Distressed Company

Representing corporate debtors in Chapter 11 proceedings and out-of-court restructurings

The financial restructuring team represents distressed companies and borrowers in in-court Chapter 11 proceedings as well as in out-of-court loan workouts and recapitalizations. Every client’ssituation is unique, and we devise inventive and practical solutions that meet the client’s business and financial goals and comply with the Bankruptcy Code and other legal requirements.

Chapter 11 proceedings

Our lawyers help Chapter 11 debtors restructure debt, reassess business plans and negotiate (or impose) new capital structures. Corporate debtor clients have included RCS Capital Corporation, M*Modal, Constar International Holdings, Arclin US Holdings, Bayou Hedge Funds, Crunch Fitness, Jancor Companies, Inc. and ProRhythm, Inc.

Pre-negotiated plans

We have notable experience representing debtors in pre-negotiated plans.

Strategies for out-of-court restructurings

Our team advises clients on pre-arranged and pre-packaged plans of reorganization, debt conversions, strategic mergers, venture capital financing, refinancing and exchange offers. We have used these strategies for clients in the automotive, energy, financial services, gaming, homebuilding, manufacturing, real estate, retail and telecommunications industries.

We have played lead roles in the restructuring of large revolving asset-based loans, real estate term loans and defaulted bond issuances and, more recently, in workouts of complex asset securitization and leveraged lease transactions.

Sales outside a plan of reorganization

After filing a petition seeking reorganization relief under Chapter 11, a distressed company may have to sell its business or substantially all of its assets as a going concern in a Section 363 sale. Our lawyers advise on Section 363 sales and other tools available to sell off assets outside a plan of reorganization.