Restructuring and Turnaround
In turbulent and unstable economic conditions many companies face financial distress and a lack of liquidity. Our experienced team have worked on numerous complex multi-lender restructuring cases, with debt exposures of up to USD10 bln. We offer and deliver comprehensive restructuring advisory and turnaround services, including:
- giving lenders an independent view of the borrower to assess their refinancing, repayment, and recovery options
- providing expert opinions and leading the negotiation process with creditors
- integrated services: business analysis, creating financial models, and scenario analysis to help assess restructuring options for all participants
- turnaround strategies for underperforming businesses to stabilise cash and liquidity positions and buy time for negotiations
- identifying all transformation opportunities and turnaround services to quickly get you from crisis mode to a path for growth
Financial restructuring
- Independent business reviews (to help assess a borrower’s current and forecast cash position and determine base case CFADS for a restructuring scenario)
- Creating a financial model to help analyse and determine restructuring scenarios / options
- Coordinating stakeholders and advisors in restructuring negotiations
- Scenario and sensitivity analysis to identify low and optimistic cases and consider potential implications for a restructuring agreement
- Drafting with legal advisors the financial terms of a restructuring termsheet
- Elaborating a set of post-restructuring KPIs, controls, and monitoring procedures
- Designing cash sweep mechanisms in a situation where a fixed amortisation schedule is not an optimal restructuring solution
- Post-restructuring monitoring and reporting to lenders
Turnaround
- Working capital management: analysing the structure and level of a company’s working capital, and benchmarking it against peers to determine the full potential for working capital reduction and cash realisation
- Cost reduction and converting opportunities into real savings
- Cash management and cash flow improvement
- Short-term liquidity improvement and planning
- Preparing and reviewing financial models (incl. various scenarios) and business plans
- Executing turnaround plans
- Implementing all turnaround and transformation phases to meet stakeholder objectives
