Kapsch to acquire insolvent automotive supplier Eitek

Kapsch will acquire the assets of insolvent automotive supplier Eitek in Ebergassing, in the Bruck an der Leitha district, ORF reported. The business will continue under the name Kapsch Automotive and Interior Technologies, or KAITEC, but it remains unclear how many of the company’s 280 jobs will be retained.

Eitek, one of the region’s largest employers, has been undergoing insolvency proceedings since mid-January. According to the Credit Protection Association of 1870, its debts stood at 36 million euros. The association said liabilities would increase sharply if the company were to close.

The company’s revenue had declined steadily in recent years. Eitek was previously owned by Neptune Industries, linked to Indian-American businessman Patrick James. US prosecutors accuse James of billion-dollar fraud, and the prosecutor for the Southern District of New York filed charges against him in January. His global automotive group, First Brands, became insolvent in September 2025.

Eitek has long-term supply contracts for spare parts lasting more than 15 years. Its Ebergassing plant produces textile interior linings for vehicles made by major carmakers, particularly in Germany. However, the allegations surrounding its owner are said to have damaged confidence in the company. In April, creditors rejected a restructuring plan, and the proceedings were converted into bankruptcy proceedings.

Creditors approve takeover

The takeover was announced at a creditors’ meeting on Monday. A purchase agreement was signed the same day and approved by the creditors’ committee and the insolvency court.

Following the closing on October 31, the new investors will continue operations through the newly established Kapsch Automotive and Interior Technologies. Kari Kapsch and former plant manager Stefan Kunz will lead the company.

Kapsch said the investment was based on Eitek’s industrial expertise, technological capabilities, decades of accumulated know-how, committed employees and experienced management.

The new company aims to develop the existing business, attract new customers and gradually use its expertise in additional market segments. Kapsch said many contracts still had to be renegotiated before the end of October, with the goal of giving the plant a sustainable long-term future.

The future of the workforce has not yet been decided. A company spokeswoman said the aim was to retain as many of the 280 employees as possible.

Lower Austria Governor Johanna Mikl-Leitner welcomed the investment, saying it offered the traditional plant a concrete future and a chance to preserve expertise and value creation at the location.