Padel X Oy and Nordic Padel Oy (Open Padel) have filed for corporate restructuring with the Helsinki District Court. The aim of the restructuring is to focus operations in the Helsinki metropolitan area to ensure the long-term viability of the business despite changed economic and market conditions. Daily operations will continue as normal without an impact on customers or services.

The Finnish padel market has grown strongly in recent years. However, the supply of padel courts has increased faster than the number of players in many cities. Currently, supply exceeds demand in many local markets, creating challenges for industry operators. Also, the downturn in the Finnish economy combined with the decline in consumers' purchasing power has negatively impacted the demand for padel courts.

A key objective of the restructuring is to exit unprofitable locations. Both companies have tried ending lease agreements amicably with landlords before restructuring. Unfortunately, not all negotiations have yielded results. As a result, both companies have filed for restructuring.

"We have done everything we can to continue operations on all of our current locations. Unfortunately, difficult market conditions combined with the economic downturn have forced us to make difficult decisions. Through corporate restructuring, we can focus our operations on profitable locations and ensure that the business is on sustainable footing – something that is in the best interest of all stakeholders", states Iivari Lappalainen, Chairman of the Board.

In the future, operations will mainly focus on the Helsinki metropolitan area where padel market is stable and both companies have strong market positions. Operations in the Helsinki metropolitan region are also profitable, ensuring the long-term viability of both companies.

"Our top priority is to ensure that our amazing padel community can continue to thrive and play in the best possible conditions while also taking care of all of our employees. The business in the capital region is profitable and the market is healthy. Although we’ve had to make difficult decisions, the future is now looking bright.", says CEO Marius Van Andringa.

Padel X Oy and Nordic Padel Oy will continue their operations normally during the restructuring. In the future, through restructuring, both companies can strengthen their position in the padel market and continue to offer high-quality padel experiences to their customers.

For further information:
Marius Van Andringa, CEO, marius@padelx.fi 
Iivari Lappalainen, Chairman of the Board, iivari@padelx.fi