Germany's Kelheim Fibres files for bankruptcy

Kelheim Fibres developed a restructuring plan with its financiers in June, including support from its hometown Kelheim, which acquired a key property from the company to help alleviate financial strain. Despite these efforts, the company's economic situation deteriorated as Asian competitors sharply cut prices for viscose fibres, intensifying competition and eroding Kelheim’s profitability, local media reports said.

Under the protective shield procedure, Kelheim Fibres aims to continue production and hopes to steer its restructuring plan to completion.

Kelheim Fibres is a manufacturer of viscose speciality fibres. Its speciality fibres are used in diverse applications including fashion, hygiene and medical products, nonwovens and speciality papers.

Fibre2Fashion News Desk (KD)