Mäc Geiz is facing financial difficulties and has submitted an application for insolvency under self-administration. According to the official portal Insolvenzbekanntmachungen.de, this also affects Retail Services (Germany) GmbH, which is responsible for management. Operations in the approximately 180 branches will continue for the time being but are under review.
The company cites ongoing consumer reluctance, rising living costs, and economic uncertainties as reasons for the insolvency application. Another factor is the termination of the goods credit insurance, as reported by the news agency dpa. Employees will receive insolvency benefits for three months.
Mäc Geiz, which sells everyday products, claims to employ around 1,200 staff. The chain competes with discounters like Action, Tedi, and Woolworth. Despite the general trend of discounters benefiting in economically uncertain times, Mäc Geiz feels compelled to fundamentally restructure, which could include branch closures.
Most of Mäc Geiz's branches are located in eastern Germany. It is currently unclear which specific locations will be affected. The company recently changed ownership; Kodi Beteiligungs GmbH took over the chain from the Retail Group based in Austria.
