In crisis situations, management and investors require prompt reliable information on the financial status of a company. PwC provides this information for both capital-seeking companies and institutions that could provide such capital, in particular banks. PwC advises on debt restructuring measures and assists in discussions with lenders and suppliers. In addition, PwC develops and implements measures for the short-term release of liquid funds and to strengthen the liquidity position of a company.
Refinancing is regularly an important - if not the deciding - element of restructuring.
The tension area of refinancing negotiations within the restructuring environment is marked by borrowers who are ready to pay an appropriately high interest rate according to risk for the provision of borrowed funds to bridge earnings and liquidity crises. For lenders, in comparison, the starting point for the possible extension of financing loans as part of a restructuring measure is a conclusive refinancing concept.
Refinancing concepts should be drawn up as soon as possible and implemented without delay if borrowers are to achieve successful restructuring. With refinancing negotiations becoming increasingly more complex, a state guarantee can be a good means of strengthening the collateral position of a company in times of crisis. The inclusion of a state guarantee is particularly interesting if refinancing is planned at an early date.
The specialists at PwC assist both companies in a crisis situation as well as potential lenders with the generation, communication and negotiation of solutions. After all, a lender will only be prepared to provide capital for loan-seeking companies in the process of restructuring if the planned restructuring and refinancing measures have been coordinated with everyone involved and implemented without delay.
PwC's experts are highly experienced in the possible problems and challenges of refinancing within a restructuring environment. They are well aware of not only the time pressure under which refinancing concepts have to be drawn up and implemented, but also their complexity. As a result of their years of experience, they have access to special financiers and offer companies all-round professional business and legal support for financial restructuring.
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