Baywa Secures Financial Rescue Plan Amid Mounting Debt Crisis

The German agribusiness giant agrees on a restructuring roadmap involving asset sales, job cuts, and a capital increase to stabilize finances by 2027.

• Baywa, Germany's largest agrar-trading company, faces €5.3 billion in debt due to rapid, credit-financed expansion over the past decade.
• A restructuring plan includes a €150 million capital increase and the sale of key assets, including a 48% stake in Raiffeisen Ware Austria for €176 million.
• The company plans to reduce its workforce by 1,300 full-time positions in Germany, representing 16% of its domestic workforce, with additional cuts expected internationally.
• Baywa is considering selling its renewable energy subsidiary Baywa r.e., which has struggled financially, potentially leading to a control shift to Swiss investor Energy Infrastructure Partners.
• The restructuring aims for financial stability by 2027, with nearly all of Baywa's 300 creditors reportedly supporting the plan.

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