2024-07-24 16:51:54
Neuschwanstein Castle or the Pergamon Museum in Berlin: the BPG Group is erecting scaffolding all over Germany. Now the construction giant is having financial problems.
The German scaffolding company and construction logistics company Building Partners Groups is insolvent. The company filed for insolvency in mid-July for itself and six of its seven subsidiaries. This was stated in a press release by the provisional insolvency administrator Lucas Flöther.
“Our aim is to continue the projects wherever possible and to avoid economic damage,” said Flöther. “The extent to which the insolvency proceedings will affect specific projects will only become clear after a more detailed assessment.” Over the next three months, the approximately 400 employees will receive insolvency benefits from the Federal Employment Agency.
According to the statement, the group is suffering from the current weak economic situation in the construction industry. Due to the falling demand, prices for construction services have come under severe pressure, it says. “At the same time, increased costs for materials, energy and personnel are putting a strain on the company and cannot be passed on to customers due to the poor market situation.”
In addition, the company’s customers themselves have come under financial pressure, which is why payments are either not being made or are being delayed. However, the chances of a restructuring are good, says von Flöther. “The BPG Group consists of modern, efficient companies with first-class references,” he said in a statement. “These are important prerequisites for a restructuring.”
BPG is one of the largest providers of scaffolding and construction management services in Germany. This also includes the planning, setting up and securing of large construction sites as well as the rental of construction containers. According to its own description, BPG looks after construction sites throughout Germany, especially in metropolitan areas and for large construction projects.
According to the press release, the company’s best-known scaffolding projects include the Pergamon Museum in Berlin and Neuschwanstein Castle. The group consists of seven companies and generated annual sales of around 78 million euros in the 2023 financial year.