Negotiating with the Treuhandanstalt: Solvay and the Bernburg Soda Ash Plant (A)

Published 01 Jan 1994
Reference 4264
Region Europe
Length 17 page(s)
Language English
Summary

Following German unification, Solvay S.A. tried to recover a soda ash plant it had operated in pre-second World War (East) Germany. Part one of the case traces the negotiations, which occurred between Solvay and the German Treuhandanstalt and the obstacles which Solvay's restitution bid encountered. Part two portrays the outcome of the negotiations.

Teaching objectives

To identify some of the problems and pitfalls that may be encountered by firms trying to acquire companies in the former communist-controlled states of Eastern Europe and provide some insights as to how they may be overcome or avoided.

Keywords
  • Solvay
  • Treuhandanstalt
  • Privatisation
  • Restitution
  • Germany.