November 2009
Beginner
368 pages
11h 24m
English
Distressed financing can be executed by reorganizing the target company on the asset or liabilities side. If asset restructuring is chosen, the venture capitalist (vulture investor) has to decide which assets are kept and which are divested to recover the target company. Asset redefinition is the starting point for the restructuring plan.
Why it is convenient to recover a distressed firm? This question can be answered after reviewing the three levels of distressed financing activity: