German Shipyards FSG-Nobiskrug Enter Insolvency

The FSG-Nobiskrug shipbuilding group, including its two shipyards and design division, has been provisionally declared insolvent by a German court due to a filing from an insurance company. The court appointed Christoph Morgen and Hendrik Gittermann as provisional insolvency administrators to oversee the restructuring efforts. Nearly 500 employees are affected, with some already laid off and facing delays in salary payments, although their wages are temporarily secured through insolvency financing until January 2025. Investor Lars Windhorst, who has faced criticism from local officials, remains managing director and plans to use this insolvency as an opportunity for reorganization. Discussions with clients on ongoing shipbuilding projects are underway, and administrators may seek government support for interim financing to cover construction costs. The insolvency proceedings reflect broader challenges in Germany's shipbuilding industry, including rising costs and declining orders.