Steiner AG applies for debt restructuring moratorium
The company cites payment difficulties in the JV business as the reason for this, although it had already decided to separate from this business.
Steiner AG has submitted an application to the District Court of Zurich for a provisional debt-restructuring moratorium. "The background to this measure is a liquidity bottleneck that the company has faced in recent weeks and which could have impaired its business activities," the company announced yesterday. It refers to "unforeseeable developments in connection with a few construction projects as part of Steiner's exit from the general contractor business".
The restructuring procedure that has now been applied for is intended to prevent the aforementioned risks from impairing real estate development. This business continues to be profitable and successful, emphasizes Steiner. The provisional debt-restructuring moratorium has been applied for for four months. "It also gives the company time to work out solutions for payment delays from customers from previous projects in the construction sector," it continues. Steiner sees the move as support on the way to becoming a pure real estate service provider.
One problematic general contractor project for Steiner in particular was the Wetzikon hospital, where work on the new and extension building was stopped long before completion. Following disputes with the client, Steiner terminated the general contractor agreement. (aw)
