Struggling Netherlands group Royal Imtech N.V. has been declared bankrupt by Rotterdam court, following failure to reach agreement with its financiers after days of intensive discussions.

The Rotterdam District Court has declared Royal Imtech N.V. bankrupt at the request of the administrators. In addition, subsidiaries Imtech Capital B.V., Imtech B.V. and Imtech Group B.V. also have also been declared bankrupt. The administrators during the suspension of payments have been appointed as trustees in bankruptcy. 

Imtech UK and Ireland, which is not subject to the administration, is continuing to trade as normal and is now operating under the sole control of the UK management team.

Royal Imtech’s Marine and Nordic divisions have been set outside of the group under the control of Imtech's financiers with a view to a sale of all or parts of the divisions to ensure as much as possible the continuation of their businesses and the continued employment of their 7,300 employees. The objective is to preserve as much as possible other parts of the group

 The company has been informed by its financiers it is envisaged that Imtech Marine will be sold to Pon Holdings and Parcom Capital and that a sales process for the Nordic division is ongoing and expected to be concluded in the short term.

No other companies in the Imtech group are subject to insolvency proceedings, apart from Imtech Germany.

In a statement, Royal Imtech said it has been assured by the trustees in bankruptcy that they are geared to preserve as many Imtech group companies as possible in the interests of all creditors, employees and other stakeholders. The group has also been told that a number of parties have expressed a genuine interest to take over viable parts of the business.

The statement says:

“It is noted that as Imtech's divisions, including Marine and Nordic have been pledged to Imtech's financiers, the financiers are entitled to all proceeds of any sale or other transaction in relation to those companies. It is not envisaged that Royal Imtech and its shareholders will enjoy financial benefit from any such current or future transactions.”

“To facilitate the process set out above and transactions to further secure as much as possible the interests of creditors and jobs of as many employees as possible, it is conceivable that Imtech subsidiaries will be granted suspension of payments or will be declared bankrupt. The trustees in bankruptcy will decide whether and when such steps will be taken.”