DISTRESSED MERGERS & ACQUISITIONS
Proven expertise in a broad range of distressed transactions
We’ve handled hundreds of transactions for distressed corporations involving a change of control, asset sales and other M&A activities. These situations may involve selling a company or its assets quickly, often in contested or litigious settings.
Typically, distressed M&A candidates face many of the following challenges:
- Changing industry conditions
- Declining operating performance and cash flow
- Potential loss of key management
- Stretched payables
- Significant liquidity constraints
- Total debt exceeding enterprise value
- Covenant and/or payment defaults on debt instruments
- Conflicts between the various constituents that hold competing claims or interests
- Senior lenders playing hardball and restricting access to capital
- Limited access to new capital
- Commencement or threat of bankruptcy proceedings
For an overview of distressed company valuation and related issues, see Houlihan Lokey’s publication Buying & Selling the Troubled Company: A Case Study, available in English only and at no charge from Houlihan Lokey.
Distressed Mergers & Acquisitions Contact
Andrew Miller
Managing Director
