Merkur / Dovo bankruptcy - can anyone confirm ?

[Pappa Piccolino]

Hi all.

I was just watching the latest geofatboy video, reviewing the Merkur 25C - someone in the comments section wrote that the Merkur company has filed for bankruptcy.

Can anyone confirm this ? I can't find anything on the internet, certainly not in English.

Thanks

 

[Cracker]

Dovo/Merkur filed for bankruptcy

In case you didn't hear about it: mid April 2020 Dovo/Merkur in Solingen / Germany filed for bankruptcy. Dr. Marc d’Avoine (an attorney) of ATN d’Avoine Teubler (a law firm) is instated to process the insolvency. At this moment they look for investors to survive, otherwise it wil be shut down...

www.badgerandblade.com

 

[Pappa Piccolino]

Oh, I see. Thanks Cracker. Much appreciated. Sorry for the doubling up.

There seems some uncertainty as to whether the Merkur part of the company will be affected or not.

 

[sarimento1]

indeed, it had already been tough for Merkur to compete, what with fragmentation and softness of razor market, plus Chinese competition at $8 for $70 Futur copy, thread here.
virus just was nail in the coffin.

 

[Badgerstate36]

I thought that they filed for insolvency? Thats not quite the same thing as bankruptcy.

 

[Pappa Piccolino]

The little information that exists is mostly in German, so it's hard to know exactly what s happening. I'm sure not even the company knows what's going on.

Without wanting to appear selfish, my main interest is in the Merkur side of the company, and I hope that nothing changes in this space.

 

[Cracker]

Well, I don't know the difference between bancruptcy and insolvency in English. In the German context insolvency would be the better term I think (but I'm not sure). It's mainly a process to protect investors, creditors, dept holders as well as employees and customers.

And yes, it seems that the insolvency is only for DOVO whereas Merkur is still a legally independnt entity. But all production was done by DOVO. Therefore it is highly unlikely that Merkur with only five emplyees can survive on it's own (exept maybe if they get their stuff from China, India or Pakistan in the future).

There is still hope for investors so business maybe can go on.

 

[RayClem]

Once of the problems in the razor market is that most of the patents for razors and razor blades expired years ago. Thus, there is nothing to prevent a third party from copying older designs. Even many of the Merkur designs are copies of early Gillette razors.

However, trademarks such as Dovo and Merkur still have value. Any manufacturing equipment and supplies in serviceable condition could be sold if the company dissolves. But an investor or conglomerate could come in to rescue the company.

It is my understanding that Merkur is a subsidiary of Dovo with Dovo controlling the manufacturing. Thus, if Dovo shuts down, it is likely that Merkur goes with it.

 

[sarimento1]

maybe someone like Harry's will snap it up, simply for the marketing tagline, "Made in Germany".

 

[Invicta]

They filed in April so this going to run for a few months till business gets going in Germany; bad timing for the company.

 

[Pappa Piccolino]

Thanks gents. Appreciate all your posts.

I'm in two minds about whether or not to stock up on an extra German made 34C and / or 37C.

 

[Cracker]

I don't know about the 34 or 37, but if you want to buy the Bakelite Merkur razor buy it now, because that one went out of production unrelateed to the insolvency.

 

[Pappa Piccolino]

Hi Cracker. Thanks for your continued interest - much appreciated.

 

[BigJ]

I suggest adding a new 34C and/or 37C to your stable!

Worst case scenario is that they will be there when you need them. If not, you can always use them for graduation presents.

 

[Benzadmiral]

I'm glad I grabbed my Progress when I did. With the rumors the prices will probably go up anyway, and if Merkur does really fold, good examples of the Progress will be at a premium.

 

[RayClem]

I'm glad I grabbed my Progress when I did. With the rumors the prices will probably go up anyway, and if Merkur does really fold, good examples of the Progress will be at a premium.

If the Progress is no longer available, you can always purchase the Parker Variant whose design is much like the Progress. They are not identical, so some might prefer the Merkur and some might prefer the Parker. I prefer the metal tip of the Parker to the plastic tip of the original Progress.

 

[Benzadmiral]

If the Progress is no longer available, you can always purchase the Parker Variant whose design is much like the Progress. They are not identical, so some might prefer the Merkur and some might prefer the Parker. I prefer the metal tip of the Parker to the plastic tip of the original Progress.

True. I do like the plastic tip; as someone here said, it is much like the design of the controls on a 1950s Mercedes!

 

[Pappa Piccolino]

Thanks gents, appreciate those replies. BigJ and Cracker, good advice. Thanks.