European Heat Treat Industry Supplier Enters Bankruptcy
Heat treating around the globe can generally be described as “blah” these days in terms of sales with most captive and commercial heat treaters describing business as being mediocre. However in Europe heat treat business conditions can be described as “bad” with most heat treaters down 20-30% in 2025. This in turn is hurting suppliers to the industry and in one particular case has lead to bankruptcy.
AVION Europa GmbH & Co. KG, in Hagen, Germany has been a supplier to the European heat treat industry since 1994 and up until just a year ago the firm was doing quite well “Avion Europe a Growing Force in the German Heat Treat Market”. However business conditions changed quite quickly in the past year and May 6th the firm was declared insolvent.
“Hagen, May 6, 2025 – The Local Court of Hagen has ordered provisional insolvency administration as part of the insolvency proceedings over the assets of AVION Europa GmbH & Co. KG, with its registered office at Profilstraße 6-8, 58093 Hagen, ordered provisional insolvency administration. The measure was issued on May 6, 2025 at 1:05 p.m. under file number 109 IN 61/25.
The company, which is entered in the commercial register of the local court of Hagen under HRA 3499, is legally represented by its general partner, Heat Alliance GmbH, Warmbüchenstraße 15, 30159 Hanover, which in turn is entered in the commercial register of the local court of Hanover under HRB 210638. Heat Alliance GmbH is represented by its managing directors Mr. Sebastian Köchling and Mr. Roland Caminades.
Andreas Grund, Grabenstraße 28, 58095 Hagen, has been appointed as provisional insolvency administrator. He is now responsible for controlling the debtor’s business activities during the preliminary phase of the proceedings.
Pursuant to section 21 (2) no. 2 2. alt. InsO, it was ordered that disposals of the assets of AVION Europa GmbH & Co. KG are only effective with the consent of the provisional insolvency administrator. This means that any financial or legal action by the company is subject to the prior approval of the administrator.
In addition, third-party debtors were prohibited from making payments to the company unless they are made with the consent of the provisional administrator. The latter is expressly authorized to collect bank balances and other claims of the debtor and to dispose of incoming funds (Section 23 (1) sentence 3 InsO).
To further stabilize the financial situation, all enforcement measures against the debtor were also prohibited, unless they relate to immovable assets. Measures already initiated are suspended for the time being (section 21 (2) no. 3 InsO).
With the order for provisional insolvency administration, a decisive phase now begins in which it will be examined whether the company can be restructured or whether regular insolvency proceedings must be opened. AVION Europa GmbH & Co. KG, whose activities are presumably in the industrial or technological sector, now finds itself under insolvency law control – a step that is associated with tension and uncertainty for creditors, business partners and employees.”
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