Insolvency of FSG and Nobiskrug Shipyards in Schleswig-Holstein
The Flensburger Schiffbau-Gesellschaft (FSG) and Nobiskrug shipyards located in Rendsburg have entered insolvency proceedings, as announced by the Flensburg District Court. A preliminary insolvency administration has been established, appointing lawyers Christoph Morgen and Hendrik Gittermann as the administrators for the affected companies, both of which are owned by investor Lars Windhorst.
The two shipyards employ approximately 500 individuals. Recent reports indicate that employees at FSG have faced delays in salary payments, with the promised Christmas bonuses also remaining unpaid. Furthermore, a significant portion of the workforce had been temporarily released from their duties. Local utility company Stadtwerke SH has indicated that power to Nobiskrug is expected to be cut off on Friday morning due to the absence of a power supply contract since December 1. This measure was postponed only because a federal police vessel was undergoing repairs at the dock until today.
According to a spokesperson, both shipyards, along with their joint FSG-Nobiskrug Holding, are affected by the insolvency. The insolvency administrators, along with their teams, are currently assessing the financial situations of the shipbuilding companies that fall under the FSG-Nobiskrug Holding umbrella.
The FSG has faced multiple crises throughout its more than 150-year history, yet it has managed to avoid closure on several occasions. In 2014, the company was acquired by the Norwegian shipping and offshore firm Siem Industries from a Munich-based investor. However, in 2018, the shipyard reported a staggering loss of EUR111 million on revenues of EUR213 million, as revealed in the financial statements published by Siem Industries.
In early 2019, investor Lars Windhorst took over the shipyard, and by the summer of that year, his investment firm Tennor had fully acquired the already struggling company. By spring 2020, FSG was compelled to file for insolvency. On September 1, 2020, several companies associated with Tennor took over the shipyard, retaining 350 of the approximately 600 employees at that time. Almost a year later, FSG acquired Nobiskrug, a well-known manufacturer of luxury yachts, which was also facing insolvency.
Windhorst has faced criticism for failing to secure new contracts, which he had repeatedly promised. This past summer, the federal government rescinded a EUR62 million subsidy for the construction of liquefied gas bunkering vessels at FSG due to a lack of secured capital that was essential for fulfilling the contracts. A spokesperson for FSG disputed these claims.
Recently, the Schleswig-Holstein state parliament has called for a change in investment management, as both the Minister of Economic Affairs, Claus Ruhe Madsen, and Minister President Daniel Günther have demanded Windhorst's withdrawal from the company. They emphasized that insolvency does not equate to the end of operations; rather, it could symbolize a new opportunity for the shipyards.
Greens parliamentary leader Lasse Petersdotter has condemned the situation, stating it is unacceptable for Windhorst to leave employees without compensation during the holiday season. He noted that the impending insolvency proceedings would shed light on Windhorst's business dealings. The state government remains committed to facilitating the search for a new investor for the shipyards.
