Insolvency drama at Kodi: 80 branches close, thousands affected!

Insolvency drama at Kodi: 80 branches close, thousands affected!

The discounter chain Kodi faces a decisive phase of your company history. On March 1, 2025, the company opened bankruptcy proceedings, which brings serious consequences for employees and branches. Kodi, which specializes in non-food products, is now forced to close 80 of their 230 branches and to dismiss more than 520 employees. This step was preceded by a protective shield procedure, which was requested in November 2023 due to impending insolvency and over -indebtedness, as reported [merkur.de]

An investor has already agreed to take over 150 of the branches, which means that around 1200 employees can remain employed in these locations. However, details about the investor and the specific branch locations have not yet been made public. According to [infranken.de], 480 employees must expect dismissals in the branches to be closed and 40 at the headquarters.

upcoming branch closures

The closings are already in full swing. A sale will be announced by the end of May at several locations. The affected branches include Wülfrath, Velbert and Heiligenhaus, which close by the end of June. The closures for the end of May are also planned in Steinfurt-Borghorst and Witten. The rental agreement in Heiligenhaus even ends at the end of June, so that an earlier closure is also indicated here. In addition, a closure in Wesel was determined on April 29, also with sales actions. [Merkur.de]

In the remaining branches, customers are already setting up empty shelves because no new goods are ordered. This development is part of the measures that the company takes to consolidate itself under the new investor.

The bankruptcy and its consequences

The bankruptcy of Kodi reflects the challenges with which many companies in Germany are faced. According to [Statista.com], there were around 110,200 insolvencies in Germany in 2023. This number drops compared to 2013 when around 129,300 procedures were opened, but there is still a worrying trend. The service sector, which is 59% of corporate bankruptcies, is particularly affected.

The bankruptcy regulations, according to which such procedures are processed, aims to create a fair compensation between over -indebted debtors and their creditors. The Kodi creditor committee has already approved the takeover by a consortium around Richard Nölle, which could give the company new hope. Nevertheless, the market remains tense, and the negotiations for the unobployed branches have so far show little chances of success. [Infranken.de]

How to continue developing at Kodi remains to be seen. The uncertainty on the market and the strict financial framework could have further effects on the discounter landscape in Germany.