68-year-old Turkish textile firm on the verge of bankruptcy
The interior of Akin Textile’s factory in Kırklareli, Türkiye, equipped with advanced weaving and textile machinery, on Mar. 19, 2025. (Photo via akintekstil.com.tr)
One of Türkiye’s leading textile companies, Akin Textile, has filed for concordatum to avoid bankruptcy, the company announced on Tuesday.
In a statement to the Public Disclosure Platform (KAP), the company cited legal disputes initiated by minority shareholders as the primary reason for the decision, stating that these lawsuits have severely restricted its access to financial resources and rendered working capital inaccessible.
The statement also noted that the court has granted Akin Textile a temporary three-month reprieve. “Our company will continue its normal operations, and negotiations will be held—primarily with banks and other creditors—to restructure our existing debts,” the company said.
“We aim to navigate this challenging period smoothly by restructuring our debts into reasonable payment terms as outlined in the report submitted to the court,” it added.
Founded in 1956, Akin Textile is a publicly traded company listed on Borsa Istanbul (IST: ATEKS), with its shares losing 9.99% following the announcement, triggering a circuit breaker.
Turkish textile companies have been struggling with rising costs, labor shortages, and competition from Egypt, as 3,497 companies filed for concordatum in 2024—the highest level in the past five years.
Concordatum is a legal arrangement in Türkiye that allows financially distressed companies to restructure their debts and avoid bankruptcy. It provides a temporary moratorium, preventing creditors from taking legal action while the company negotiates new repayment terms.
