Kelheim Fibres GmbH has announced that it will terminate business operations as of 31 March 2026, stating that a continuation of the company beyond this date is not possible.

The company said the investor and sales process carried out as part of the self-administration procedure did not result in a positive outcome. A potential strategic investor, which had most recently entered the process, has withdrawn from a possible investment at short notice.

In addition, Kelheim Fibres noted that despite the support of a large proportion of customers and restructuring measures already implemented, it was not possible to secure sufficient off-take volumes required for an economically viable continuation. The company also cited the absence of orders from a key customer.

Following completion of the ongoing run-out production, Kelheim Fibres will implement the measures necessary to initiate an orderly shutdown process.

Employees were informed of the decision and the next steps on 26 January 2026 during an employee and works meeting. The Works Council and the self-administration have agreed a reconciliation of interests and a social plan. A transfer company will also be established to support employees as they transition to new employment relationships.

“The self-administration has examined all realistic options for continuation. As the required commitments – including the approval of a key customer – were not in place, continuation is unfortunately not economically viable. This is a difficult situation for the employees; the focus is now on an orderly wind-down and the best possible support for the employees,” management said.

www.kelheim-fibres.com