London-based of counsel Amrit Khosa contributed to an article titled “Fuelling distress: Europe’s €500 billion energy crisis”, which was recently published in Global Restructuring Review. The article discusses the potential increase in restructuring and insolvency activity across Europe in response to the energy price crisis.
In the article Amrit explains, “We are seeing an increase in businesses reaching out for restructuring related advice, as companies begin to review their projections, debt levels and viability. Companies and clients are carefully looking at their options and contingency planning far more.”
He also notes, “During the pandemic, funders and banks were more accommodating, providing liquidity and waivers, but as a recession looms this source of liquidity is quickly being closed, forcing more companies to review options and consider full scale restructurings and insolvencies.”