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The crisis worsens at battery manufacturer Varta: shares collapse

The crisis worsens at battery manufacturer Varta: shares collapse

While the current replenishment report is being reviewed by expert AuxilPartner, donors must remain silent until the summer. A similar freeze agreement is currently in the signing stage. Varta expects the new report to be available by mid-year and to form the basis for further restructuring steps. Varta has also appointed investment bank Rothschild & Co as an additional advisor. Its purpose is to develop options for further capital measures and financing steps. It is not currently possible to provide a reliable statement on specific adjustments, transfer and financing measures.

>>> Varta is in crisis: a new CFO with restructuring experience

Varta no longer considers its restructuring concept to be sufficient. The assumptions made in this concept and the measures based on it agreed with the majority of shareholders and financing banks are no longer suitable for returning to a profitable growth path by the end of 2026. The company announced on Thursday evening that the concept is under review. Varta cited as reasons for the assessment the further deterioration in economic conditions of various business areas, the unexpectedly significant decline in demand for energy storage solutions among end-consumers due to high retail inventories, aggressive pricing policies by competitors and the disruption of the supply chain. problems.

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