Administrator confirms Signa Prime Selection funding for operations

The administrator stated that Signa Prime Selection, a unit of the Austrian property group Signa responsible for managing its most valuable assets, has the capability to finance its operations during insolvency proceedings. However, concerns persisted regarding an imminent shortage of cash. Europe's property crisis has claimed Signa as its most significant casualty so far. The holding group, situated at the core of a complex network of approximately 1,000 companies, declared insolvency in November. Subsequently, in December, two crucial units, namely Signa Prime and Signa Development Selection, followed suit. Established from scratch by entrepreneur Rene Benko, aged 46, taking advantage of exceptionally low interest rates, Signa experienced rapid growth. It engaged in the construction and acquisition of property developments and retail chains primarily in German-speaking cities and even ventured as far as the United States, where it shares ownership of New York's Chrysler Building. According to a statement from the law firm Abel during Signa Prime's initial creditors' meeting, a pivotal phase in the insolvency proceedings, it was asserted that the continuous funding for Signa Prime Selection's operations is assured as per the presented financial plan. The first creditors' meeting for Signa Development was scheduled to take place later.