Bankrupt German department store chain reportedly in investor talks
Executives from struggling German department store chain Galeria Karstadt Kaufhof (GKK) are reportedly in talks with US cosmetics group Coty and other investors about a possible takeover of the chain's stores.
The talks were reported by several media outlets, but the provisional insolvency administrator overseeing Galeria Karstadt Kaufhof's bankruptcy proceedings declined to comment on details.
"There are more than two interested parties. We cannot say any more about this at the moment," Stefan Denkhaus told dpa on Wednesday.
A spokeswoman for Coty said she could not confirm reports.
Business Insider reported that the US perfume and cosmetics group is interested in taking over around 60 Galeria stores.
German tabloid Bild, meanwhile, reported that entrepreneur Bernd Beetz, a former Coty boss and former supervisory board member at Galeria Karstadt Kaufhof, is interested in buying the ailing department store group.
Beetz reportedly wants to get the billionaire Reimann family on board for financing the deal.
The Reimann family, who are among the wealthiest people in Germany, hold a majority stake in Coty via the family's Luxembourg-based JAB holding company.
A spokeswoman for the Reimann family denied the plans, according to Bild. Beetz could not be reached for comment.
Galeria Karstadt Kaufhof filed for insolvency last week, the third time the company has filed for bankruptcy in the last three and a half years.
The company, which is owned by Austrian real estate mogul René Benko's bankrupt Signa Group, is looking for a new owner.
According to Galeria Karstadt Kaufhof top executive Olivier van den Bossche, the aim is to preserve the company as a whole. He has argued that, in order to maintain the advantages of a nationwide department store group, a minimum number of locations must be retained.
