Airesis, the parent company of Le Coq Sportif, announced Friday that the sports equipment manufacturer was placed in receivership by the Paris commercial court, “with an observation period of six months on the principle of continuity of exploitation,” according to a press release.
“Le Coq Sportif relies on this procedure to respond to the challenges facing the brand, while wanting to protect its 330 employees and hundreds of indirect jobs,” says Airesis.
The company, in difficulty, indicated in October that it was looking for “financing solutions”.
28.2 million euros loss in 2023
Airesis, which owns 75% of Le Coq Sportif, specifies that the equipment manufacturer had “requested the opening of a judicial recovery procedure with the Paris commercial court”.
“This request was examined by the court during a hearing which confirmed the judicial recovery with an observation period of six months on the principle of continuity of operation,” adds the press release.
“This recovery period is also an opportunity for the company to be able to initiate and finalize discussions with new investors and strategic partners in order to sustain its activity and strengthen its economic model,” explains the company.
Airesis underlines that “the objective is clear: capitalize on the success of the Paris 2024 Olympic and Paralympic Games, which has already demonstrated the ability of Le Coq Sportif to behave as a global brand, while retaining and promoting know-how French industrialists, true pillars of the brand's identity.
According to its financial results for the first half published at the end of September, the group posted a loss of 18.2 million euros compared to a loss of 10.5 million in the first half of 2023, and 28.2 million for the entire last year.
Olympic equipment manufacturer
Le Coq Sportif, which equipped the French delegation during the Olympic Games, also obtained a loan of 2.9 million euros in May 2024 from the Paris 2024 Organizing Committee, of which 150 remained as of September 30. 000 euros to be reimbursed.
The group also obtained a loan of 12.5 million euros in July from the French State, through BPI France Assurance Export.
The company is also in the middle of a dispute with the French Rugby Federation (FFR), which is claiming 5.3 million euros in unpaid amounts from its former supplier.
The company's difficulties are not new. In the 1990s, the brand almost disappeared, before being bought in 2005 by the Swiss investment company Airesis founded by the former boss of Adidas, Robert Louis-Dreyfus, and relaunched from Romilly, once again becoming the equipment supplier for the French XV in 2018.
Like other companies in the sector, it has had to face rising costs of energy, transport, and raw materials in recent months. The State notably came to its rescue by granting it a guaranteed loan of 10 million in 2023, as part of the government plan to aid businesses affected by the economic consequences of the conflict in Ukraine.
