After 130 years: Legendary battery manufacturer Varta files for insolvency
After more than 130 years of operation, the German battery manufacturer Varta has initiated insolvency proceedings. The company attributes the crisis to a combination of declining demand, difficult market conditions, and the loss of a key client – Apple. Despite the proceedings, business operations continue, thousands of employees continue to receive their salaries, and the well-known household battery division is not part of the process.
The German battery manufacturer Varta AG has initiated insolvency proceedings after filing a petition with the court in Stuttgart, following what it defined as a "structural financing gap." Thus, one of the oldest and most well-known battery manufacturers in Europe is facing a significant crisis, just over a year after completing a restructuring process intended to stabilize its financial situation.
The company stated that the crisis stems from a combination of deteriorating market conditions, a decline in demand, negative currency exchange effects, and the decision of a key client to terminate its engagement. Although Varta did not name the client, reports indicate that it is Apple, which stopped purchasing button cell batteries for its AirPods headphones and switched to suppliers from China.
The filing applies to the parent company and several of its subsidiaries, including the micro-battery operations, energy storage systems, and energy management solutions. In contrast, Varta Consumer Batteries — the division that produces household batteries, rechargeable batteries, power banks, and portable lighting products — is not included in the insolvency proceedings.
Despite the proceedings, the company emphasizes that its business operations are continuing as usual. Production, customer service, supply, and support for business partners will continue in accordance with the rules of the proceedings, and employee salaries are also expected to continue to be paid. The company employs approximately 3,300 people.
Varta noted that the group's complex structure made its recovery attempts difficult. According to the company, the financing gap was expected to arise by 2027, and therefore it was decided to initiate the procedure now.
The company had already undergone a significant restructuring process completed in April 2025, during which the shares of previous shareholders were cancelled, debt was reduced, and new capital was injected under the leadership of Porsche and Austrian investor Michael Tojner. However, according to reports, additional funding of tens of millions of euros was required to keep the company operating, and the shareholders did not agree to inject further capital.
At the same time, Varta announced in recent months the closure of certain production at its plant in Nördlingen following the loss of orders from Apple, a move expected to lead to the layoff of about 350 employees.
The company's management announced that it would work to find an investor who could ensure a long-term future for the activities included in the proceedings and preserve jobs as much as possible.
It is important to emphasize that the proceedings do not affect the car batteries bearing the Varta brand, as this activity was previously separated from Varta AG and is currently owned by the American company Clarios, which clarified that production, distribution, warranty, and service continue as normal. The household battery division, which is familiar to many consumers in Israel and around the world, is also not part of the insolvency proceedings.
