The latest restructuring and insolvency updates and analysis from Morrison Foerster
February 01, 2021 - UK Updates and Analysis

Less Scheming: Cross-Class Cram-Downs Are Out in the Open for All to See

UK Plans for Robust Life Sciences Regulation Post-Brexit

The Corporate Insolvency and Governance Act 2020 introduced a new restructuring plan (the “Restructuring Plan”) under Part 26A of the Companies Act 2006. As a recent entrant into the market, the Restructuring Plan is now making noise – most notably, when its cross-class cram-down feature was used, for the first time, by a UK subsidiary of DeepOcean Group Holding B.V. (together with all of its subsidiaries, the “DeepOcean Group”). The DeepOcean Group’s use of the Restructuring Plan also marks the first time that a Restructuring Plan has been used to facilitate a solvent wind-down, rather than a rescue.

This client alert summarises the latest developments relating to the Restructuring Plan and is relevant to disrupted, stressed, and distressed companies, as well as their directors and creditors.

Read our client alert.