Signa Holding Files for Insolvency Amid Europe's Property Crash

The Austrian property giant's insolvency raises concerns over its shareholding in Selfridges and could disrupt central Europe’s retail sector.

Signa Holding, a major European property and retail group, has filed for insolvency due to a liquidity crisis, marking a significant casualty of Europe's property crash.
Signa's insolvency could impact several high-profile construction projects in Germany, including the Elbtower skyscraper in Hamburg, and has raised concerns over its minority shareholding in Selfridges.
Signa's financial troubles began with the start of Russia's war in Ukraine, which affected the property sector across Europe due to increased construction and energy costs, as well as higher interest rates.
Signa's total debt to lenders is estimated to be at least €13 billion ($14.4 billion), with major lenders including Julius Baer, Credit Suisse, Raiffeisen, Bank of China, Natixis, and UniCredit.
Signa's insolvency could potentially disrupt central Europe’s retail sector, given the company’s ownership of key department stores in the region.