Austrian steel trader Pisec Group Holding and its subsidiary, Pisec Group Austria, have officially filed for insolvency with the Commercial Court of Vienna, citing mounting economic pressures and a sharp decline in market demand.
“Despite promptly initiated discussions with banks and potential investors, no viable solution could be found within the limited timeframe available that would have enabled the continued operation of Pisec Group Holding GmbH and Pisec Group Austria GmbH,” management representative Karl Pisec says in a letter to customers seen by Kallanish. “For this reason, the management was compelled to prepare insolvency filings for both companies, which were submitted … April 17th 2025, to the Commercial Court of Vienna.”
Global disruption in commodity markets has severely impacted operations, he notes. This disruption was compounded by a significant drop in demand across major sales markets, especially in the United States and Europe, critically affecting the group’s financial stability.
According to media reports citing creditor protection organisation AKV, Pisec maintained long-standing strategic relationships with Belarusian steelmaker BMZ. Pisec Group Austria GmbH was responsible for the independent distribution of BMZ products to Western companies. Belarus, similar to Russia, is heavily sanctioned by the West following its involvement in the war in Ukraine.
KSV, another creditor protection organisation, reports that the insolvency of Pisec Group Holding GmbH will affect eight employees and 14 creditors. Debtor information indicates that liabilities are estimated at approximately €109 million ($124m), with about €78.5m consisting of guarantees for bank liabilities of subsidiaries.
Some parts of the group could continue to exist in order to manage the liquidation process, according to Kallanish sources. This refers particularly to the group’s operations in the United States and Poland, although these operations are likely to continue only until inventories are sold off.
Pisec Group Holding did not respond to Kallanish request for comment.
Founded in 1950, Pisec Group was active in trading of raw materials and steel products. According to the company’s website, Pisec Group Austria GmbH, headquartered in Vienna, operated several international sales offices. Its offices in Miami and New York served customers in the Americas with specialty steel products. An office in Katowice, Poland, focused on long and flat steel products sourced globally. Additionally, the group maintained a sourcing office in India.
In 2022, the group expanded further through the acquisition of the ESB Group, strengthening its presence in Central Europe with a focus on flat-rolled products, individually cut to meet customer requirements.
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