Schwabach Clinic: Diakoneo files for bankruptcy – what now?

Schwabach Clinic: Diakoneo files for bankruptcy – what now?

The insolvency of the Schwabach Clinic has caused quite a stir in the region. The Protestant social group Diakoneo recently filed for self-administration insolvency for its facility. Loud Sunday paper The insolvency court in Nuremberg ordered insolvency administration on July 11th. Around 500 employees are affected, but they are covered until September thanks to insolvency benefits from the Federal Employment Agency.

This development comes as no surprise: the clinic has been struggling with significant financial difficulties for years. Diakoneo tried to sell the loss-making hospital better last year after acquiring the remaining shares from the city of Schwabach for one euro. But efforts to find a buyer were unsuccessful until recently. “The economic situation has become increasingly worse over the years,” said Managing Director Dr. Walter Förtsch. The reasons for this are, as already suspected, the decline in the number of patients since the corona pandemic and inflation-related cost increases.

Prospects for the Schwabach Clinic

Although bankruptcy has been filed, the clinic continues to operate as usual and patient care remains unaffected. Diakoneo plans to develop a viable business concept for the clinic in Schwabach and the Roth district clinic. Currently, selling the health division to new providers seems to be an option, as there are already several serious offers to purchase the Middle Franconian Health Center.

The challenges surrounding bankruptcy are not unique to Schwabach. The number of insolvencies in the health and social services rose sharply in 2023. Loud Doctors newspaper The frequency of insolvencies was 12.6 per 1,000 companies, which means an increase of over 86 percent compared to the previous year. 673 companies filed for bankruptcy in this sector, highlighting the precarious economic situation in many establishments.

Remaining options and future prospects

The Schwabach Clinic's financial problems are symptomatic of the entire industry. Diakoneo, which has invested tens of millions of euros including management support since joining, could now soon divest itself of its healthcare division entirely. The sales process for several clinic locations, including the Rangau Clinic in Ansbach and the Schwabach Clinic, is dragging on due to tense negotiations.

How the situation will develop remains to be seen, but it is clear that a successful sale to a new owner will be crucial for the long-term stabilization of the facility. The coming months will certainly be decisive for the future of the Schwabach Clinic.