We are highly skilled at handling the panoply of restructuring issues our clients face, and collaborating closely with our colleagues in other practice and industry groups. Here are some of the varied types of representations and the industry and sector expertise for which we are globally recognized.
Representation of Debtors
Our global Restructuring & Insolvency team has a long-standing reputation for providing creative, solution-oriented advice and counseling to distressed businesses throughout our extensive global footprint. With a focus on middle-market companies, we have successfully guided our clients through out-of-court restructurings, refinancings, sales and other dispositions, US Chapter 11 and Chapter 15 reorganizations, UK administrations, receiverships and pre-packs and a variety of European insolvency proceedings. And, we are highly skilled at restructuring businesses in virtually every industry and sector, including in cross-border matters. In addition, we frequently represent management and directors of distressed business.
Notable US representations of debtors, boards and management in restructuring and insolvency engagements include:
All American Semiconductor, AMERCO/U-Haul, America West Airlines Inc., AmFin Financial Corporation, ATLS Acquisition (Liberty Medical), British-American Insurance Company Limited, Centrix Financial, Cook and Go USA, Inc., Dominion Homes, EaglePicher, Elder-Beerman Stores, Flat Out Crazy, Jameson, JER/Highland, Kenwood Towne Place, LTV, Legacy Partners, M. I. Hummel Company, Mercedes Homes, Phoenix Coyotes, Station Casinos, TECO-Panda, Veris Gold USA and WCI Steel.
Notable UK representations of debtors, boards and management in restructuring and insolvency engagements include:
Adams Childrenswear, Adpoints, AMF Bowling, Austin Reed, BIPB, BusinessDesk, Cobra Beer, Dwell Retail, Evans Easy Space, Envy/Faith Group, Greenwoods Menswear, Help-Link, Klarius, Newtown Vehicle Rentals, Oddbins, Printpack Europe, Silentnight, Swayfields Group (Extra Motorway Services), Trustmarque, UK Coal and the Video Duplicating Company.
Representation of Lenders and Other Creditors
Our lawyers have represented creditors in virtually every type of restructuring and insolvency matter across the globe. Our creditor clients include global top-10 financial institutions and groups; senior secured, second lien and subordinated lenders; asset-based lenders; private equity firms; hedge funds; distressed debt investors; aquirers; bond trustees and holders; pension trustees, landlords and equipment lessors; and trade and general unsecured creditors.
In the US, we have represented significant creditors and other parties in prominent Chapter 9, 11 and 15 cases including: Adelphia Communications, Advanced Marketing Systems, American Home Mortgage, Ames Department Stores, Bethlehem Steel Liquidation Trust, Borders, Boston Chicken, Inc., Calpine, Carlton Cove, Chrysler, Coldwater Creek, City of Detroit, Erickson Senior Living, Fairfield Residential, Fountainebleu Las Vegas, General Motors, Harvey Electronics, James River Coal, Lehman Brothers, Levitz Furniture, Loewen Group International, The Groves in Lincoln, Lincolnshire Campus, LLC, Madoff Investment Securities, Michigan, National Century Financial Enterprises, Ownit Mortgage, Penson Worldwide, PRS Insurance Group, PSL North America, Refco, Inc., RG Steel, Sigma Finance, City of Stockton, California. In the UK, we have represented creditors in recent nationally and internationally prominent insolvencies including: APPE, Arrows and Super Aguri Formula One teams, Asprey Jewellers, Global Shipping Group, Harley Medical Group, Jaeger Group Limited, Mediacom, Manches, Oddbins, Printpack Europe, Silentnight, Slumberland, UK Coal, Unipart and Unipart Automotive.
Representation of Committees
Our US lawyers have extensive experience representing creditors’ committees, equity committees and other official and ad hoc committees in Chapter 11 cases. We have served as committee counsel in some of the largest Chapter 11 cases in the US, including serving as co-counsel to the Official Committee of Unsecured Creditors of Enron Corp. and its affiliates. Other notable engagements include serving as counsel to the Committee of Chrysler Affected Dealers in Chrysler’s historic Chapter 11 case and counsel to the official committees of unsecured creditors in EnviroSolutions, Mesaba Aviation, SHC, Inc. (Top-Flite Golf), EaglePicher, Techneglas, Inc. and McCulloch Industries. We regularly represent clients serving on committees as well.
Representation of Parties in Cross-Border Restructurings and Chapter 15 Cases
With more than 132 lawyers in 36 offices across the US, the UK, Europe, Middle East, Asia Pacific and South America working on both domestic and cross-border cases and restructurings, we have one of the largest, most experienced and respected global restructuring and insolvency practices of any law firm. From Beijing to Warsaw, we consult and collaborate with each other – across offices, countries and continents – to bring the right mix of specialized industry and legal expertise along with geographical knowledge of the country and region in which our clients operate.
