Historically, the most common ways to handle complex cross-border restructurings were through chapter 11 of the U.S. Bankruptcy Code and schemes of arrangement in the United Kingdom under the Companies Act. However, in recent years, there has been an increase in the frequency of these types of restructurings, leading to new approaches in dealing with them. Companies and lenders are now looking beyond the traditional jurisdictions of the United States and the United Kingdom towards more sophisticated restructuring options.
Jones Day lawyers, writing for Reorg Research, discuss this shift in the cross-border restructuring landscape. They point out that companies are now exploring restructuring options in jurisdictions outside the U.S. and U.K. to achieve comprehensive financial restructurings. Jones Day lawyers have worked on groundbreaking cases where they advised clients on combining foreign restructuring regimes with U.S. chapter 15 proceedings to achieve successful financial restructurings.
This new approach to cross-border restructurings highlights the evolving nature of the process and the need for companies to adapt to these changes. By utilizing different jurisdictions and legal frameworks, companies can navigate the complexities of cross-border restructurings more effectively.
In a recent article by Reorg Research, the new jurisdictional chessboard for cross-border restructuring is explored. This article sheds light on the innovative strategies that companies are using to address the challenges of complex cross-border restructurings. By understanding the different legal frameworks available in various jurisdictions, companies can tailor their restructuring plans to achieve the best possible outcomes.
It is essential for companies and lenders to stay informed about the latest developments in cross-border restructuring to effectively manage their financial situations. By working with experienced legal professionals who understand the intricacies of different jurisdictions, companies can navigate the complexities of cross-border restructurings with confidence.
In conclusion, the evolving landscape of cross-border restructurings presents both challenges and opportunities for companies looking to navigate these complex processes. By staying informed, seeking expert advice, and exploring innovative strategies, companies can achieve successful financial restructurings that position them for future growth and success.