Tech
Native Instruments Enters Pre-Insolvency Restructuring: An Analysis Based on Official Documents
On January 26, 2026, Native Instruments GmbH and Native Instruments Group GmbH filed applications at the Charlottenburg Local Court in Berlin to open pre-insolvency proceedings under German law. The court appointed Prof. Dr. Torsten Martini as provisional insolvency administrator for both entities and issued protective orders prohibiting compulsory enforcement measures (except on immovable assets) and requiring any dispositions by the debtors to receive the administrator’s consent.
Native Instruments, a prominent player in the music production industry, has initiated pre-insolvency proceedings in Germany, as evidenced by court orders and a public statement from its CEO. This development follows closely on the heels of a major corporate transaction approved by the European Commission. Drawing exclusively from the provided regulatory decision, court filings, and CEO’s statement, we examine the timeline, legal actions, and stated implications for the company. The proceedings involve Native Instruments GmbH and Native Instruments Group GmbH, with references to additional holding entities, highlighting a structured approach to addressing financial challenges while maintaining operations.
On December 4, 2025, the European Commission issued a decision under the EU Merger Regulation (Council Regulation (EC) No 139/2004) regarding Case M.12232 – Bridgepoint / Bain Capital Credit / Native Instruments Group. The notification for this proposed concentration was received on November 11, 2025.
In this transaction, Bridgepoint Group Holdings Limited (based in London, United Kingdom, and ultimately controlled by Bridgepoint Group plc), a private market growth investor specializing in private equity, infrastructure, and private credit, and Bain Capital Credit L.P. (based in Boston, United States, part of the Bain Capital Credit Group), a credit specialist investing in leveraged loans, high-yield bonds, structured products, private middle market loans, and other credit-related strategies, acquired joint control over the whole of Native Instruments Group GmbH (based in Germany) through the purchase of shares.
Native Instruments Group is described in the decision as an entity that develops and supplies software and hardware tools for music production. The Commission concluded that the operation falls within the scope of the Merger Regulation and qualifies for simplified treatment under paragraph 5(c) of the Commission Notice on a simplified treatment for certain concentrations. Consequently, the Commission decided not to oppose the transaction and declared it compatible with the internal market and the EEA Agreement, pursuant to Article 6(1)(b) of the Merger Regulation and Article 57 of the EEA Agreement.
This approval marked a significant shift in ownership, positioning Bridgepoint and Bain Capital Credit as joint controllers of Native Instruments Group just weeks before the insolvency-related filings.
Less than two months after the merger approval, on January 26, 2026, applications were filed for the opening of insolvency proceedings over the assets of two key entities: Native Instruments GmbH and Native Instruments Group GmbH. These filings were processed at the Charlottenburg Local Court in Berlin, under file numbers 3612 IN 602/26 and 3612 IN 604/26, respectively.
Native Instruments GmbH (Case 3612 IN 602/26)
This entity, located at Schlesische Straße 29–30, 10997 Berlin, and represented by managing director Bernhard Schütze, is registered at the Charlottenburg Local Court under Commercial Register HRB 72458. Its business purpose is the development, marketing, and distribution of software, hardware, content, and services in the fields of music and audio technology.
The court order, issued at 5:15 p.m. on January 26, 2026, invokes Sections 21 and 22 of the German Insolvency Code (InsO) to prevent detrimental changes to the debtor’s financial situation until a decision on the application is made. Key provisions include:
- Prohibition on Enforcement Measures: Compulsory enforcement actions, including attachments or preliminary injunctions against the debtor, are prohibited (except for immovable assets). Any ongoing measures are provisionally suspended, as per § 21 para. 2 no. 3 InsO.
- Appointment of Provisional Insolvency Administrator: Mr. Attorney-at-Law Prof. Dr. Torsten Martini, based at Kantstraße 164, 10623 Berlin, is appointed. The administrator’s role is to secure and preserve the debtor’s assets through supervision and to examine whether the assets will cover the costs of the proceedings. The administrator is not the general representative of the debtor.
- Restrictions on Dispositions: Any dispositions by the debtor over assets of the estate are effective only with the administrator’s consent.
- Authorizations: The administrator may establish a special account for the future insolvency estate, collect bank balances and claims, and receive incoming funds. Credit institutions must provide information to the administrator.
- Payment Instructions: Third-party debtors are prohibited from paying the debtor and must pay only to the administrator. The administrator is instructed to serve this order on such debtors and provide proof.
- Access Rights: The administrator can enter business premises, conduct investigations, access books and records, and receive necessary information from the debtor.
Native Instruments Group GmbH (Case 3612 IN 604/26)
This holding entity, also at Schlesische Straße 29–30, 10997 Berlin, represented by the same managing director Bernhard Schütze, is registered under HRB 225514. Its business purpose involves the acquisition, holding, disposal, and management of shareholdings in other companies, as well as holding and managing own assets.
The court order, issued at 6:00 p.m. on January 26, 2026, mirrors the provisions for Native Instruments GmbH exactly, including the same protective measures, appointment of Prof. Dr. Torsten Martini as provisional administrator, and identical restrictions, authorizations, and access rights.
Both orders detail options for immediate appeals, which must be filed within two weeks at the Charlottenburg Local Court. The appeal period starts from pronouncement, service, or effective public announcement on www.insolvenzbekanntmachungen.de. These proceedings are preliminary in nature, providing a protective shield to allow for potential restructuring before full insolvency is opened.
In a direct statement, CEO Nick Williams addressed the developments, emphasizing operational stability. He assured that business continues as usual at Native Instruments, iZotope, Plugin Alliance, and Brainworx. Hardware and software products remain on sale, available for download and activation. Teams are supporting customers normally, continuing product development and launches, and processing Kontakt Player licenses and NKS Partner submissions. Williams confirmed that Native Instruments GmbH has entered a restructuring process in Germany, along with three German non-operating holding companies. Legally, these are applications to open pre-insolvency proceedings. The focus is on securing a healthy, financially sustainable future while providing continuity for creators, customers, and partners. He committed to sharing further updates and reiterated his personal passion as a lifelong musician and 25-year fan of Native Instruments, underscoring the ongoing mission to inspire and enable creators through sound.
Based on the documents, these pre-insolvency proceedings represent a proactive step under German law to safeguard assets and operations during financial assessment. The provisional administrator’s supervision ensures controlled management, with dispositions requiring approval to prevent further deterioration. The close timing after the Bridgepoint and Bain Capital Credit acquisition suggests an evolving corporate strategy, though the exact interplay is not detailed in the provided materials.
The CEO’s emphasis on continuity aligns with the protective intent of the court orders, which do not halt business but impose oversight. Future developments may include a decision on opening full insolvency proceedings, potential appeals, or restructuring outcomes, as governed by the InsO. Stakeholders can expect updates from the company, with legal notices available through public channels like the insolvency announcements website.
This situation highlights Native Instruments’ efforts to navigate challenges while preserving its core activities in music and audio technology, as outlined in the official records.
Currently Native Instrument owns products like: Kontakt 8, Komplete 15 (including Standard, Ultimate, and Collector’s Edition variants), Massive X, Guitar Rig, Reaktor, Traktor Pro, Maschine (including Maschine, Maschine Mikro, and Maschine+), Komplete Audio interfaces, Traktor DJ controllers and systems, Expansions genre-specific packs, Komplete Start free bundle, iZotope audio tools (integrated via acquisition), Plugin Alliance and Brainworx effects plugins, NKS-compatible MIDI controllers and keyboards
Sources: https://ec.europa.eu/competition/mergers/cases1/202550/M_12232_10834693_102_3.pdf