ALCUBE GmbH: Successful reorganisation using Corporate Stabilisation and Restructuring Act (“StaRUG”) procedure

A leading e-commerce specialist in children’s beds, ALCUBE GmbH fell into financial difficulties due to various reasons, both external and internal. Formed in 2016, the manufacturer of Heim, the best-selling “house bed” on the German market, not only had to contend with weaknesses in its operation but also increases in the cost of timber alongside changes to the market and customer needs. It proved unable to respond quickly enough to these challenges.

On 30.01.2024, the local court of Charlottenburg appointed BBL partner Dr Florian Linkert as reorganisation officer. Following its confirmation by the insolvency court, the reorganisation plan prepared under the Corporate Stabilisation and Restructuring Act (“StaRUG”) was then initiated meaning that the impending insolvency could be averted, and the company successfully restructured.

The reorganisation procedure also restored the viability of ALCUBE GmbH, and a basis for its profitability and growth was established. The case shows how the StaRUG procedure is a financial reorganisation tool that can effectively augment an operative restructuring process in specific cases.