News & Analysis as of

Germany Debt Restructuring

White & Case LLP

Distress Signal: Europe’s M&A Market Braces for a Wave of Opportunity

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Dealmakers in Europe have had plenty of reasons to pause forward movement on deals. From new tariffs on transatlantic trade to weak industrial output in Germany—which also saw a snap election in February—2025 has brought a...more

Latham & Watkins LLP

StaRUG in Practice: German Scheme Expands Restructuring Options for Debtors

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The scheme offers a credible implementation alternative, but no “one size fits all” solution exists for German credits. German credits in sectors such as real estate, automotive, and energy face a worsening macro...more

Latham & Watkins LLP

UK and European Restructuring Tools: Choosing the Optimal Forum for Creditor and Shareholder Cramdown

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Debtors and investors have an enhanced choice of restructuring venues as the EU Restructuring Directive is rolled out in Member States - A number of key European jurisdictions have now implemented the EU Preventive...more

Hogan Lovells

Munich I Regional Court declares Wirecard’s annual financial statements null and void – what happens now?

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Wirecard's insolvency administrator has won a first victory before the Munich I Regional Court. On 5 May, the court declared the annual financial statements for 2017 and 2018, which show balance sheet profits totalling around...more

White & Case LLP

On 1 January 2021 the Corporate Stabilisation and Restructuring Act (StaRUG) has come into force and introduced the new...

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Prior to the introduction of the Preventive Restructuring Framework by the StaRUG out-of-court restructurings in Germany other than the restructuring of German law-governed bonds generally required unanimous approval by all...more

K&L Gates LLP

German Act on the Further Development of Restructuring and Insolvency Law (SanInsFoG)

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A comprehensive change to German insolvency and restructuring law has become effective starting 1 January 2021. The change allows that a company's reorganization is possible without insolvency and includes the majority...more

Latham & Watkins LLP

How will StaRUG help German companies address the impact of COVID-19?

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Looking back at the last few months, the COVID-19 pandemic has hit many companies hard and amplified disruptive trends in various sectors. In addition to other measures to address COVID-19 impact on businesses, Germany has...more

Hogan Lovells

Das neue Restrukturierungsrecht ist da

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Wie bereits berichtet erhält Deutschland ein neues Restrukturierungsrecht für Unternehmen, dessen Herzstück der sogenannte Stabilisierungs- und Restrukturierungsrahmen („SRR“) ist. Der Bundestag hat das entsprechende Gesetz...more

Latham & Watkins LLP

German Bundestag Passes Comprehensive Reform in Restructuring and Insolvency Law

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Through implementing the EU Restructuring Directive, German restructuring and insolvency law will be modernized, more effective, and enriched by new instruments. On 17 December 2020, the German Bundestag passed the Act on...more

Hogan Lovells

Zahlungen bei Insolvenzreife nach neuem § 15b InsO-E

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Das Gesetzgebungsverfahren zum Gesetz zur Fortentwicklung des Sanierungs- und Insolvenzrechts („SanInsFoG“) schreitet in beachtlicher Geschwindigkeit voran. Seit 14. Oktober 2020 liegt der Regierungsentwurf („RegE“) vor....more

Hogan Lovells

New ways of restructuring in Germany

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Germany's new restructuring regime is expected to come into force 0n 1 January 2021. At the heart of the new regulation is the introduction of a so-called stabilization and restructuring framework (“SRF”) for companies....more

A&O Shearman

The German StaRUG-Scheme: Act on the Stabilisation and Restructuring Framework for Businesses

A&O Shearman on

A short bullet point summary of the new StaRUG-Scheme and a non-reliance translation of the draft bill for the StaRUG-Scheme from German into English based on the preliminary text of the new draft legislation. ...more

Hogan Lovells

Neue Möglichkeiten der Restrukturierung

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Deutschland erhält ein neues Restrukturierungsrecht, und zwar voraussichtlich ab 1. Januar 2021. Herzstück der im aktuellen Gesetzesentwurf vorgesehenen Neuregelungen ist die Schaffung des sogenannten Stabilisierungs- und...more

Latham & Watkins LLP

German Federal Government Outlines Path to Comprehensive Reform in Restructuring and Insolvency Law

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Government draft of law implements EU Restructuring Framework, and introduces new restructuring instruments. On 14 October 2020, the German Federal Government published a government draft of the Act on the Further...more

Latham & Watkins LLP

Bundesregierung skizziert Weg zu umfassender Reform im Sanierungs- und Insolvenzrecht

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Regierungsentwurf setzt EU Restrukturierungs-Richtlinie um und führt neues Sanierungsinstrumentarium ein. Die Bundesregierung hat am 14. Oktober 2020 den Regierungsentwurf eines Gesetzes zur Fortentwicklung des Sanierungs-...more

Latham & Watkins LLP

The German Federal Cartel Office’s Comfort Letter on COVID-19 Related Restructurings

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Six key takeaways for COVID-19 Restructurings and Antitrust - The COVID-19 crisis has led, and will continue to lead, to enterprise-threatening financial difficulties for many firms in many industries. In a worst-case...more

Morgan Lewis

‘Germany’s Chapter 11’: Protective Shield Proceedings Increase with COVID-19 Insolvencies

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As the economic effects of the coronavirus (COVID-19) pandemic continue to be felt, Germany’s protective shield proceeding under Section 270b of the Insolvency Code is a way for companies to restructure under the direction of...more

K&L Gates LLP

COVID-19: Changes to Insolvency and Restructuring Related Regulations in Germany

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The German federal government is currently preparing new legislation to reduce the economic fallout from the COVID-19 pandemic. This news alert deals with the proposed changes to the insolvency and restructuring related...more

Latham & Watkins LLP

Remedy for Managing Directors in the Time of COVID-19: Suspension of insolvency filing obligations and limitation of liability...

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The Federal Ministry of Justice and Consumer Protection (BMJV) now implements, with great commitment and unprecedented speed, what it has generally announced on 16 March 2020: ..The suspension of the obligation to file for...more

White & Case LLP

Restructuring across Europe – a new era?

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All three institutions of the European Union have now approved the EU Preventive Restructuring Framework Directive. This is the EU's first attempt to "harmonise" insolvency laws across the Member States, that have disparate...more

Latham & Watkins LLP

Tax Exemption Offers Relief in the German Restructuring Market

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German legislator introduces tax exemption for income resulting from debt waivers in restructuring scenarios with retroactive effect. On 23 November 2018, the German legislator approved legislation regarding tax exemption...more

Robins Kaplan LLP

Your Daily Dose of Financial News

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Instagram co-founders Kevin Systrom and Mike Krieger have resigned over the direction of their app, which Facebook acquired in 2012. The pair has reportedly been frustrated of late by the increasing intervention of Facebook’s...more

Jones Day

The Year in Bankruptcy: 2017

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The initial year of the Trump administration colored much of the political, business, and financial headlines of 2017, both in the U.S. and abroad. Key administration-related developments in 2017 included U.S. withdrawal from...more

A&O Shearman

Taxation of Restructuring Profits in Germany - Tax Administration and Legislator Swiftly React to a Recent Detrimental Decision of...

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A recent decision by the German Federal Fiscal Court (BFH) has caused significant concerns in the restructuring community because it will severely complicate future restructurings in Germany or even make them impossible...more

Latham & Watkins LLP

Update: Upheaval in the German Restructuring Market: Need-to-Know Facts, Alternative Tools and New Draft Law

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To date, a debt waiver has been frequently used as a tool to successfully restructure German-based companies in financial difficulties. A decision of the German Federal Fiscal Court (Bundesfinanzhof) published on...more

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