Renowned LPG equipment declared bankrupt
The default of one of the industry’s leaders in innovative LPG injection systems does not come as a surprise. Vialle has never quite recovered from its tight situation, into which it slid in the crisis years 2009. The recent downturn of the European retrofit market for the installation of Autogas systems of recent years completely collapsed exacerbated the already dire situation.
Vialle’s bank along with the seven shareholders, including three members of the management, have stepped up several times in recent years, injecting needed capital. The latest attempts by management, however, to raise additional financing did not succeed.
Big layoff in 2009
Of the 120 employees in 2009 only 44 were left until last Wednesday. Around sixty staff members had to be laid off after Vialle had suffered a substantial loss in revenue. In the past few years have all kinds of cost savings been implemented.
The recent slump of automotive sales affected Vialle and to a lesser extent also other companies in the sector. All time low fuel prices reduce the need to search for more cost effective alternative fuels. Only shortly before the crisis began, Vialle was headed for a doubling of sales. Vialle also boasted cooperations with large multinationals like Ford, Volkswagen, Suzuki and Hyundai, who been Vialle customers for years, even the truck manufacturer DAF, also from Eindhoven.
On a short-lived after it for Vialle not been good, says director Rutten, who is one of seven shareholders. In recent years, again several smaller restructurings implemented to address the issues head. The past year for five years, almost every year of losses. In the most recent annual reports has still expressed the hope that a slimmed Vialle could survive.
Turnover below € 10 million
In 2013, the latest year for which figures are filed, Vialle made a loss of € 2.5 million on revenues of only € 8.4 million. The court will appoint a trustee in the short term, which will include check or Vialle in any way is still viable.
Rutten does not speculate about a possible restart. But he says, “Vialle is a familiar name with known products. I can not imagine that any interested parties will join to the curator.”