Restructuring: Restructuring situations. Financing discussions in tense situations
When restructuring existing debt, the primary concern is to secure current liquidity and prepare for difficult discussions and negotiations with all lenders. The aim is to maintain the existing debt line. At the same time, we will support in finding new sources of financing is to have alternatives ready if necessary.
The focus here is on analysing the current situation and preparing a liquidity plan (13-week forecast) with different scenarios to estimate the extent of risks impending through breaches of contract or covenants as realistically as possible.
In later phases of restructuring, it is important to leave the category of special support within the consortium of existing lenders as quickly as possible and to be able to be financeable at normal conditions again. Within the restructuring, a replacement of individual lenders or the restructuring and renegotiation of the entire corporate financing is often unavoidable.