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Enzen Plans Get Green Light

On 25 March 2025, a UK court approved restructuring plans for Enzen Global Limited and Enzen Limited, addressing key legal and commercial issues. The judgment welcomed HMRC’s active participation and…

German fashion chain Gerry Weber files for insolvency

Gerry Weber, a German women's fashion brand, has filed for insolvency again, aiming to restructure and continue operations. The court-appointed administrator is Lucas Flöther, and restructuring expert…

New Insolvency Legislation in Ukraine: Strengthening Transparency and Preventing Asset Misappropriation

In addition to introducing preventive restructuring procedures, Law No. 3985-IX ("On Amendments to the Bankruptcy Code of Ukraine and Certain Other Legislative Acts of Ukraine Regarding the Implementation…

EUROINS Romania’s bankruptcy appeal rejected: final ruling confirms insolvency

EUROINS Romania’s appeal against its bankruptcy has been rejected by the Bucharest Court of Appeal, confirming its insolvency. The ruling upholds the Bucharest Tribunal’s June 2023 decision, which…

News

European Restructuring: 2024 in review and outlook for 2025
In 2024, Europe experienced a significant restructuring landscape, though not the wave of insolvencies some had predicted. Analysts foresee a prolonged down-cycle without extreme fluctuations, partly due to covenant-lite structures and available investment funds. Covenant-lite terms and debtor-friendly insolvency laws have enabled companies like Altice and Ardagh to pursue aggressive liability management transactions, a trend that may grow in 2025. However, uncertainty remains over the viability of these transactions following the Serta ruling in the US.

The UK’s Part 26A restructuring plan (RP) remained the preferred restructuring tool, with key cases such as Adler and Thames Water shaping legal precedent. RPs continued to be used to cram down creditors, including landlords, in cases like Cineworld and Virgin Active. As RPs become more common, courts have reinforced the importance of proper litigation strategies when challenging them, with cases like Chaptre Finance highlighting the need for expert evidence and procedural compliance.

Beyond restructuring plans, liability management transactions became more prominent in Europe, with creditors using cooperation agreements to counteract aggressive debt moves. Additionally, financial distress in key sectors, such as the UK’s privatised water industry and higher education, could lead to further restructuring activity in 2025. Thames Water’s RP and the financial struggles of universities, exacerbated by rising costs and reduced student enrollment, are expected to be major focal points in the coming year.

Read the full article at Cadwalader which includes examples and full references
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