Reorg Blog

The English courts have seen a busy start to the year with a number of new precedents that will impact debtors and creditors in a post-Brexit, post-Covid world, particularly those involved in new Part 26A restructuring plans. The Part 26A tool had its pan-European effectiveness curtailed by the judgment of Justice Zacaroli in Gategroup’s restructuring plan. The Gategroup decision means that Part 26A plans will not fall under the remit of the Lugano or Hague conventions, making automatic recognition in E.U. member states more difficult. In the scheme of MAB Leasing Ltd., Justice Zacaroli held that numerous different lease obligations could be placed in the same...

With a focus on SaaS solutions, Thryv Holdings is a small business platform that acts as a predecessor to Dex Media, which declared bankruptcy in 2016. The company went public in October 2020 and now operates through two segments, its legacy marketing segment and its SaaS segment. During an earnings call from Q3 2020, billionaire hedge fund manager, John Paulson, asked about the possibility for Thryv to split and spin off of their higher growth SaaS business in which Thryv’s management responded “...perhaps we should do it sooner than we were thinking…” However, the Thryv Holdings term loan facility was...

Next Tuesday, March 16, 2021 at 12:00pm, our Americas Core Credit experts including senior legal analysts Ana Lucia Hurtado and Karen Leung, distressed debt legal analyst Cathy Ta, and director of emerging markets credit research Kyle Owusu will be conducting a webinar to delve into deepwater drilling contractor, Seadrill Partners and Seadrill Limited. The webinar will break down the Seadrill chapter 11 cases initiated by both subsidiaries discussing how these filings may impact the company moving forward as a whole. Our coverage team will also provide an overview of the debtors’ respective chapter 11 cases.  Watch the replay here: https://reorg.com/seadrill-webinar/...

Just as a number of large chapter 11 cases that Reorg has been following moved closer to wrapping up, fallout from Winter Storm Uri in Texas, for which the Electric Reliability Council of Texas, or ERCOT, estimates will return in losses of $55 billion, has led to at least two large in court restructurings, including Brazos Electric Power Cooperative, which sought chapter 11 protection in the Southern District of Texas on March 1, and Just Energy, which filed restructuring proceedings in Canada on March 9. The storm led to power generation facilities being knocked off line, lack of natural gas availability, and numerous other...

With the Asia Core Credit team publishing more than 20 updates on Sichuan Languang so far this year, it has certainly been "one to watch." In response to the disposal of drug maker Chengdu Dikang Pharmaceutical in July 2020, Languang denied that the sale was due to its liquidity needs. Languang has been trying to introduce shareholders and sell Dikang when appropriate since 2019. It pointed out that the timing of the announcement of the sale was a function of the natural progression of the negotiations. Please click through to read an update from Thu 03/04/2021, and request a trial to...