CKD DS Transportation Systems
Advisory mandates managed by EEIP in 2001 included the sale of assets for the insolvency administrator of CKD DS Transportation Systems (formerly CKD Tatra), the producer of one third of rolling stock manufactured in the world; in particular trams, locomotives and metro vehicles. The company was successfully restructured by a unique method of a "revitalization bankruptcy".
In 2002, the particular assets of CKD DS were sold to Siemens KV (formerly Spolecnost kolejovych vozidel), 100% subsidiary of German giant Siemens AG. In line with its earlier statements and agreements, Siemens KV employed around 800 staff in its new production capacities.
Transaction generated the sum of CZK 750 mil for the insolvency administrator. In Aprill 2005, the court approved the decision of the insolvency administrator to begin the pay-off of satisfaction receivables for deferred creditors. The amount dedicated for distribution is CZK 1.257 billion, which is 17% of the nominal amount of receivables ascertained for the purpose of bankruptcy proceedings.
In the Czech setting, the transaction was a rare case of a successful rescue through bankruptcy proceeding combined with an asset sale.
More information:
- Corporate restructuring: Prerequisite to implement judicial and extrajudicial forms (in Czech only)
- Press
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Associate Director
tel: +420 224 232 754
fax: +420 224 238 738
jan.slavicek@eeip.cz