Hellweg and BayWa Bau & Garten to wind down with 35 stores sold and 79 facing closure

Investor agreements and store network breakdown

German home improvement chains Hellweg and BayWa Bau & Garten are being wound down following insolvency proceedings opened in August 2026. The companies confirmed that prospective buyers have been found for 35 of their more than 110 retail locations across Germany. Competitor Obi announced intentions to integrate up to 12 of the locations into its own branch network, while the identities of other buyers have not yet been disclosed. The rescued portfolio comprises 18 Hellweg branches, including sites in Beckum, Berlin, Dortmund, and Essen, alongside 17 BayWa Bau & Garten stores. For the remaining 79 locations, no purchasers have been secured so far. Both the Hellweg and BayWa brand names will be discontinued as third-party operators take over the acquired properties.

Co-restructuring manager Gerrit Hölzle, a partner at law firm Görg, evaluated the partial branch transfer as a positive step under strained market conditions.

Our primary goal was and is to preserve as many locations and thus as many jobs as possible.

Insolvency opening and economic pressures

The companies filed for insolvency in self-administration at the District Court of Essen in mid-June 2026, citing multiple structural market pressures. Management attributed the financial collapse to persistent supply chain bottlenecks, geopolitical uncertainties, general consumer reluctance, rising retail rental costs, and inflation-driven expenditure increases. Hellweg had originally acquired the southern German chain BayWa Bau & Garten from agricultural conglomerate BayWa in 2012, operating it under a licensing arrangement. The District Court of Essen officially opened the self-administration insolvency proceedings on 27 August 2026, appointing attorney Stefan Denkhaus as insolvency monitor.

Workforce impact and branch closures

The liquidation affects thousands of retail and administrative employees across Germany. Hellweg employs roughly 2,900 people across 68 stores, primarily located in the Rhine-Ruhr and Berlin regions, while BayWa Bau & Garten employs approximately 1,300 people across 46 stores, averaging 30 to 35 employees per store. Additionally, roughly 340 administrative employees will lose their jobs through the planned closure of the two corporate headquarters in Dortmund and Garching. Management issued precautionary notices of termination to personnel at all branches that currently lack purchase commitments, including locations in Mettmann, Monheim, Bonn-Beuel, and Sankt Augustin.

Co-restructuring manager Karl-Friedrich Curtze explained the formal necessity of issuing the notices during ongoing restructuring discussions.

The precautionary terminations are necessary to create the required planning security for all parties involved in view of the ongoing proceedings.

Next steps before the November deadline

Operational financing for the retail chains remains secured for the coming weeks. Hellweg and BayWa will continue paying wages and salaries through the end of November 2026 following the expiration of the statutory insolvency allowance period. Transfers for the 35 secured locations remain partially subject to landlord agreements and antitrust regulatory approvals. In Bavaria, prospective buyers have been found for 11 BayWa branches, while the future of 22 other Bavarian locations remains unresolved. Company spokesperson Thomas Feldmann confirmed that discussions with interested parties continue for unsold sites, though all branches without an agreed acquisition will permanently close by late November 2026.