Debt Restructuring Services

The general liquidity crisis, combined with a slow-down in consumer discretionary spending, has resulted in an increasing number of companies having difficulties in servicing debt and/or meeting liquidity requirements. 

In this environment, we can  assist you on addressing liquidity shortfalls and negotiating a restructuring of your debt obligations. The use of an advisor provides useful insight regarding what the Lenders are likely to consider in a restructuring, for example:

  • Is the company viable in its current state?
  • Does management have a firm grasp of the business or are changes needed in leadership?
  • How much liquidity/ “new money” is required to permanently stabilise the business?
  • How is the security package distributed? What is each bank’s exposure?
  • What is the likely scenario in the event of a failure to reach agreement? - Is consolidation in the industry the best way going forward and is such a solution going to be accepted by the lenders?

As independent advisors, we provide objective advice on the business and its prospects, the best approach and route to follow so as to achieve a restructuring of debt obligations and a viable capital structure:

  • Review of Current Financial Position and Company Analysis – review of the Company’s financial position and capital structure.
  • Business Plan and Cash Flow Projections – provision of assistance to Management in the preparation of a business plan and the assessment of operational cash flow, funding requirements and debt servicing capacity.
  • Debt Restructuring Advice and Support – identification of alternative restructuring scenarios and analysis of their impact on the Company’s cash flow and future financial position. Provision of support during discussions and negotiations with the Lenders. 

Recent Successes

  • Provision of debt restructuring advice to a company active in the retail sector – total debt of c. €50 million
  • Provision of debt restructuring advice to a company active in the information services sector – total debt of c. €25 million