Published
Mon, Dec 1, 2014, 18:33
- The Berlin-based monitor manufacturer cites "too fast a growth with too many products" as the catalyst for its decision to restructure.
Adam Audio has entered bankruptcy proceedings.
Klaus Heinz, who cofounded the Berlin-based monitor company in 1999 and is its CEO, said in a statement that its own growth created the conditions in which the company has to restructure: "Too fast a growth with too many products created a capital demand we could not raise." Citing Adam's high regard within the audio world (we raved about one of their newer lines, the F Range, last year), the statement goes on to say, "There are currently ongoing negotiations with different investors to convert this positive market acceptance into further growth."
News of the filing has been slow to trickle out. In a reply to a November 10th post on the company's Facebook page enquiring about bankruptcy rumors and how they might affect warranties, they said, "At the moment we have serious delivery problems, this also applies for spare parts." A statement was then issued on the 18th, and picked up by the professional audio business site PSN Europe on the 20th. Another Facebook reply late last week said that despite "difficult times here at Adam," the company is hoping to begin resolving some of their product shortages as early as "the beginning of next year (January/ February)."
According to PSN Europe's reporting, the news might not be so dire: unlike Chapter 11 filings in the US, the German Insolvency Code "shifts the emphasis of the process away from liquidation towards reorganisation," and all of the company's subsidiaries will remain active during this period.