On Monday, the company BBS Wheels goes bankrupt for the third time. The company filed bankruptcy at the Rottweil court in Germany.
The company released a statement about the bankruptcy,
“This was a necessary step to prevent imminent insolvency within the coming months due to sudden omission of confirmed payment.”
According to the statement, financial difficulties have hit them during the 50th year anniversary of the company.
“Time of change lies ahead but together we will release the energy and strength which will be needed to preserve the legendary BBS brand and secure its future.”
In a press release, it was said that BBS Wheels goes bankrupt because of the falling demand for tuning products due to the COVID-19 pandemic. The lockdown led to a temporary halt of production at both BBS plants in Schiltach and Herbolzheim, Germany.
The halt in production is problematic, as BBS Wheels supplies multiple other automakers companies with its products. These BBS products are ranging from the Toyota GR Yaris to even certain trims of the Toyota Tundra.
“Prior to the insolvency BBS already initiated an extensive turnaround strategy for the whole company. This new strategy based on BBS AM wheels as a focal point will be continued under the guidance of insolvency administrator,” the company’s statement read.
Amidst the bankruptcy, the company announces that BBS Wheels will continue to supply for its Original Equipment and After Market costumers. Therefore, BBS will not completely disappear despite filing for bankruptcy.
BBS Wheels Goes Bankrupt History:
Baumgartner Brand Schiltach (BBS) company was founded in 1970. The company then was named after its two founders Heinrich Baumgartner and Klaus Brand. The Schiltach in BBS was taken from the first headquarters location.
It quickly established its name as one of the most recognizable OE brands today. In 1972, the BBS company make known to the public about the three-piece racing wheels. BBS was founded and become one of the world’s leading producers of high-quality lightweight wheels for sports and passenger cars.
The company BBS Wheels goes bankrupt for the first time in 2007. BBS Wheels was taken over by the Belgian firm Punch International. The firm took over the company’s assets which includes BBS Motorsport & Engineering GmbH, the brand name BBS and the activities of the company’s plants in Schiltach and Herbolzheim, Germany.
Four years later in 2011, the company filed for its second bankruptcy. The second bankruptcy report put even greater damage to the company.
After the second bankruptcy, South Korean firm Nice Corp became the majority owner of the company. The Korean listed industrial group has committed to supporting the implementation of the BBS growth strategy.
The company then appoints it insolvency administrators Thomas Oberle and Mac-Philippe Hornung. Oberle has been hired for the second time after handling the 2011 bankruptcy.
What Makes BBS Wheels One of the Toughest Aftermarket Wheels?
BBS Wheels’ slogan is “perfection of a piece”. This is what pushes BBS to strive in the aftermarket. Providing quality wheels that can be used both for road and race tracks.
What makes BBS great is its ability to achieve the seemingly impossible. The company is able to develop a very light yet at the same time very tough rims that are high performance and visually look great.
Original equipment for leading automobile manufacturers is still a core segment of the company, which is a result of BBS’s high standards of quality and many years of expertise.
BBS Wheels won an award as the Best Brand both in the year 2018 and 2019 by the famous German Auto Motor and Sport magazine.
The company’s common thread success story lies behind the passion for motor racing and the pursuit of perfection.
Jeffry Jeve , News Fior Author, is a dedicated Freelance Writer and a Blogger who stays organized as much as possible. He became a writer in Modern Writers PH and a Managing-Editor-in-Chief in a school publication named “The Lightseekers”.