Resolving the many complex issues in a cross-border restructuring and insolvency requires a diverse set of skills coupled with exceptional legal proficiency. Our lawyers work with clients and their financial professionals across the full range of the restructuring and insolvency spectrum to preserve and create value, thereby ensuring a maximum recovery to stakeholders whenever a business faces financial difficulties. This process enables us to provide creative strategies that fit the requirements and expectations of our clients, which is a critical component of the value our practice brings to its restructuring engagements.
Our recent cross-border representations include:
- Veris Gold USA and its affiliates – Representing in Chapter 15 cases in the US Bankruptcy Court in the District of Nevada with its parent company engaged in CCAA proceedings in Vancouver, Canada.
- Baker Tilly Restructuring and Recovery LLP – Representing as bankruptcy trustee of an individual debtor located in the UK in a Chapter 15 case in the US Bankruptcy Court for Middle District of Pennsylvania.
- KPMG – Representing as provisional liquidator of US Realty Investments, LLC and its affiliates in their Chapter 15 cases in the United States Bankruptcy Court for the District of Arizona.
- British American Insurance Company – Representing this client and its affiliates formed under the laws of various countries in the Eastern Caribbean in Chapter 15 cross-border cases in the US Bankruptcy Court for the Southern District of Florida.
- PWC Antigua – Representing as liquidators of Interacciones Banking Corporation Ltd. in its Chapter 15 case filed in Houston, Texas
- PWC BVI and PWC Cayman Islands – Representing as liquidators of TS Multi-Strategy Fund.
- PWC BVI and PWC Cayman Islands – Representing as liquidators of Reserve International Liquidity Fund Ltd.
UK and Europe Cross Border
- Klarius Group – Representing Europe’s largest after-market car parts manufacturer on the restructuring of its facilities and on the sale and insolvency options for the group’s operations in the UK, Spain, Germany, France, Ireland, Poland and Italy. We subsequently represented KPMG as administrators and achieving a successful sale of the Group’s business and assets.
- Printpack Europe – Representing the board throughout its exit from the global group and the successful restructure of £60 million of debt.
- Landsbanki Islands hf (London branch) – Representing during and after the Icelandic banking crisis.
- Representing the Chinese joint venture partners of a US automotive supplier located in Detroit, Michigan, and the Chinese joint venture in connection with a successful out of court restructuring.
- Energy Conversion Devices/United Solar – Representing in connection with the liquidation of their European subsidiaries located in Germany, Italy, France, and Spain.
- Europcell GmbH and Germex GmbH – Representing these two German companies, as large creditors in insolvency of Neman Mill Plant, located in the Kaliningrad Region of Russia.
- Administrators of Renton Howard Wood Levin – Representing the creditors of this distressed architectural firm with offices in UK, Qatar and Germany, and selling the practice to a Hong Kong buyer.
- One of the largest independent UK providers of healthcare and social care and its bankers – Representing in relation to the provider’s credit facilities and security structure, including advice in restructuring and exit routes.
- Trustees of APPE’s pension scheme – Representing on the entry of its £1.5 billion turnover parent, La Seda de Barcelona, and the rest of the group into formal insolvency in Spain and protecting the Scheme’s £30 million exposure for the trustees.
- English-based administrators of a property group – Representing English-based administrators of a Guernsey based pan-European property group with assets/claims across the Nordic countries and Luxembourg.
- Trustee of Jim Moore – Representing with regard to tracing and recovery of assets in a number of jurisdictions, including US (Florida), BVI, Panama, Brazil, Spain, Liechtenstein and Isle of Man.
- Trustee of Balvinder Singh Malhi – Representing this client and obtaining recognition in India of freezing orders granted by UK courts and successfully repatriating assets from India.
- Administrators of Discovery Foils Ltd – Representing the administrators of Discovery Foils Ltd, which included negotiation of trading agreements with major customers in the US such as Nestle and Hershey; negotiated settlements in the US of hedging arrangements against fluctuations in the price of foil; complex ROT negotiations in China and the sale of the business to Slovakian investors.
- Trustees of the AMF Bowling Pension Plan – Representing in respect of the liquidation of the UK employer and Chapter 11 proceedings covering Group Companies in the US in respect of a multimillion pound pension deficit and guarantee claims in the UK and US, including dealings with The Pensions Regulator and Pension Protection Fund.
- Financiers and the administrators of B3 Industries – Representing and dealing with the assets and operations in the UK, Sweden and Spain.
Representation of Parties in Municipal Restructurings and Chapter 9 Cases
Fiscal distress involving municipal debt is not new – whether the debtor is a distressed government, a conduit or a corporate borrower. It is unusually complicated, however, because it requires legal expertise in public sector law, federal tax, public policy, public pensions and other employment-related obligations, restructuring and insolvency, and federal securities laws. We have more than a century of experience in counseling creditors, investors and local governments with respect to debt incurrence and purchase and public sector fiscal matters. We have done so successfully through many economic cycles and changing federal-state-local fiscal arrangements and regulatory regimes.
