors.
A spokesperson for Leichtenstein-based creditor First EPA said: “We are trying to replace First EPA Holding AG as the largest creditor of Pino Küchen by a creditor of the Hastor Group. Thereby placing Pino Küchen under direct control of the Hastor Group and excluding external creditors.”