Kodi closes 80 branches: The effects on Hessen are fatal!

Kodi closes 80 branches: The effects on Hessen are fatal!

The retailer Kodi faces profound changes, which have now been officially announced. The company decided to close 80 branches in Germany. This decision also affects several locations in Hesse, including the metropolis Frankfurt and Hanau, Offenbach, Hofheim, Langen and Linden. In Frankfurt, the branches on Hedderichstraße and Leipziger Strasse have to close. Kodi, which was founded in Oberhausen in 1981, currently runs a total of around 230 branches in the country and offers a large selection of products in different categories, including cleaning, cooking, decorating, home improvement, textiles and food. The last annual turnover of the company was 130 million euros, such as Fnp reported.

The crisis of Kodi does not manifest itself without warning. On March 1, 2025, insolvency proceedings were officially opened. The economic difficulties are due to "massive loss of sales" and increased costs in areas such as energy, freight and advertising. The discounter generated a similar turnover in 2024, which indicates a stagnating financial situation. According to Ruhr24 , a total of around 480 employees are affected in the affected branches and 40 in the company headquarters Have to expect dismissals.

renovation attempts and challenges

The management of Kodi has already taken measures to stabilize the company situation. An investor was found who is ready to take over 150 of the remaining branches and around 1,200 employees. The purchase contract is about to sign. Nevertheless, the closure of the 80 branches remains inevitable, in which a sale of the goods will take place within the next two months. The company is in a protective shield procedure that enables it to reorganize himself under court of protection. A believer meeting is scheduled for mid -May. Before that, due to expired rental contracts, there have been almost ten branch closures in the past few months, which also illustrates the precarious situation of the company, such as

The wages and salaries of the employees are secured until further notice, while customers can continue to choose from a range of around 2,700 items. Nevertheless, the pressure on Kodi is enormous because the retail trade in Germany is affected by many bankruptcies, especially in recent years. Other big names also reported bankruptcy in 2024, reports Handel-Dhbw which indicates a general problem in the industry.

The closures at Kodi reflect the challenges that retail is currently facing. Rising operating costs, changed consumption behavior and the aftermath of pandemic have forced a large number of companies to their knees. Kodi is just one of many examples that show how brutally the competition and the economic situation in German retail have become.