The Zoute Grand Prix is organizing a 15th edition in October, although these were anxious months. — © jve
The Zoute Grand Prix appears to have been saved: on Monday a recovery plan was approved by almost all creditors, allowing the fashionable car event to continue to exist. The company is struggling with a debt mountain of 4.5 million euros, although CIM Capital is also providing a significant capital injection in the short term. “The relief is great,” says Filip Bourgoo.
READ ALSO. “Takeover is imminent”: investment fund wants to solve financial problems of Zoute Grand Prix
The prestigious car event was in trouble for a while: corona had made a major impact at the time. In 2020 and 2021, a full-fledged edition could not be organized due to the pandemic. And those years remained like a millstone around the organization’s neck.
“Ready for a new start”
In total, the Zoute Grand Prix incurred a debt of 4.5 million euros, including 1 million euros to VLAIO (Agency Innovation & Entrepreneurship). In February, the company filed for judicial reorganization. A capital increase would be done by business doctor CIM Capital, but first a recovery plan had to be approved. And that finally happened on Monday in the court of Bruges.
READ ALSO. Zoute Grand Prix has a debt pit of 5 million euros (but remains protected until May 11)
62 of the 64 remaining creditors agreed to the plan. “A big relief after a very hectic day,” says Filip Bourgoo, organizer of the Zoute Grand Prix. “We worked day and night to save our baby. And sacrificed all our free time. Fortunately with results.” The company was officially saved without any accidents. The capital increase can come quickly, although no appeal procedure may be initiated in court. “But that chance is extremely small,” Bourgoo knows. “Almost all suppliers agreed to our plan. The Zoute Grand Prix is therefore ready for a new start.”
Ten thousand revolutions
The company comes under the wing of CIM Capital, which therefore provides a significant capital injection. “We are extremely grateful to them for their support. Because of them we are now stronger than ever,” says Bourgoo. “The story of the facts has always been clear: without corona we would never have gotten into trouble. Yes, we have had some scary and stressful months. That is only logical. But now we mainly want to look ahead.” (read more below the photo)
Filip Bourgoo (right) has been organizing the event for years with his brother David (left). — © IF
And that is necessary, because the 15th edition of the famous classic car race is scheduled for October 3 to 6, 2024. Knokke-Heist thus retains one of its largest and fashionable crowd pullers. Every year, hundreds of thousands of car enthusiasts descend on the coast to see hundreds of expensive cars up close. “Now that we have received good news, our engine is revving up tenth thousand touring,” Filip grins. “This provides a huge energy boost. We are still full of plans and projects for the Zoute Grand Prix, so we are going to give up a lap.”
Tags: Zoute Grand Prix saved creditors approve recovery plan worked day night KnokkeHeist
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