ADAM Audio looks to restructure after bankruptcy filing20 November 2014
ADAM Audio, the Berlin-based manufacturer of active studio monitors for the professional audio industry, is restructuring its business, having filed for bankruptcy around a week ago. ADAM was co-founded by Klaus Heinz and Roland Stenz in 1999; Stenz left the company in 2010 to form EVE Audio. (Heinz is pictured here with a pair of high-end ADAM Tensor Alpha hi-fi speakers.)
In a statement delivered on Tuesday, ADAM told PSNEurope:
‘ADAM Audio… had to file for bankruptcy last week with Mr Heinz and the administrator aiming to restructure the company. “Too fast a growth with too many products created a capital demand we could not raise,” declared Klaus Heinz, founder and CEO of ADAM Audio.
ADAM is one of the leading manufacturers of active studio monitors and has had many test reports and reader quotes that have rated the products “extremely favourable”. ADAM is represented in more than 60 countries and works with its own subsidiaries in the USA, the UK and China.
There are currently ongoing negotiations with different investors to convert this positive market acceptance into further growth.
Berlin, Nov 18th 2014.’
Dr Philipp Hackländer, of White & Case Insolvenz GbR in Berlin, was appointed as administrator on Monday 17 November.
The German Insolvency Code (1999) is similar to a Chapter 11 filing in the US, and shifts the emphasis of the process away from liquidation towards reorganisation. The Code entitles employees of a company to be salaried for three months while the administrator strives to rescue the business.
Heinz further confirmed today: “In agreement with the administration, all subsidiaries continue their work.”
In a Facebook exchange posted on 11 November, ADAM Audio replied to a customer that “we have serious delivery problems, this also applies for spare parts”. ADAM expects to resume deliveries of product in the January.