End of the line for Gas Gas factory?
By TMX Archives on 27th May 15
Following months of uncertainty Gas Gas Motos SA filed for insolvency (bankruptcy) in the Spanish courts on May 18.
The following statement for the Girona-based company was released through Gas Gas UK.
‘In spite of all efforts to find a solution to the current financial situation and re-structure the company, to date none has been found. In the coming weeks a court appointed trustee will take control of the company but until that date efforts continue to secure the investment required.
‘In the event this fails the court appointed trustee will see that the company is sold and we believe several parties are already involved in negotiations behind the scene to acquire the company as a going concern.'
Gas Gas has reported debts of 24 million Euros owed to banks and financial institutions. The Spanish press has reported an estimated further debt of up to 10 million Euros owed to suppliers and in staff wages etc.
The current Gas Gas shareholders had hoped that these debts could be refinanced or somehow waived and they then intended to refinance and restart production.
When Gas Gas was given a cash injection in 2014 through the Spanish authorities it was a condition that Ossa was included in the deal and Ossa duly moved into the Gas Gas factory. However, it is understood that Ossa is now attempting to disengage from the Gas Gas situation and operate independently again which presumably complicates matters for liquidators.
Factory trials rider Adam Raga will ride a Gas Gas in the Czech Republic this weekend and be looked after by the Spanish Federation via their support truck while he considers his future. Adam has naturally been linked to the new Jordi Tarres JTG project but it is not even known if they have a viable machine currently up and running.
John Shirt Jr reports that the Gas Gas spare parts department is still operational and GGUK is receiving regular deliveries from the factory.
"We have big stocks of spares,” says John, "and even if Gas Gas can't supply certain parts we can buy direct from the actual suppliers/ manufacturers so we have no immediate problem supplying parts.
"This is of course sad news for GGUK and the brand we have pushed since 1988. We are very much still here and are a healthy company and will continue to supply all the Gas Gas dealers and owners out there with spare parts and service for the foreseeable future.”
