Flensburger sees a future

2020-08-14T13:54:04+00:00 August 14th, 2020|Finance|

Several businesses attached to Tennor Holding are taking on 350 employees from the insolvent Gemran shipbuilder, Flensburger Schiffbau-Gesellschaft (FSG).

These include all 31 trainees and nine students, in a combined work-study programme, as well as shipyard business assets, in  a transferred re-organisation in line with German insolvency law.

A contract of sale has been notarised but the parties involved have agreed not to disclose the sale price.

The contract’s finalisation is still subject to the sale price payment and the entry of those employees whose jobs could not be retained into the newly established transfer company. The date for the planned execution of the contract is 1st September, 2020.

Lars Windhorst, Tennor Holding founder (pictured left at the signing ceremony), explained: “In these difficult times, when there is a lot of upheaval, it is important for me to stand by the FSG and its employees. Unfortunately, it is not possible to retain all jobs at the FSG. But I fundamentally believe in the future of the company, and that is why I am backing the company again, along with Tennor. A difficult restructuring process lies ahead of us. If all those involved stand together, we will get through it.”

Martin Hammer, founder of enomyc, a consultancy which specialises in restructuring, and Managing Director of FSG (pictured centre), said that the focus is now on creating a detailed plan for the future of the shipyard:

“On the one hand, we are disheartened that 300 colleagues will have to move into a transfer company on 1st August. However, we are also pleased that 350 colleagues can continue working at the shipyard. We are looking towards the future and will do everything to ensure that the process of building the two ro-ro ships commissioned by Tennor is successful and to win further bids for the shipyard.

“The signs from the industry are positive, because the shipping companies are aware of the high quality of our ships. We can also envisage completing projects with Pella Sietas in the future,” he said.

Stefan Denkhaus, FSG’s General Authorised Representative (pictured right), added: “During the four months of the preliminary self-administration process, we have intensively cultivated the market. It is clear that Germany’s shipbuilding industry is in turmoil: in future, there will be greater co-operation between shipyards, for the purposes of pooling resources. Right now it is important to ensure the shipyard’s finances are sound and to acquire new contracts, thereby enabling FSG to help shape this radically changing market.”

Dr Christoph Morgen, specialist and expert in insolvency law, who was appointed provisional trustee by the Flensburg district court, said: “It is good that the shipyard is being modernised and will continue operating. What’s crucial now is that the newly announced contracts are promptly awarded and that financing for construction of the ships is secured. There is still some work to be done before the contract closing date, which is scheduled for 1st September, 2020.”

Schleswig-Holstein’s Minister for Economic Affairs, Dr Bernd Buchholz recently visited the shipyard. He said: “The FSG is one of the biggest industrial employers in northern Schleswig-Holstein and as such is very important to the state.

“The renewed acquisition of the FSG by Lars Windhorst, coupled with his commissions, would give the FSG time to adjust its strategy. Of course, it is a tough blow for those employees whose jobs could not be saved. In light of this it is all the more important that an adequately resourced transfer company is established. The retention of all the trainees at the shipyard is also an important sign,” he said.