HALLE/WESTFALEN (dpa-AFX) - Fashion manufacturer Gerry Weber is back in crisis a good three years after successfully concluding its insolvency proceedings. Gerry Weber International AG said Wednesday it had applied to the Essen District Court to initiate proceedings under the German Act on the Stabilization and Restructuring Framework for Companies (StaRUG) to accelerate the company's financial restructuring process. The aim of the StaRUG proceedings is to allow entrepreneurs to restructure their business without having to go through insolvency proceedings.

"Part of the project is to be a complete capital cut, which would also extinguish the stock exchange listing of the Gerry Weber International AG share," the statement said. In parallel, the German retail business of Gerry Weber Retail GmbH is to be restructured with the help of insolvency proceedings in self-administration. The aim is to optimize the German store network, it said.

Gerry Weber's wholesale business, e-commerce and international business are not affected by the measures, emphasized CFO Florian Frank. The ability to deliver would remain fully guaranteed and business operations would also continue in full.

"The restructuring project is a necessary reaction to external circumstances," said the head of Gerry Weber International, Angelika Schindler-Obenhaus. The retail business as a whole needs to be realigned, she added. "For this, we want to build the store network of the future. Because we firmly believe in the branch store. At the same time, we have to put every square meter of space to the test today," the manager said. Gerry Weber will concentrate on its healthy core and further strengthen its successful wholesale business, e-commerce and international business, she added.

The current problems were triggered by the corona-related closures and changes in customer behavior triggered by the Ukraine war, high inflation and lower real disposable incomes, the company's statement said./rea/DP/nas