Auto Supplier Webasto Hires Restructuring Boss in Overhaul
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German auto parts supplier Webasto SE is kicking off negotiations for a far-reaching overhaul under the aegis of a chief restructuring officer in response to the “ongoing crisis” in the automotive industry, according to a statement Jan. 13.
Webasto reached a stabilization agreement with bank lenders and holders of its Schuldschein notes on Dec. 23, paving the way for a more holistic restructuring, the statement said. Johann Stohner from consultancy firm Alvarez & Marsal will be appointed chief restructuring officer from Jan. 15 to manage the process.
“We must continue to consistently adapt our production and development capacities to the changed situation, streamline our organization as a whole and further sharpen our product offering,” said Holger Engelmann, chairman of the management board of Webasto.
The restructuring follows a continued deterioration in the automotive industry during the second half of 2024, Webasto said. Major automakers and their suppliers have had to engage in sweeping cost-cutting measures in the face of weakness in automotive sales, particularly in electric vehicles.
Webasto had originally agreed a debt deal with lenders last year, but new negotiations were required after worse-than expected-performance, Bloomberg previously reported.
Webasto, which manufactures products including roof systems, had credit lines of over $1.25 billion at year-end 2023, according to financial results.
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