Our success has been a direct result of our ability to act collaboratively to bring to bear our multidisciplinary expertise and deep experience. This enables us to provide, at the intersection of the private and public sector, the counsel our clients need in order to fashion, build consensus for and implement comprehensive and creative solutions to complex problems. There is simply no other law firm that can bring the combination of public finance, public policy and restructuring and insolvency expertise and experience in the US public finance market that we possess.
Our experience is deep and unparalleled. We have advised clients on major publicly financed projects and public-private partnerships (PPPs/P3s) throughout the US, arranging the financings for public infrastructure, schools, universities, airports, healthcare facilities and professional sports stadiums and arenas. We provide deep substantive knowledge of the policy issues surrounding municipal finance, as well as decades-long relationships with key policymakers and decision- makers. We understand the importance of economic development and the appropriate use of P3s in growing the top line in developing strategies to address municipal distress. Our ranks include a former head of the Bond Market Association as well as a former senior executive staff at the Municipal Securities Rulemaking Board.
We have worked on distressed situations involving municipalities across the US, including Arizona, California, Florida, Michigan, Ohio and New York. We are involved in a number of matters involving public pensions including serving as court appointed counsel to a civil grand jury investigating pension costs. We served as counsel to the court-appointed expert in the City of Detroit’s historic Chapter 9 case and as counsel to taxpayers in Stockton, California’s Chapter 9 case. One of our partners worked with the California legislature to adopt AB 506, which requires mediation before a municipal bankruptcy filing. We have also provided advice in connection with both out-of-court and litigated matters involving CCRC’s, private schools, prisons and ports and to a number of small districts and the City of Pacific Grove, California.
Representation of Buyers and Sellers in Distressed Asset Sales
We have a long history of advising sellers and both strategic and financial buyers of distressed assets. Working with our corporate/M&A colleagues, we frequently advise parties to distressed sales across our global footprint on structuring acquisitions from distressed companies, including using own-to-loan, debt and security acquisitions pre and post-pack, company voluntary arrangements, Chapter 11 section 363 sales, receiverships, assignments for the benefit of creditors and secured party sales under Article 9 to achieve the optimum outcome for our clients. Our distress M&A experience involves virtually every industry and sector and includes:
- JD Sports Fashion Plc – Representing in the acquisition of the business of online footwear retailer Cloggs UK Ltd out of administration.
- Brookfield Asset Management, Inc., – Representing in its acquisition of Fairfield Residential, LLC, the largest owner and operator of multi-family units in the United States, involving a transaction value of more than US$5 billion.
- Drug Emporium – Representing in its acquisition of substantially all of the assets of Phar-Mor in a section 363 sale.
- Connecticut-based private equity firm – Representing in its acquisition of a US manufacturing business from a subsidiary of Gencor through a section 363 sale.
- Boston-based private equity firm – Representing in its acquisition of a distressed California-based furniture manufacturer through a secured party sale under Article 9.
- Representing buyers of large commercial loan and lease portfolios from financial institutions.
- Taylor Corporation – Representing the leading wholesale printing company in the US with regard to its acquisition of UK based CCA Occasions.
- Epic Structured Finance – Representing on various distressed acquisitions, including Pastimes, Whittards of Chelsea, and Dolcis Shoes.
- Bosideng – Representing this client and an MBO team in acquiring Greenwoods Menswear.
- Grafton Group – Representing on the acquisition of the UK national plumbing supplies business Thompsons from administrators.
- Buyer – Representing the buyer of the entire intellectual property portfolio of failed FX trader Alpari UK Limited.
- EaglePicher Incorporated – Representing in the sale of all of its operating subsidiaries in sales pursuant to its confirmed chapter 11 plan of reorganization. Its subsidiaries were involved in the following industries: automotive, pharmaceuticals, mining, power supply and government contracting.
- All-American Semiconductor – Representing in the sale of substantially all of its assets in a successful section 363 sale.
- Official Committee of Unsecured Creditors of Enron Corp. – Representing in connection with Enron’s sale of more than 20 energy related and other businesses during its Chapter 11 case.
- Flat Out Crazy – Representing in the sale of substantially all of its assets in a section 363 sale.
- Parent of a Massachusetts-based continuing care retirement community – Representing in its section 363 sale.
- Glacial Energy LLC – Representing this client and 18 affiliates in the sale of substantially all of their assets in a section 363 sale.
- Kaiser Group International – Representing on the sale of its engineering and consulting segments in two simultaneous section 363 sales.
- JD Sports Fashion Plc – Representing in the acquisition of the business of online footwear retailer Cloggs UK Ltd out of administration.
In the UK, the vast majority of our representations for administrators and other insolvency practitioners referred to on our website involve the successful sale of businesses over which they were appointed. We have in-depth experience across all sectors and specialisms.