Breaking
paragon (DE) insolvency
paragon (DE) files for insolvency — 552 jobs, six German sites
Breaking
paragon (DE) files for insolvency — 552 jobs, six German sites
Listed German automotive Tier-1 paragon GmbH & Co. KGaA (Prime Standard; electronics, body kinematics, battery/BMS) today filed insolvency petitions at the Paderborn Local Court for itself plus subsidiaries paragon electronic GmbH and paragon movasys GmbH. Trigger: Indian investor Tejascore Techsystems Inc. failed to disburse a committed €12m loan (plus a further €6m on demand) after a June term sheet; management alleges deceit/fraud suspicion. ~552 employees at Delbrück, Suhl, Landsberg am Lech, Limbach, Nuremberg, St. Georgen affected; Croatia/China units excluded. Management says the business is profitable with a large OEM backlog (~94% sole-supplier revenue) and expects operations to continue under a provisional administrator.