The world’s most famous automotive seat manufacturer is out of money.
On Monday, July 29, Automobilwoche reported Recaro Automotive filed bankruptcy through Germany’s Esslingen District Court.
Recaro Automotive GmbH reportedly has 215 employees at its factory in Kirchheim under Teck, Germany.
Autocar reported employees were caught off guard and not made aware of the bankruptcy filing beforehand.
“We expect all options to be exhausted in order to secure jobs and find a sustainable solution,” major trade union IG Metall said, according to Automobilwoche.
Recaro Automotive is the only division that filed bankruptcy. The company is splintered and complicated. Recaro also makes aircraft, office, and gaming chairs along with baby seats. Those products all come from different divisions, which are unaffected by the bankruptcy filing.
In 2011 Johnson Controls acquired the Recaro Automotive division. Johnson Controls morphed into Adient in 2016, and then sold Recaro Automotive to Detroit-based private investment firm Raven Acquisitions, LLC in 2020.
It’s unclear what the bankruptcy filing means in the immediate future for Recaro Automotive. The company is responsible for producing high-performance seats for various vehicles, including the optional high-back seats in the Ford Mustang Dark Horse.
This article was originally published by Motor Authority, an editorial partner of ClassicCars.com
Source: www.classiccars.com