The Hamburg-based cosmetics wholesaler Albrecht & Dill Cosmetics has filed for insolvency. Acquired in 2018 by private equity firm ECM, the company can no longer meet its shareholders' loan obligations.WHO: Hamburg-based Albrecht & Dill has roots that go back to 1806 when the company was primarily active in the cocoa trade. In 1950, the company entered the cosmetics industry by taking over the trading partnership with Chanel Parfums in Germany. This laid the foundation for the beauty wholesale trade. The Hamburg distributor sells brands such as Lalique, Goutal, and Yankee Candle. ECM is an independent private equity firm located in Frankfurt with an investment strategy to acquire equity interests in established and well-positioned mid-size companies in the DACH region.WHY: The company, which was sold in 2018, is facing considerable financial challenges due to the financial issues of its owners. The reason for the insolvency application is the loan liabilities of some of the company's shareholders, which could not be met.IN THEIR OWN WORDS: The insolvency administrator Jens-Sören Schröder is optimistic about the future, as the Hamburger Abendblatt quotes from an official report: "We are trying to stabilize the ongoing business operations of Albrecht & Dill Cosmetics. Our goal is to complete the investor process, which began before the insolvency application, by the end of the year."And further: “With a new owner at its side, Albrecht & Dill Cosmetics will have good prospects with its strong know-how from over 70 years of distribution in Germany, Austria and Switzerland.