End of the German Battery Manufacturer - Varta Files for Insolvency

Iconic German battery manufacturer Varta has initiated preliminary insolvency proceedings under self-administration.

Varta also confirmed that the proceedings affect not only the parent company but all companies within the group.

The company primarily attributes its difficulties to deteriorating market conditions.

Just a day earlier, creditors of the once-powerful company called for the group to be broken up, including the separation of its household battery production business.

Creditors, including Deutsche Bank and investment funds RBC BlueBay, Blantyre and Whitebox, explained the proposal by citing the difficult situation at Varta.

Shortly before that, an independent analysis by consulting firm FTI showed that Varta requires several tens of millions of euros to maintain liquidity.

Varta is a company with a history spanning more than 130 years and is headquartered in southern Germany. In addition to batteries for small household appliances, it produces microbatteries, energy storage systems and specialized portable batteries.

It employs 3,260 people and filed its most recent financial report in 2024, when it recorded sales of EUR 793 million and a loss of EUR 64.5 million.

Varta

Deutsche Bank

RBC BlueBay

Blantyre

Whitebox

insolvency