Distressed M&A & Reorganization in Bankruptcy

Overview

When companies file for Chapter 11, this can create opportunities for investors/creditors to acquire the debtor’s assets and/or for the debtor to sell its assets as part of a reorganization. However, each of these approaches brings its own set of complications on the way to satisfying the many constituencies involved. 

Our bankruptcy and restructuring attorneys represent secured and unsecured creditors, financial institutions, private equity, hedge funds, and strategic investors in purchasing assets and businesses of distressed companies. We work with our clients to identify the best approach to maximizing the value of their investment either by the acquisition of assets through section 363 or the partial sale and reorganization of the business.

The number of interested parties can be significant and are often in competition with one another so we work with our clients to manage the purchase, sale, and trading of debt claims. Since Chapter 11 can be an expensive and lengthy process, we make sure that all aspects of the transaction are handled efficiently, keeping in mind the objectives of our clients. We evaluate the various purchase options, conduct due diligence, evaluate strategic bid options, and review any plans for reorganization.

We have deep experience across most industry sectors including aviation, retail, manufacturing, and real estate, among others, and perform all related corporate tax analyses, structuring, and documentation.

How We Can Help

We provide the following services for our clients: 

  • Business structure evaluation
  • Build creditor consensus
  • Conduct dispute resolution
  • Assess core and non-core assets
  • Assess value of secured properties
  • DIP credit facility
  • “Exit” financing
  • Debt for equity swaps
  • Establish claim priority
  • Reorganization planning
  • Enforcement of security agreements

What Sets Us Apart

  • Chambers USA noted we have a “stellar bankruptcy and restructuring team handling the full range of issues including Chapter 11 and Chapter 15 matters, as well as related bankruptcy litigation. Maintains a specialty practice advising maritime and transportation clients, and possesses significant knowledge of complex financing transactions.”
  • 2021 Chambers USA recognized the firm for Bankruptcy/Restructuring in Delaware and ranked us Band 1 in New York and Philadelphia (PA) & Surrounds.
  • Our bankruptcy practice ranked at the top of The American Lawyer’s Corporate Scoreboard.
  • Four of the team’s attorneys are fellows of the prestigious American College of Bankruptcy. One partner served as Third Circuit regent of the American College of Bankruptcy and another partner served as chairman of the American College of Bankruptcy Foundation and is a past chair of the American College of Bankruptcy. 
  • Many members of the group write and lecture extensively on issues involving corporate restructuring and bankruptcy.
     

Experience

  • CST Industries, counsel to successful purchaser of industrial tank production firm in its Chapter 11 case for $93 million (Wilmington, DE) 2017.
  • Limitless Mobile, counsel to national wireless telecommunications company in connection with the acquisition of a specific range of frequencies in the radio frequency spectrum from a regional provider of broadband and wireless telecommunications services (Wilmington, DE) 2016.
  • Primorsk International Shipping, counsel to prospective purchaser of nine vessel Ice class oil tanker fleet (New York, NY).
  • Parallel Energy, counsel to private investment firm in its $110 million acquisition of OK-based oil and gas driller (Wilmington, DE) 2015.
  • Gridway Energy Holdings, counsel to a leading hedge fund in connection with its successful section 363 acquisition of a major provider of electricity and natural gas.
  • Mississippi Phosphates, counsel to potential asset purchaser of phosphate plant, dock and related assets (Gulfport, MS) 2014.
  • PSL North America, counsel to purchaser of steel pipe mill in Mississippi for $104.1 million in its Chapter 11 (Wilmington, DE) 2014.
  • Comprehensive Clinical Development, counsel to asset purchaser (a major pharmaceutical company) in Chapter 11 cases of clinical trial research firm (Fort Lauderdale, FL) 2013.
  • Overseas Shipping Group et al., counsel to prospective purchaser for significant fleet element in Chapter 11 case of tanker company (Wilmington, DE) 2012.
  • FiberTower, counsel to a national wireless carrier in acquisition of assets of mobile backhaul provider (Fort Worth, TX) 2012.